Object Of Motor Accident Compensation Is To Restore Claimant To Position Where Accident Would Not Have Taken Place: Supreme Court
The Supreme Court was considering a challenge made by the claimant to the judgment passed by the Karnataka High Court in a case pertaining to the grant of compensation in a motor accident case.

Justice Sanjay Karol, Justice Nongmeikapam Kotiswar Singh, Supreme Court
While granting motor accident compensation under the head of marriage prospect in a case where a 24-year-old woman suffered both physical and mental disabilities, the Supreme Court has observed that the object of just compensation is to restore, as far as possible, the claimant-appellant to a position where the accident would not have taken place, and they would not be negatively affected in life.
The Supreme Court was considering a challenge made by the claimant to the judgment passed by the Karnataka High Court in a case pertaining to the grant of compensation in a motor accident case.
The Division Bench of Justice Sanjay Karol and Justice Nongmeikapam Kotiswar Singh held, “We find force in the case set up by the claimant-appellant. The object of just compensation, as has been discussed in numerous judgments, is to restore, as far as possible, the claimant-appellant to a position where the accident would not have taken place and they would not be negatively affected in life. Cases such as the present one highlight the limits of just compensation, for it cannot be disputed that no amount of money will bring the claimant-appellant back to the time where she would be able to live a life on her own terms, being duly entitled to dream of and make efforts for a glorious future.”
Factual Background
The claimant-appellant at the time of the accident was 24 years of age. The Tribunal held that the accident occurred due to the rash and negligent driving of the offending vehicle. Taking the income of the claimant-appellant as Rs 10,000, the Tribunal awarded a compensation amounting to Rs 30,24,800, with interest to the claimant-appellant. The High Court, while allowing the claimant-appellant’s appeal for enhancement, reassessed her income to be Rs 9,000 and increased the amount awarded under the head of future prospects to the tune of 40%. The total compensation was increased from Rs 30,24,800 to Rs 35,86,400. Yet dissatisfied, the claimant appellant approached the Apex Court. The challenge to the amount of compensation awarded by the High Court was on the grounds that the income of the claimant-appellant was reduced by Rs 1,000, and no compensation was awarded under the head of marriage prospects.
Reasoning
The Bench took note of the fact that a 24-year-old female’s entire life was turned upside down because of the disaster that had befallen the claimant-appellant and her family. “All wants and desires have forever been crushed and extinguished; this may very well include prospects to lead a happy marital life. Although no particular calculation can be prescribed for such a loss, given its non-pecuniary nature, we follow this Court’s pronouncement in Kajal v. Jagdish Chand , wherein a 12-year-old girl had suffered grievous injuries leading to brain damage and the Courts while considering the head of marriage prospects, awarded a sum of Rs.3,00,000”, the Bench stated.
The Bench took note of the nature of the injuries suffered by the claimant-appellant, which was 85% mental disability and 45% physical disability to the lower left limb. The Bench thus held that the compensation awarded by the Courts below, under the head of attendant charges, was severely inadequate. The Bench also awarded attendant charges for two attendants.
The Bench held, “Under pain and suffering, the Courts below awarded Rs.2,00,000/-. We may only ask, what else does a claimant have to suffer to be awarded a fair amount under this head? Taking a cumulative view of the circumstances, as also the compensation as enhanced by this Court in the above terms, we award a sum of Rs.5,00,000/-.”
Thus, allowing the Civil Appeal, the Bench awarded a compensation of Rs.85,09,369.
Cause Title: Reshma v. Dajiba Krishna Lad (Neutral Citation: 2025 INSC 132)
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