Compensation to family of student killed in accident hiked to over Rs 21 lakh

Bengaluru: The Karnataka High Court has enhanced the compensation for the family of a diploma student who lost his life in a road accident in 2019, raising the amount to Rs 21,28,800 from the Rs 1,53,000 initially awarded by the Motor Accident Claims Tribunal.

The revised compensation is to be paid by the insurance company, which can later recover the amount from the vehicle owner. The order was passed by a division bench comprising Justices K S Mudagal and Vijayakumar A Patil.

The case pertains to the death of 19-year-old M S Srihari, who was riding pillion with a friend, Aravind, on April 23, 2019. While traveling on the Hejjala-Kempadyapanahalli Road near Bengaluru, the rider lost control of the vehicle due to rash and high-speed driving. The motorcycle crashed into a mud wall near Mallathahalli village in Ramanagara district, killing both on the spot.

Srihari's family, including his parents and sister, had initially approached the Tribunal seeking Rs 30 lakh, citing that the young man was a diploma student at PES College here and earned Rs 20,000 per month through a milk vending business.

The Tribunal, in its April 2022 order, awarded Rs 1.53 lakh, primarily holding the motorcycle owner, Suraj Kumar, liable since the rider did not have a valid driving licence. Dissatisfied with the Tribunal's ruling, the family filed an appeal, arguing that the insurance company should be directed to pay the compensation upfront and recover it from the owner later, in line with a Supreme Court precedent.

In response, the insurer contended that the absence of a driving licence constituted a policy violation and that the claimants had not sufficiently proven their financial dependence on Srihari. The High Court, however, sided with the family, stating that the “pay and recover” principle established by the Supreme Court applied in this case.

The bench also found the tribunal's award grossly inadequate, noting that although the family could not conclusively prove Srihari's income, his age and familial role were substantiated. “In the absence of concrete evidence of the deceased's income, this court assesses his monthly earnings notionally at Rs 14,000, adding 40 per cent under the head of loss of future prospects,” the court said.

The bench directed the insurance company to pay Rs 21,28,800, along with six per cent annual interest from the date of the petition until the amount is deposited.