Case: Master Mallikarjun Vs. Divisional Manager, The National Insurance Company Limited and Anr

Appellant at the age of 12 years was hit by a motorcycle on 05.06.2006. He suffered the following injuries: -a. (Right) lower 1/3 leg deformity, movements restricted diagnosis of fracture.  b. Two abrasions over left elbow posteriorly over olecrenon both measuring 4x1 cms.  c. Abrasion over dorsal aspect right hand at the basis of index finger4. Negligence of the rider was proved. The child was treated as inpatient from 05.06.2006 to 01.08.2006, for 58 days. He was operated on 24.06.2006. Six months after the discharge, he was seen by the doctor on 15.02.2007 for follow up. It is in evidence that the patient had the following discomforts/ disabilities, i.e.:i. Patient walks with limp on to the right side.  ii. Puckered scar on and aspect of middle 1/3 of (Right) leg with operated scar on either side.  iii. Shortening of right lower limb by 1.5 cms.  iv. Limitation of right knee movements by 30 %.  v. Muscle power around right knee Gr.IV against Gr.V.  vi. Limitation of right ankle movement by 20%.  vii. Muscle power around (right) ankle is Gr. IV against Gr.V.  viii. CheckX ray No. 3791 dated 15.02.2007 shows disunited fracture of right tibia with plate and screw fixation in situ. Mal union fracture of right tibia5. The surgeon had assessed the disability to the extent of 34% of right lower limb and 18% to the whole body.  6. The Motor Accidents Claims Tribunal in a petition filed claiming compensation to the tune of Rs.4,00,000/-, awarded compensation to the tune of Rs.63,500/- under the following heads:-  HEADCOMPENSATIONAMOUNT  Pain and sufferingRs.25,000/-  Inconvenience caused to parents.Rs.10,000/-  Medical expenses.Rs.4,500/-  Loss of future amenities.Rs.10,000/-  Conveyance, food nourishment expenses.Rs.4,000/-  Future surgery.Rs.10,000/-  TOTAL:-Rs.63,500/-  7. On approaching the High Court, the compensation was enhanced to Rs.1,09,500/-. The enhancement was mainly under the head Loss of future amenities wherein the appellant was awarded Rs.50,000/-. Appellant still not satisfied, filed this Special Leave Petition.

Court's reasoning:
Though it is difficult to have an accurate assessment of the compensation in the case of children suffering disability on account of a motor vehicle accident, having regard to the relevant factors, precedents and the approach of various High Courts, we are of the view that the appropriate compensation on all other heads in addition to the actual expenditure for treatment, attendant, etc., should be, if the disability is above 10% and upto 30% to the whole body, Rs.3 lakhs; upto 60%, Rs.4 lakhs; upto 90%, Rs.5 lakhs and above 90%, it should be Rs.6 lakhs. For permanent disability upto 10%, it should be Re.1 lakh, unless there are exceptional circumstances to take different yardstick. In the instant case, the disability is to the tune of 18%. Appellant had a longer period of hospitalization for about two months causing also inconvenience and loss of earning to the parents. The appellant, hence, would be entitled to get the compensation as follows: -Pain and suffering already undergone and to be suffered in future, mental and physical shock, hardship, inconvenience, and discomforts, etc., and loss of amenities in life on account of permanent disability.Rs.3,00,000/-Discomfort, inconvenience and loss of earnings to the parents during the period of hospitalization.Rs.25,000/-Medical and incidental expenses during the period of hospitalization for 58 days.Rs.25,000/-Future medical expenses for correction of the mal union of fracture and incidental expenses for such treatment.Rs.25,000/-