Gujarat HC orders insurance company to pay additional Rs 14 lakh to accident survivor

In providing relief to a young accident victim, the Gujarat High Court has substantially increased the compensation amount in a road accident case, directing an insurance company to pay an additional Rs 14.55 lakh to the appellant, bringing the total award to Rs 20.54 lakh. The enhanced amount is to be disbursed within four weeks.

The court also awarded Rs 50,000 towards loss of childhood — a poignant recognition of the profound impact on the teenager's formative years.

Samad Khan Pathan,was just 15 years old when he met with an accident on January 20, 2020, while returning home from school on his bicycle in Palanpur. A rashly driven dumper collided with him, causing grievous injuries that necessitated the amputation of his leg below the knee.

The Motor Accident Claims Tribunal (MACT), Palanpur, had originally awarded Rs 5,98,500 as compensation in its 2024 order. Dissatisfied with the amount, Samad Khan filed an appeal before Gujarat High Court, arguing that the tribunal erred on several counts.

The appellant's counsel contended that the tribunal wrongly granted only a lump-sum of Rs 3 lakh without properly assessing compensation under various heads for amputation-related injuries. The tribunal also failed to award any amount for an artificial limb and provided inadequate sums for marriage prospects, pain, shock, suffering, and loss of amenities.

A single bench of Gujarat High Court, after re-evaluating the case, recalculated the claimant's notional income at Rs 8,300 per month. The court deemed it appropriate to grant an additional Rs 12.05 lakh towards pain and suffering, mental and physical shock, and loss of amenities due to permanent disability.

Considering the severe nature of the injuries, prolonged treatment and recovery period, the victim's young age, and the resulting disablement, the court enhanced the compensation for marriage prospects from Rs 1,00,000 to Rs 2,00,000 (adding Rs 1,00,000). It further awarded Rs 1,50,000 specifically for an artificial limb, which the tribunal had overlooked.

Criticising the tribunal's assessment, the high court observed that the disability was incorrectly pegged at 30% of the body as a whole. Referencing the Workmen’s Compensation Act, which treats below-knee amputation as at least 50% disability (with additional fracture in the other leg contributing at least 10%), the bench assessed the functional disability at 60% to ensure just and fair compensation.