The Oriental Insurance Co. Ltd vs Sh. Braham Pal And Ors on 19 May, 2026

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    Delhi High Court – Orders

    The Oriental Insurance Co. Ltd vs Sh. Braham Pal And Ors on 19 May, 2026

                              $~63
                              *         IN THE HIGH COURT OF DELHI AT NEW DELHI
                              +         MAC.APP. 257/2026 & CM APPL. 24658/2026
                                        THE ORIENTAL INSURANCE CO. LTD                                                  .....Appellant
                                                                      Through:            Mr. J.P.N. Shahi, Adv.
    
                                                                      versus
    
                                        SH. BRAHAM PAL AND ORS            .....Respondents
                                                     Through: Mr. Pankaj Gupta, Adv. for R-1 & 2.
                                        CORAM:
                                        HON'BLE MR. JUSTICE ANISH DAYAL
                                                                      ORDER
    

    % 19.05.2026

    1. This issue, as noted in order dated 29th April 2026, concerns the
    parameters for adopting minimum wages of a ‘skilled worker’ in case of the
    death of a minor child and the multiplier of ’18’ being adopted.

    SPONSORED

    2. This Court, after having considered all the relevant decisions of the
    Supreme Court, including Devendra Kumar Tripathi and Others v. The
    Oriental Insurance Co. Ltd. and Anr.
    2025 INSC 1429, has considered
    these issues in the decision of Rubi Devi and Anr. v. The New India
    Assurance Com
    . Ltd and Ors. 2026:DHC:3674, wherein it was concluded
    that the multiplier to be adopted will be ’18’ and the minimum wages of a
    skilled worker shall be considered.
    For ease of reference, relevant
    paragraphs of Rubi Devi (supra) are extracted as under:

    “On notional income of a minor

    10. As regards determination of benchmark income, this
    Court in Sanju (supra), after examining the decision in
    Kajal (supra) and the subsequent judgments that followed

    This is a digitally signed order.

    The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
    The Order is downloaded from the DHC Server on 25/05/2026 at 21:02:35
    and relied upon it, concluded that the notional income in
    cases concerning fatal accidents of minor children cannot
    be treated as a fixed or static figure. Instead, the
    appropriate way to assess the income is on the basis of the
    minimum wages payable to a skilled worker in the
    concerned State. The relevant observations of the Court are
    reproduced below:

    “10. The first of these cases was Kajal v. Jagdish
    Chand
    , which was a case of injury inflicted upon a
    child of 12 years of age. The Court computed loss of
    future income on the basis of minimum wages of a
    skilled worker, reasoning as follows:

    “20. Both the courts below have held that since the girl
    was a young child of 12 years only notional income of
    Rs 15,000 p.a. can be taken into consideration. We do
    not think this is a proper way of assessing the future
    loss of income. This young girl after studying could
    have worked and would have earned much more than
    Rs 15,000 p.a. Each case has to be decided on its own
    evidence but taking notional income to be Rs 15,000
    p.a. is not at all justified. The appellant has placed
    before us material to show that the minimum wages
    payable to a skilled workman is Rs 4846 per month. In
    our opinion, this would be the minimum amount which
    she would have earned on becoming a major. Adding
    40% for the future prospects, it works to be Rs 6784.40
    per month i.e. 81,412.80 p.a. Applying the multiplier of
    18, it works out to Rs 14,65,430.40, which is rounded
    off to Rs 14,66,000.”

    11. The judgment in Kajal was followed in Master
    Ayush v. Branch Manager
    , Reliance General Insurance
    Co. Ltd., Minor Roopa v. The Divisional Manager, New
    India Assurance Company Ltd.
    , and Baby Sakshi
    Greola v. Manzoor Ahmad Simon
    , which were all also
    cases where minor victims had suffered debilitating
    injuries.

    12. This line of judgments has recently been reiterated
    in Hitesh Nagjibhai Patel v. Bababhai Nagjibhai

    This is a digitally signed order.

    The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
    The Order is downloaded from the DHC Server on 25/05/2026 at 21:02:35
    Rabari, which was once again an injury case. The
    Supreme Court held therein as follows:

    “9. On the aspect of monthly income of the minor
    appellant, we are inclined to interfere with the
    judgment and order of the Courts below. In the present
    case, it is evident that the Courts below have failed to
    take into account the monthly income of the appellant
    while determining the quantum of compensation. It is
    now a well-entrenched and consistently reiterated
    principle of law that a minor child who suffers death or
    permanent disability in a motor vehicle accident,
    cannot be placed in the same category as a non-
    earning individual for the purposes of assessing the
    amount of compensation because the child was not
    engaged in gainful employment at the time of the
    accident. In such a case, the computation of
    compensation under the head of loss of income ought
    to be made by adopting, at the very least, the minimum
    wages payable to a skilled workman as notified for the
    relevant period in the respective State where the cause
    of action arises. The said observation was rendered by
    this Court, in Kajal v. Jagdish Chand and Ors., and
    Baby Sakshi Greola v. Manzoor Ahmad Simon and Anr
    ****

    15. For the purpose of emphasis, it is again clarified
    here that when a Tribunal or the High Court in appeal,
    is concerned with the case involving a child having
    suffered injury or having passed away, the calculation
    of loss of income necessarily has to be made on the
    matric of minimum wages payable to a skilled worker
    in the respective State at the relevant point of time. It is
    our hope that this restatement helps avoiding such
    errors and thereby obviates the necessity of this Court’s
    interference, applying well-established principles of
    law.”

    (emphasis added)

    This is a digitally signed order.

    The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
    The Order is downloaded from the DHC Server on 25/05/2026 at 21:02:35
    On applicable multiplier for a minor

    11. As regards the issue of multiplier, this Court in Sanju
    (supra) assessed a line of judgments including Kajal
    (supra), Master Ayush (supra) Baby Sakshi Greola v.
    Manzoor Ahmad Simon
    2024 SCC OnLine SC 3692, and
    Karuna Parmar v. Prakash Sinha 2025 INSC 1244, which
    were referred and assessed in detail.

    12. Further, reliance was placed in Sanju (supra) upon
    decisions by this Court in National Insurance Co. Ltd. v.
    Pooja
    2025 SCC OnLine Del 1044, Rakesh Sharma v.
    Ashok 2025 SCC OnLine Del 1364 and Cholamandalam
    MS General Insurance Co. Ltd. v. Bhupan Paswan
    2025
    SCC OnLine Del 1045, wherein a multiplier of 18 was
    adopted after considering the decisions of the Supreme
    Court.

    13. Relevant observations made by this Court in Sanju
    (supra) are extracted as under:

    “26. In my view, the argument, at least before this
    Court, is foreclosed by the judgments in Pooja, Rakesh
    Sharma, and Bhupan Paswan, where the multiplier 18
    has been adopted after considering the judgments in
    Sarla Verma, Kajal, Master Ayush, and Sakshi Greola.
    The discussion on this aspect in Bhupan Paswan reads
    as follows:

    “31. The learned Tribunal has computed the
    compensation by applying a multiplier of 15, by
    considering the age of the deceased.

    32. The calculation of Multiplier has been laid down in
    the case of Sarla Varma (Supra) as under:-
    “21. We therefore hold that the multiplier to be used
    should be as mentioned in column (4) of the Table
    above (prepared by applying Susamma Thomas, Trilok
    Chandra and Charlie), which starts with an operative
    multiplier of 18 (for the age groups of 15 to 20 and 21
    to 25 years), reduced by one unit for every five years,
    that is M-17 for 26 to 30 years, M-16 for 31 to 35
    years, M-15 for 36 to 40 years, M-14 for 41 to 45
    years, and M-13 for 46 to 50 years, then reduced by

    This is a digitally signed order.

    The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
    The Order is downloaded from the DHC Server on 25/05/2026 at 21:02:35
    two units for every five years, that is, M-11 for 51 to 55
    years, M-9 for 56 to 60 years, M-7 for 61 to 65 years
    and M-5 for 66 to 70 years.”

    33. Evidently, the Judgment is silent on the multiplier
    to be used for the victims under 15 years of age. This
    incongruity in the matter of selection of multiplier in
    the case of persons in the age group up to 15 years was
    noted in by the Apex the case of Divya vs. National
    Insurance Company Ltd., Civil Appeal No.
    7605/2022.

    In the most recent judgment of the Supreme Court in
    Baby Sakshi Greola vs. Manzoor Ahmad Simon &Anr.,
    SLP (C) No.
    10996/2018, while referring to the
    judgments of Kajal (supra) and Master Ayush (supra),
    the Apex Court has applied the multiplier of 18 for a
    minor.

    Thus, in light of the above judgments, this Court deems
    it appropriate to ascertain the Multiplier as ’18’ to
    calculate the loss of dependency is calculated
    accordingly.”

    As noted above, the Supreme Court declined special
    leave to appeal against this judgment.

    27. Having regard to the binding judgment of the
    Coordinate Bench, which considers Sarla Verma, I am
    of the view that the applicable multiplier in such cases
    would be 18.”

    (emphasis added)

    14. Taking a similar view, this Court in Tata AIG General
    Insurance Company v Mukesh Kumar and Ors.

    2026:DHC:756, while dealing with an appeal filed by the
    Insurance Company on the ground that the Tribunal while
    assessing loss of dependency in case of death of a minor
    child had erred by taking the multiplier of 18, instead of 15,
    and that income of the deceased should either be
    determined on the basis of notional income or that of an
    unskilled worker, dismissed the said appeal and held as
    under:

    This is a digitally signed order.

    The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
    The Order is downloaded from the DHC Server on 25/05/2026 at 21:02:35
    “22.6 Analysing all these decisions, this Court in
    Sanju (supra) held the view, as extracted above in
    paragraph 14, that the applicable multiplier would be
    18 and that minimum wages of a skilled worker of the
    concerned State would be applicable.

    23. In view of the above discussion, contention of
    appellant cannot be accepted.”

    (emphasis added)

    15. Reliance placed by the counsel for the Insurance
    Company on Thangavel and Ors. (supra) is misplaced, as
    the Supreme Court has categorically opined in paragraph 6
    that the multiplier of 15 was adopted considering the age of
    the mother of the deceased minor was who 36 years at the
    time of the accident. The relevant paragraph is extracted as
    under:

    “6. We are of the opinion that the monthly income of
    Rs.5,000/- as adopted for the child by the Tribunal is
    perfectly in order. There is no question of any
    deduction for personal expenses and hence even if the
    multiplier adopted is 15, considering the mother’s age
    of 36, the total compensation for loss of dependency
    would be Rs.7,50,000/-, Rs.30,000 more than that
    awarded by the Tribunal……”

    (emphasis added)

    16. The Supreme Court in the case of Reshma Kumari v.
    Madan Mohan
    (2013) 9 SCC 65, held that the multiplier is
    to be used with reference to the age of the deceased.
    The
    Constitution Bench in National Insurance Company Ltd.
    vs. Pranay Sethi & Ors.
    (2017) 16 SCC 680 affirmed the
    view taken in Smt. Sarla Verma & Ors v. Delhi Transport
    Corporation & Anr.
    (2009) 5 SCC 121 and Reshma
    Kumari
    (supra), and recorded in the conclusions as under:

    “59.7. The age of the deceased should be the basis for
    applying the multiplier.”

    This is a digitally signed order.

    The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
    The Order is downloaded from the DHC Server on 25/05/2026 at 21:02:35

    17. Therefore, multiplier of 15 adopted in Thangavel and
    Ors.
    (supra) is as per age of mother of the deceased and not
    that of the deceased.

    18. As regards the argument raised by Mr. Paul, counsel for
    Insurance Company, that different multipliers ought to be
    applied in cases of death and injury, relying upon the
    judgment of Supreme Court in Devendra Kumar Tripathi
    (supra), this Court notes that post Kajal (supra), the
    Supreme Court has taken a consistent view regarding the
    multiplier to be applied in cases involving persons below 15
    years of age.

    19. Furthermore, this Court has consistently taken the view
    in multiple case including Jamaluddin (supra), Reena
    Raghav (supra), Pooja (supra), Sanju (supra), and Mukesh
    (supra), that a multiplier of 18 ought to be applied in cases
    involving the death of a child below 15 years of age.
    ……….

    32. Therefore, in light of the above decisions, the minimum
    wages of a skilled worker in Uttar Pradesh ought to be
    taken as benchmark income, as the deceased was resident of
    Ghaziabad, Uttar Pradesh. At the time of accident minimum
    wages of a skilled worker in Uttar Pradesh were Rs. 7,085/-
    per month; the same shall have to be accounted for.
    Multiplier of 18, instead of 10, shall be considered.”

    (emphasis added)

    3. Accordingly, placing reliance on the aforesaid decision in Rubi Devi
    (supra), no infirmity is found in the impugned award dated 15th January
    2026 passed by the Motor Accident Claims Tribunal-01, North District,
    Rohini Courts [“MACT”] in MACT No.914/2022 warranting interference by
    this Court. The contentions raised by appellant/Insurance Company are,
    accordingly, rejected.

    4. The release of the awarded amount shall be effected in terms of the
    directions contained in the impugned award dated 15th January 2026 passed
    by the MACT.

    This is a digitally signed order.

    The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
    The Order is downloaded from the DHC Server on 25/05/2026 at 21:02:35

    5. Statutory deposit be refunded to appellant/Insurance Company, only if

    6. the order of deposit has been complied with.

    7. Accordingly, the appeal is dismissed.

    8. Pending applications, if any, are rendered as infructuous.

    9. Order be uploaded on the website of this Court.

    ANISH DAYAL, J
    MAY 19, 2026/MK/tk

    This is a digitally signed order.

    The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
    The Order is downloaded from the DHC Server on 25/05/2026 at 21:02:35



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