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Insurance Lawyer: Certificate of income from employer accepted as proof of monthly income, in MACT claim, by the Supreme Court.

Supreme Court of India

Justice Indu Malhotra and Justice M R Shah

The Supreme Court had accepted certificate of income from employer, which was first time filed in SC, as a proof of monthly income, and held as per the  affidavit of the employer, the monthly income of the appellant was assessed at Rupees 10,000 per month.

The future prospects was taken at 50% by the SC. The disability of the petitioner was taken to be 100%, for the reason, the petitioner was the driver, and he would not be able to drive or do any agricultural activities, due to injuries suffered in the accident.

It was further held by the SC that neither the MACT nor the High Court had awarded any amount for hospitalization, surgeries and medical treatment. The Supreme Court awarded 750000 INR towards hospitalization and medical expenses incurred in the past by the petitioner as he had undergone five surgeries and extensive medical treatment.

Further, as the condition of the appellant was extremely pitiable, further sum of rupees 10 lakh awarded on account of future medical expenses and attendant charges. The interest awarded by the High Court at the rate of 9% was maintained by the SC from the date of claim petition till recovery.

Lastly, principle of 'pay and recover', was reiterated by the SC {Parvinder Singh versus New India Assurance Company Limited and others}, that is, Insurance Company to pay and recover the amount from the owner of the offending vehicle in case of breach of terms of insurance policy.







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