Supreme Court enhances compensation in Sharad Singh motor accident case (2025)
SC ENHANCES COMPENSATION IN SHARAD SINGH MOTOR ACCIDENT CASE
CASE SUMMARY – In Sharad Singh vs. H. D. Narang & Anr. , the Supreme Court addressed compensation for a 20-year-old accident victim rendered paraplegic. The Court found that adopting minimum wages underestimated the potential of a bright student preparing for Chartered Accountancy. It recalculated his notional income at ₹5,000 per month with 40% future prospects, awarding ₹40,34,356 plus interest. Additionally, it directed the insurance company to pay ₹20 lakhs towards verified medical expenses. The judgment recognized the victim’s lost aspirations, prolonged suffering, and upheld the principle of just and fair compensation.
| ASPECTS | DETAILS |
| Case Title | Sharad Singh (Dead) Through LR vs. H. D. Narang & Anr. |
| Introduction | The case concerns compensation arising from a motor vehicle accident that left a 20-year-old man paraplegic, later represented by his mother after his death. |
| Factual Background | The victim, a B.Com student pursuing Chartered Accountancy, sustained 100% disability after being run over by a negligently driven car. He remained bedridden for 20 years until 2021. His family incurred huge medical expenses across Delhi, Goa, and Bengaluru. |
| Legal Issues |
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| Applicable Law | National Insurance Co. Ltd. vs. Pranay Sethi (2017) 16 SCC 680 regarding computation of income and future prospects. |
| Analysis | The Court rejected the insurance company’s objection to bills from outside Delhi, recognizing the necessity due to climatic conditions. It enhanced the victim’s monthly notional income from minimum wages (₹3,352) to ₹5,000, with 40% addition for future prospects. |
| Conclusion | The Court awarded a total of ₹40,34,356 with 9% interest, plus ₹20 lakhs for medical expenses, payable within 4 months. |
| Current Scenario | Judgment delivered on 26 September 2025, modifying High Court’s award, ensuring just compensation to the deceased victim’s family. |
“A young man’s shattered dreams deserve just compensation.“
SOURCE – SUPREME COURT OF INDIA
READ ALSO – SC ENHANCES COMPENSATION FOR MOTOR ACCIDENT VICTIM’S HEIRS
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