The Bombay High Court ruled that mediclaim payments cannot be deducted from compensation awarded under the Motor Vehicles Act. This affirms that compensation for accidents is a statutory right, while mediclaim is based on a separate contractual agreement, ensuring victims receive full compensation without unfair deductions based on insurance payouts.
The Supreme Court raised the compensation for a motor accident victim to Rs. 48,00,000, criticizing the High Court for inadequately assessing damages beyond loss of income. The Court emphasized fair compensation for both pecuniary and non-pecuniary losses while acknowledging that money cannot replace a lost life, ensuring justice for the victim’s permanent disability.
