Oriental Insurance Company Ltd., Vs Smt. Nilavva Alias Nilavati W/O. Shankarayya

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NC: 2025:KHC-D:10950 MFA No. 102423 of 2024 C/W MFA No. 101280 of 2024

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HC-KAR

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IN THE HIGH COURT OF KARNATAKA, AT DHARWAD DATED THIS THE 28^TH DAY OF AUGUST, 2025 BEFORE

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THE HON'BLE MR. JUSTICE ASHOK S. KINAGI MISCELLANEOUS FIRST APPEAL NO. 102423 OF 2024 (MV-I) C/W MISCELLANEOUS FIRST APPEAL NO. 101280 OF 2024

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IN MFA NO. 102423 OF 2024

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BETWEEN:

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SMT. NILAVVA @ NILAVATI W/O SHANKARAYYA MATHAD AGE. 56 YEARS, OCC. COOLIE NOW NIL R/O. NEAR NIDASOSHIMATH NIDASOSHI- 591 236, TALUKA. HUKKERI, DISTRICT. BELAGAVI.

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…APPELLANT

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(BY SMT. SUNANDA P. PATIL, ADV)

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AND:

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SHRI. DADASAB S/O NIJAM JAMADAR AGE. 48 YEARS, OCC. BUSINESS R/O. NADIGALLI, SANKESHWAR- 591 313 TALUKA HUKKERI, DISTRICT. BELAGAVI.

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MOHANKUMAR B SHELAR Digitally signed by MOHANKUMAR B SHELAR Date: 2025.09.10 12:26:39 +0530

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THE GENERAL MANAGER ORIENTAL INSURANCE COMPANY LTD, 3^RD FLOOR, AMAR EMPIRE, KHANAPUR ROAD, BELAGAVI- 590 001

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(BY SRI. R.R. MANE, ADV FOR R2, NOTICE TO R1 IS SERVED)

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…RESPONDENTS

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THIS MFA IS FILED U/S.173(1)OF MOTOR VEHICLES ACT 1988, AGAINST THE JUDGMENT AND AWARD DATED 14.12.2023 PASSED IN MVC NO.2734/2022 ON THE FILE OF THE XI ADDITIONAL DISTRICT JUDGE AND ADDITIONAL MOTOR ACCIDENT CLAIMS TRIBUNAL, BELAGAVI, PARTLY ALLOWING THE CLAIM PETITION FOR COMPENSATION AND SEEKING ENHANCEMENT OF COMPENSATION.

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NC: 2025:KHC-D:10950 MFA No. 102423 of 2024 C/W MFA No. 101280 of 2024

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HC-KAR

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THIS APPEAL, COMING ON FOR ADMISSION,

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IN MFA NO. 101280 OF 2024

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BETWEEN:

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ORIENTAL INSURANCE COMPANY LTD., BY THE GENERAL MANAGER, 3^RD FLOOR, AMAR EMPIRE, KHANAPUR ROAD, BELAGAVI-590001, BY ITS AUTHORIZED SIGNATORY

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…APPELLANT

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(BY SRI. RAVINDRA R. MANE, ADV)

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AND:

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SMT. NILAVVA @ NILAVATI W/O. SHANKARAYYA MATHAD, AGE. 67 YEARS, OCC. COOLIE, R/O. NEAR NIDASOSHI MATH, NIDASOSHI, TQ. HUKKERI, DIST. BELAGAVI-591236.

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DADASAB NIJAM JAMADAR, AGE. 48 YEARS, OCC. BUSINESS, R/O. NADI GALLI, SANKESHWAR, TQ. HUKKERI, DIST. BELAGAVI-591313 (OWNER OF CAR NO.KA-22/P-5839)

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…RESPONDENTS

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(BY SMT. SUNANDA P. PATIL, ADV FOR R1, SMT. RESHMA MADIWALAR, ADV FOR R2)

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THIS MFA IS FILED U/SEC.173(1) OF MV ACT, 1988, AGAINST THE JUDGMENT AND AWARD DATED 14.12.2023 PASSED IN MVC NO.2734/2022 ON THE FILE OF THE XI ADDL. DISTRICT JUDGE AND ADDL. MACT, BELAGAVI, AWARDING COMPENSATION OF Rs.6,68,843/- WITH INTEREST AT 6 PERCENT P.A. FROM THE DATE OF PETITION TILL ITS REALIZATION.

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THIS APPEAL, COMING ON FOR ORDERS, THIS DAY, THE JUDGMENT WAS DELIVERED THEREIN AS UNDER:

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CORAM: THE HON'BLE MR. JUSTICE ASHOK S. KINAGI

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NC: 2025:KHC-D:10950 MFA No. 102423 of 2024 C/W MFA No. 101280 of 2024

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HC-KAR

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ORAL JUDGMENT

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(PER: THE HON'BLE MR. JUSTICE ASHOK S. KINAGI)

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The claimant, being dissatisfied with the quantum of compensation and the insurance company being aggrieved by the judgment and award dated 14.12.2023 passed in M.V.C.No.2734/2022 by the XI Addl. District Judge and Addl. M.A.C.T., Belagavi.

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The appeals arising out of the same judgment. Hence, they are clubbed together and taken up for discussion to avoid repetition of the facts.

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Brief facts leading rise to the filing of these appeals are as follows:

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On 10.05.2022, the claimant met with an accident as the driver of the car bearing registration No.KA-22/P-5839 came in a rash and negligent manner and dashed to the claimant. As a result, the claimant sustained grievous injuries and she spent huge amount towards medical and other expenses. She suffered permanent disability. Hence, she

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4 - NC: 2025:KHC-D:10950 MFA No. 102423 of 2024 C/W MFA No. 101280 of 2024

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HC-KAR

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filed a claim petition claiming compensation for the injuries sustained in the accident.

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The owner of the car bearing No.KA-22/P-5839 filed statement of objections denying the averments made in the claim petition. It is contended that the driver of the car was possessing valid and effective driving licence as on the date of accident and the policy was in force. Hence, he prayed to dismiss the claim petition as against the owner of the car.

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The insurance company filed a statement of objections denying the averments made in the claim petition. It is contended that the driver of car was not possessing valid and effective driving licence as on the date of accident. Hence, prayed to dismiss the claim petition against the insurance company.

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The claimant to substantiate her case, examined herself as PW-1, examined the doctor as PW-2 and marked 23 documents as Exs.P-1 to P-23. In rebuttal, the Senior

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NC: 2025:KHC-D:10950 MFA No. 102423 of 2024 C/W MFA No. 101280 of 2024

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HC-KAR

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Assistant of the insurance company examined as RW-1 and marked 2 documents as Exs.R-1 to R-2.

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The Tribunal, after assessing the verbal and documentary evidence, allowed the claim petition in part and held that the claimant is entitled to compensation of Rs.6,68,843/- along with interest at the rate of 6% p.a. from the date of petition till the date of realisation and directed the insurance company to pay the compensation and recover the same from the owner of the car. The claimant, being dissatisfied with the quantum of compensation, filed M.F.A.No.102423/2024 and insurance company being aggrieved by the direction of the Tribunal to pay the compensation and recover the same from the owner, filed M.F.A.No.101280/2024.

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Heard the arguments of the learned counsel for

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claimant and learned counsel for insurance company.

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Learned counsel for claimant submits that the

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compensation awarded by the Tribunal is on the lower side.

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HC-KAR

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She submits that Tribunal is justified in directing the insurance company to pay the compensation and recover the same from the owner. Hence, on these grounds, she prays to allow the appeal filed by the claimant and to dismiss the appeal filed by the insurance company.

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Per contra, learned counsel for insurance company submits that the compensation awarded by the Tribunal is on the higher side. He also submits that the claimant was aged about 68 years at the time of accident and the Tribunal ought to have applied the multiplier of 5 to the age group of the claimant wherein the Tribunal has applied the multiplier of 7.

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Hence, on these grounds, he prays to allow the appeal filed by the insurance company and to dismiss the appeal filed by the claimant.

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Perused the records and considered the

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submissions of the learned counsel for the parties.

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The points that would arise for consideration are with regard to the liability and quantum of compensation.

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HC-KAR

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Regarding liability:

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There is no dispute in regard to the occurrence of the accident and the injuries sustained by the claimant. To prove the accident, the claimant has produced the charge sheet marked as Ex.P-6 which discloses that the accident occurred due to rash and negligent driving of the driver of the offending vehicle. Hence, the Tribunal was justified in recording the finding that the accident was occurred due to the rash and negligent driving of the offending vehicle. The insurance company has taken a specific contention that the driver of the offending vehicle was not possessing a valid and effective driving licence as on the date of accident. On perusal of the records, it reveals that the driver of the offending vehicle was not possessing a valid and effective driving licence as on the date of accident. Thus, the owner of the offending vehicle has committed breach of policy condition and hence, the Tribunal was justified in saddling the liability on the owner of the offending vehicle to pay the compensation and has rightly directed the insurance company to pay the

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8 - NC: 2025:KHC-D:10950 MFA No. 102423 of 2024 C/W MFA No. 101280 of 2024

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HC-KAR

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compensation and recover the same from the owner of the offending vehicle.

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Regarding quantum of compensation:

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The petitioner was aged 68 years as on the date of accident. In order to prove the income, the claimant ahs not produced any income proof. In the absence of income proof, the notional income has to be assessed as per the schedule notified by the Karnataka State Legal Services Authority. The accident is of the year 2022. The Tribunal has rightly taken the income of the claimant notionally at Rs.14,750/- p.m. In order to prove the disability, the claimant examined the doctor as PW-2 who deposed that he examined the claimant clinically and radiologically and opined that the claimant has suffered disability to the extent of 75% in respect of right temporal bone of skull, fracture of right femur bone, fracture of tibia and fibula bones. Admittedly, PW-2 is not a treated doctor but he has issued disability certificate marked as Ex.P-10. Based on the evidence of the doctor and documentary evidence, the Tribunal assessed the disability at 25% which is

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9 - NC: 2025:KHC-D:10950 MFA No. 102423 of 2024 C/W MFA No. 101280 of 2024

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HC-KAR

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just and proper. The Tribunal has applied the multiplier of 7 which is incorrect. In view of the proposition laid down by the Hon’ble Apex Court in the case of Sarla Verma and others

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vs. Delhi Transport Corporation and another¹ , the applicable multiplier to the age group of the claimant is 5. Accordingly, the loss of future income is worked out as under:

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Rs.14,750 12 x 5 x 25% = 2,21,250/-

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Thus, this Court on re-assessment of entire

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evidence on record, awards following compensation :

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Sl.		Compensation a	warded in Rs.
No.	Heads of compensation	By the Tribunal	By this Court
1	Pain and suffering	40,000/-	70,000/-
2	Loss of income during laid up period	29,500/-	29,500/-
3	Loss of future income	3,09,750/-	2,21,250/-
4	Nourishment and attendant charges	20,000/-	20,000/-
5	Loss of amenities and future unhappiness	20,000/-	20,000/-
6	Conveyance and incidental charges	20,000/-	20,000/-
7	Medical expenses	2,29,593/-	2,29,593/-
	Total :	6,68,843/-	6,10,343/-

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1 AIR 2009 SC 3104

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HC-KAR

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Thus, in all the claimant is entitled to a total

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Rs.6,10,343/-. The compensation awarded by the Tribunal is reduced by Rs.58,500/-.

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In view of the above discussion, I proceed to pass

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the following:

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ORDER

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(i) M.F.A.No.101280/2024 filed by the insurance company is allowed in part.

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(ii) M.F.A.No.102423/2024 filed by the claimant is dismissed.

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(iii) The judgment and award 14.12.2023 passed in M.V.C.No.2734/2022 by the XI Addl. District Judge and Addl. M.A.C.T., Belagavi is modified.

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(iv) The claimant is entitled to total compensation of Rs.6,10,343/- instead of Rs.6,68,843/- awarded by the Tribunal.

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(v) The insurance company is directed to deposit the compensation amount with accrued interest and recover the same from the owner of the offending

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NC: 2025:KHC-D:10950 MFA No. 102423 of 2024 C/W MFA No. 101280 of 2024

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HC-KAR

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vehicle within a period of eight weeks from the date of receipt of a copy of this order.

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(vi) Office is directed to transmit the amount in deposit along with trial Court records to the Tribunal.

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In view of the disposal of the appeals, I.A.No.2/2024 filed in M.F.A.No.101280/2024 does not survive for consideration and the same is disposed of.

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Sd/(ASHOK S. KINAGI) JUDGE

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NAA CT: BSB List No.: 1 Sl No.: 30

Oriental Insurance Company Ltd., v. Smt. Nilavva Alias Nilavati W/O. Shankarayya

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Oriental Insurance Company Ltd., v. Smt. Nilavva Alias Nilavati W/O. Shankarayya

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