Topic
Bombay HC Nagpur Bench rules that compensation under Section 163-A MV Act must strictly adhere to the Second Schedule, irrespective of fault or FIR status. The judgment overturns tribunal discretion, reinforcing no-fault liability for motor accident claims and binding insurers to statutory compensation norms.
Andhra Pradesh High Court rules that claims under Section 163A of the Motor Vehicles Act are barred if the deceased’s annual income exceeds Rs.40,000, limiting compensation strictly to the Second Schedule without future prospects or enhancements. This decision impacts no-fault liability claims, reinforcing structured compensation norms for higher-income victims.
The Bombay High Court reaffirmed that under Section 163-A of the Motor Vehicles Act, insurers cannot evade liability by alleging victim negligence. Compensation is determined solely by the Second Schedule, making this a no-fault liability regime. This ruling reinforces the absolute obligation of insurers to pay structured compensation regardless of contributory factors.