SANTHOSH Vs. UNITED INDIA INSURANCE COMPANY LTD.

JUDGEMENT

(1.) Leave granted.

(2.) The appellant was the rider of a motorcycle, who met with an accident on 16/8/2019, when he collided with another motorcycle. The Tribunal and the High Court found that the negligence was on the part of the rider of the other motorcycle, which was driven in a rash manner. The offending vehicle was covered with a valid insurance policy, and both the riders had valid driving licenses. The Tribunal awarded an amount of Rs.19,58,513.00 on various heads. On an appeal filed by the Insurance Company, the loss of earning capacity due to the disability was reduced from Rs.17,66,520.00 as awarded by the Tribunal to Rs.80,000.00. The Tribunal had found a disability of 20% and taken the income of the appellant at Rs.30,000.00; deducted Income Tax to the tune of Rs.13,300.00 added future prospects of 40% and applied multiplicand of 18 and on the 20% disability assessed, the total loss of earning capacity was computed at Rs.17,66,520.00. Under the conventional heads of attendant charges, pain and suffering, extra nourishment and transportation, a total amount Rs.82,000.00 was granted along with medical expenses of Rs.1,09,993.00.

(3.) The High Court enhanced the compensation under the conventional heads to Rs.1,05,000.00 and added an amount of Rs.50,000.00 for loss of amenities, while retaining the medical expenses granted by the Tribunal. However reduction was made on the reasoning that the multiplier method adopted by the Tribunal was erroneous. A sum of Rs.4,000.00 was awarded per percentage and a total of Rs.80,000.00 was computed as the compensation under the head of loss of earning capacity due to disability. We cannot but find that the loss of earning capacity as assessed by the High Court is unheard of.