The Supreme Court of India ruled that employer-provided group insurance and other contractual or social security benefits received by a deceased person’s family cannot reduce compensation under the Motor Vehicles Act, holding such benefits are independent of statutory accident compensation claims.
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.
