BHARTI AXA GENERAL INSURANCE CO LTD v. MADHUSUDAN PRASAD GUPTA & ORS.

1. This appeal impugns the award of compensation dated 16.03.2017 passed by the learned MACT in MAC No.244/2014 (New No.392/16) on the ground that in the monies earned by the deceased home-maker, no deduction has been made towards ‘personal expenses’ while computing the loss of dependency.

2. This Court in its judgment passed in Royal Sundaram Alliance Insurance Co Ltd. Vs. Dinesh & Ors. (MACA. No.914/2017 Dt.18.09.2019) has already dealt with this issue and held that monies earned by a home-maker was ordinarily for building of corpus for use by the family on rainy days. Relevant para 2 of this judgment reads as under:- 2019:DHC:6025

3. The same is the position in the present case. The impugned order calls for no interference on this ground. The appellant’s argument is untenable and is, accordingly, rejected.

4. The learned counsel for the appellant further contends that the funeral and transport expenses of Rs.25,000/- are on the higher side and it should be Rs.15,000/- in terms of the decision of the Supreme Court in National Insurance Co. Ltd. vs. Pranay Sethi & Ors. (2017) 16 SCC 680. The argument is correct. The same is granted @ Rs.15,000/- and compensation is also granted towards ‘loss of estate’ @ Rs. 15,000/-, in terms of the same judgment.

5. The Court would note that the claimants have been awarded only Rs.20,000/- and Rs.50,000/- towards ‘loss of consortium’ and ‘loss of love and affection’ respectively, but each of the claimants would be entitled to and are awarded Rs.40,000/- & Rs.50,000/respectively, towards ‘loss of consortium’ and ‘loss of love and affection’ in terms of Magma General Insurance Co. Ltd. vs. Nanu Ram @ Chuhru Ram & Ors., 2018 SCC OnLine SC 1546.

6. Thus the amount payable shall be calculated as under:- S.No. Particulars Amount

1. Loss of dependency Rs. 12,21,480/-

2. Loss of Love and Affection [Rs. 50,000 x 4 (claimants)] Rs. 2,00,000/-

3. Loss of Consortium [Rs. 40,000 x 4 (claimants)] Rs. 1,60,000/-

4. Funeral Expenses Rs. 15,000/-

5. Loss of Estate Rs. 15,000/- TOTAL Rs. 16,11,480/- Less Rs. 13,16,480/- (the amount already awarded by learned Tribunal) Rs. 2,95,000/-

7. Let the enhanced amount of Rs. 2,95,000/- be paid to the beneficiaries of the Award along with interest @9% per annum (and not @10%) from the date of filing of the claim petition till its realization, to be released to the beneficiaries of the Award, in terms of the scheme of disbursement specified therein.

8. In view of the above, the appeal alongwith pending applications is disposed-off.

9. The statutory amount, along with interest accrued thereon, be returned to the appellant.