Supreme Court Enhances Compensation in Motor Accident Fatality Claim

Case Name: Rani @ Raj Kumari and Others v. Kamalakat Gupta and Others
Citation: 2025 INSC 1393
Date of Judgment/Order: 5th December 2025
Bench: N.V. Anjaria, K. Vinod Chandran

Held: The Supreme Court enhanced the compensation amount in the motor accident claim, increasing the total amount awarded to the claimants, and directed the insurance company to deposit the additional amount with interest.

Summary: This case arose out of a fatal motor vehicle accident involving Sobran Singh, who died due to injuries sustained when his motorcycle collided with a jeep. The appellants (family members of the deceased) sought compensation for the loss, but the Motor Accident Claims Tribunal initially awarded a sum of ₹7,28,500. The High Court later enhanced the amount to ₹9,20,500, but the appellants sought further enhancement. The Supreme Court, after reviewing the facts and legal principles, further raised the compensation, adjusting for future prospects, loss of dependency, and non-pecuniary damages, among other factors.

Decision: The Supreme Court allowed the appeal and enhanced the compensation to ₹20,55,320, including an additional ₹11,34,820 over and above the amount awarded by the High Court. The Court also directed that the compensation be distributed among the claimants as per a specified proportion and to be deposited with the Tribunal within eight weeks, with interest at 7% from the date of filing.