Authority: High Court at Calcutta

Order Date: 15 Oct 2026

Case Overview

  • Parties: National Insurance Company Ltd. (appellant/Insurance Co.) vs. Sabra Pravin & Ors. (respondents/claimants).
  • The appeal (FMA 1126 of 2022) challenges the compensation awarded under Section 163‑A of the Motor Vehicles Act, 1988, alleging it exceeds the statutory limit.
  • The Court noted amendments to the Motor Vehicles Act and considered the legislation to be beneficial, prompting a reassessment of the award.

Final Outcome

  • The original judgment and award dated 21 September 2021 are modified; claimants are entitled to compensation of Rs.5,00,000 only.
  • National Insurance Company Ltd. must deposit Rs.5,00,000 plus interest at 6% per annum calculated from the date of filing of the claim case up to the date of this order.
  • The deposit must be made within eight weeks from the date of communication of this order.
  • Upon deposit, any balance due from the trial court award shall be adjusted, and claimants may withdraw the compensation after completing necessary formalities.
  • Urgent photostat certified copies of this order will be supplied to the parties upon compliance with all required formalities.

Topics: Compensation, Motor Vehicles Act, Insurance