United India Insurance Co. Ltd. Vs Satinder Kaur @ Satwinder Kaur & Ors. (Supreme Court of India)
The appeals arose from a motor accident claim relating to the death of Satpal Singh, who had been employed in Doha, Qatar since 1984. While visiting India in November 1998, he died in a road accident on 18.11.1998 when the scooter he was riding collided with a Maruti car. His widow, who sustained serious injuries resulting in 25% permanent disability, along with their three minor children, filed a claim under Section 166 of the Motor Vehicles Act, 1988 seeking compensation of ₹50 lakh. The MACT held that the accident involved contributory negligence on the part of both the deceased and the driver of the offending car, assessed the deceased’s monthly income at ₹4,000, applied a multiplier of 13, reduced the compensation by 50% on account of contributory negligence, and awarded ₹1.90 lakh with interest. The High Court upheld the finding of contributory negligence but relied upon an employer’s letter claiming that the deceased earned US$6,700 per month, enhanced the compensation to ₹96.78 lakh after deducting 50% for contributory negligence, and directed payment with interest. Both the Insurance Company and the claimants challenged the High Court’s judgment before the Supreme Court.
