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Jubed Alam vs. The New India Assurance Company Ltd. and Ors.

Motor Accident Claims Appeal · 2026:DHC:7428Decided 2 Sept 2026New Delhi Bench
MAC.APP. 1/2025CNR: DLHC010993032024
Justice Anish Dayal

Background

The appellant, a pipe fitter/insulator who suffered 100% functional disability (including paraplegia and 40-70% neurological disability) in a road accident, sought enhancement of the Rs. 83,10,835/- compensation awarded by the Motor Accident Claims Tribunal. He challenged the Tribunal's use of minimum-wage-based income instead of his claimed salary, and the very low amount awarded for attendant/nursing care.

Decision Breakdown

The High Court held that in the absence of solid documentary proof of exact salary, income can be estimated using "intelligent guesswork" rather than being rigidly pegged to the lowest minimum-wage tier, and assessed his income at Rs. 22,000/month. On attendant charges, the Court held that even though the claimant said he wasn't using a paid nurse, his family's care work still deserved compensation, and that attendant costs should be calculated using the standard multiplier method (accounting for his whole remaining life) rather than a token lump sum. The total compensation was enhanced from about Rs. 83 lakh to about Rs. 1.24 crore.

Lesson Learnt

Compensation for a severely disabled accident victim must properly account for lifelong care needs (even unpaid care by family) using a structured multiplier method, not an arbitrary lump sum, and income can be reasonably estimated even without perfect salary records.

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