NATIONAL INSURANCE CO. LTD. Vs. NALINI

JUDGEMENT

(1.) The main plank of the arguments addressed by learned counsel for the petitioner-Insurance Company rests on a plea that the High Court has failed to appreciate the fact that the allowances payable to the deceased were in the nature of personal expenses and the same ought not to have been added to his basic salary to arrive at a dependency factor. Learned counsel submits that allowances under the heads of transport allowance, HRA, PF loan, P.F., SAF, leave encashment cannot be added to the gross income since they are personal in nature.

(2.) The aforesaid aspect is no longer res integra inasmuch as a three Judges Bench of this Court in Vijay Kumar Rastogi Vs. Uttar Pradesh State Roadways Transport Corporation,2018 SCC OnLine SC 193 has clearly held as follows:

(3.) It is apparent from the observations made in the aforesaid decision that the emoluments and the benefits accruing to the deceased under various heads for the purposes of computation of loss of income, which are described by learned counsel for the petitioner-Insurance Company as personal to him to arrive at the dependency factor, ought to be included irrespective of whether they are taxable or not.