MACT orders Serum Institute, insurer to pay ₹16.72 lakh to mother of 2024 accident victim

Tribunal member SR Agrawal held that the evidence established negligence on the part of the car driver, belonging to Serum Institute

The Motor Accident Claims Tribunal (MACT), Pune, has directed Serum Institute of India Pvt Ltd and its insurer, New India Assurance Company Ltd, to jointly and severally pay ₹16.72 lakh in compensation, with 7% annual interest, to a 65-year-old woman whose 41-year-old son died after being run over by a car following a motorcycle accident near Golf Club Chowk in June 2024.

MACT orders Serum institute, insurer to pay ₹16.72 lakh to accident victim’s mother

In its judgment delivered on Wednesday, tribunal member SR Agrawal held that the evidence established negligence on the part of the car driver. Serum Institute owned the vehicle involved in the accident.

“The material on record establishes that the accident was caused by the rash or negligent driving of the offending vehicle,” the tribunal observed. It added that the motorcycle skidding and the victim falling on the road did not, by themselves, absolve the driver of the responsibility to exercise due care.

The award was passed on a claim petition filed by the victim’s mother, Lata Mohanrao Chavan, under Section 166 of the Motor Vehicles Act, 1988, on October 19, 2024.

The mother stated that her son worked as a delivery executive with a logistics firm and ran a tailoring business. She claimed he earned ₹37,000 a month from both occupations and sought ₹60 lakh in compensation, stating that she depended on his income.

Serum institute admitted owning the car but denied its involvement in the accident. The insurer disputed the deceased’s income and the mother’s dependency, denied negligence and alleged that the driver lacked a valid licence and the owner had breached policy conditions.

The tribunal noted that neither the driver nor any eyewitness was examined by the respondents to explain the collision. It said motor accident claims are decided on the preponderance of probabilities, rather than the stricter standard applicable in criminal trials.

While accepting negligence, the tribunal assessed Chavan’s monthly income at ₹15,000, citing gaps in the employment, income and tailoring-business records. Adding 25% for future prospects, deducting half towards personal expenses and applying a multiplier of 14, it calculated the loss of dependency at ₹15.75 lakh.

The award includes amounts for funeral expenses, loss of estate, loss of consortium and medical expenses, taking the total to ₹16,72,210. Rejecting the insurer’s policy-breach argument for want of evidence, the tribunal directed both respondents to pay the compensation with 7% annual interest from the date of filing the petition until realisation, along with ₹5,000 towards litigation costs.