Compensation is not just financial assistance but a reflection of social justice, the Uttarakhand High Court has observed while dismissing an insurance company’s appeal against what it called an “excessive” award to a victim’s family in a 2024 accident claim case.
 
A single bench of Justice Alok Mehra upheld the Nainital District Court’s decision to grant Rs 53,93,600 to the deceased’s family, calling it fair and justified.
 
The insurance company had challenged the order of the Motor Accident Claims Tribunal (MACT), Nainital, which in November 2024 had directed payment of Rs 53.93 lakh in compensation with 6 per cent annual interest.
 
The company argued that the amount was excessive and not legally justified. The court, however, observed that the Motor Vehicles Act is a welfare law meant to provide prompt and adequate financial assistance to victims. It said the compensation also covers the loss of love, affection, and family support, and that the tribunal’s decision was legally sound and balanced.
 
Justice Mehra further emphasised that in motor accident compensation cases, courts must take a liberal and humane approach to ensure justice for victims and their families.
 
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