Rs 3.61 crore for 15-year-old accident victim: HC says compensation not a ‘dole’ but entitlement

The insurer’s bid to cut compensation backfired as the Punjab and Haryana High Court called the earlier Rs 78 lakh award inadequate.

4 min readChandigarhApr 9, 2026 06:12 PM IST

The Punjab and Haryana High Court enhanced compensation to ₹3.61 crore for a child left in a persistent vegetative state following a 2011 road accident, dismissing the insurer's plea for a reduction.

In a significant blow to the insurer, the Punjab and Haryana High Court Thursday enhanced compensation to Rs 3.61 crore for a child rendered permanently disabled in a road accident, dismissing the insurance company’s plea to reduce the earlier award of Rs 78.1 lakh.

Ruling on cross appeals, Justice Archana Puri held that the Motor Accident Claims Tribunal had failed to award “just compensation” to Ashkara Jain, who was nine years old when the 2011 accident left her in a persistent vegetative state with 100 per cent permanent disability.

“The measure of compensation must reflect a genuine attempt of the law to restore the dignity of the being… Our yardsticks of compensation should not be so abysmal as to lead one to question whether our law values human life,” Justice Archana Puri said, quoting the Supreme Court.

The insurance company, Iffco Tokio General Insurance Company, had sought a reduction of the compensation, while the claimant, through her father, sought an enhancement. Rejecting the insurer’s appeal and allowing the claimant’s plea, the court said compensation under the Motor Vehicles Act must be “fair, reasonable and equitable” and not “niggardly”.

The court underscored that the Tribunal erred in limiting future medical expenses and pain and suffering to just two years despite the child’s lifelong condition. “The child in the present case will remain bedridden for life… limiting the period of two years… is not appropriate,” it held.

‘Childhood dreams came dashing down’

Detailing the impact of the injuries, the court recorded that the child suffered severe brain trauma, underwent multiple surgeries, and remains unable to see, speak, or perform any bodily function independently, with food intake through a PEG tube. “Her childhood dreams came dashing down… her chances… in life were completely snuffed out,” the court observed.

Calling for a realistic and humane approach, the judge noted: “Compensation… cannot be equated to bonanza, but at the same time, it ought not to be a niggardly amount.” It added that courts must adopt a “broad-based approach” and ensure that victims are not forced to repeatedly seek enhancement for future needs.

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Reworking the computation, the court recalculated loss of earnings by applying minimum wages and future prospects, significantly raising it to Rs 15.22 lakh. It also awarded Rs 1.22 crore each towards future medical care and attendant charges, recognising the need for lifelong specialised nursing.

On non-pecuniary damages, the court awarded Rs 30 lakh for pain and suffering, observing that the Tribunal’s earlier assessment was “palpably erroneous”. “She cannot communicate; she cannot enjoy the pleasures of life… she will miss out the fun of childhood, the excitement of youth,” the court said.

The total compensation was recalculated at Rs 3.61 crore, an amount enhanced by Rs 2.83 crore over the Tribunal’s award. The court directed payment of 6 per cent annual interest on the enhanced sum from the date of filing of the appeal.

Of the enhanced amount, Rs 1 crore is to be released to the father immediately for ongoing care, while the balance is to be secured in fixed deposits, with liberty to withdraw in case of medical need.

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Dismissing the insurer’s appeal, the court reiterated that compensation is not a dole but a legal entitlement. “Awards of compensation are not law’s doles… they constitute entitlements under law,” it said.

Manraj Grewal Sharma

Manraj Grewal Sharma is a senior journalist and the Resident Editor of The Indian Express in Chandigarh, where she leads the newspaper’s coverage of north India’s most politically and institutionally significant regions. From Punjab and Haryana to Himachal Pradesh and the Union Territory of Chandigarh, she oversees reporting at the intersection of governance, law, politics and society. She also reports on the diaspora, especially in Canada and the US. With a career spanning journalism across several countries, academia and international development, Manraj brings a rare depth of perspective to regional reporting. She is widely regarded as a leading chronicler of Punjab’s contemporary history and socio-political evolution, particularly its long shadow of militancy, federal tensions and identity politics. Her book, Dreams after Darkness, remains a definitive account of the militancy years and their enduring aftermath. Professional Background & Expertise A gold medalist in mass communication and a post-graduate in English literature, Manraj has a multifaceted career spanning journalism, academia, and international development. She was also awarded a fellowship by National Foundation of India and did several in-depth pieces on Manipur. Internationally, she has reported from Israel, US, UK, Myanmar, and Mauritius Her key focus areas include: Regional Politics, History, Agriculture, Diaspora, and Security. Of late, she has started focusing on Legal & Judicial Affairs: Much of her recent work involves reporting on high-stakes cases in the Punjab and Haryana High Court, ranging from environmental policy to civil rights. International Consulting: She previously served as a consulting editor for the Asia Pacific Adaptation Network and a publishing consultant for the Asian Development Bank (ADB) in Manila. Academia: For five years, she was the managing editor of Gender, Technology and Development, a peer-reviewed international journal at the Asian Institute of Technology, Bangkok. Recent Notable Articles (Late 2025) Her recent reportage focuses heavily on judicial interventions and regional governance: 1. Environment & Governance "‘NGT can’t test legality of policy’: HC hears challenge to Punjab’s ‘Green Habitat’ plan" (Dec 22, 2025): Covering a critical legal battle over whether the National Green Tribunal has the authority to strike down a state policy regularizing farmhouses on delisted forest land. "High court pulls up Punjab poll panel over audio clip probe" (Dec 10, 2025): Reporting on judicial concerns regarding the transparency and fairness of local body elections. 2. Legal Rights & Social Welfare "HC issues notice to Punjab, Haryana over delay in building old age homes" (Dec 22, 2025): Reporting on a contempt petition against top officials for failing to establish government-run homes for the elderly as promised in 2019. "Victims can appeal acquittals in sessions court without seeking special leave" (Dec 19, 2025): Highlighting a significant procedural shift in criminal law following a Supreme Court ruling. "HC upholds benefits for Punjab FCI officer acquitted in 20-year-old bribery case" (Dec 19, 2025): A report on the concept of "honourable acquittal" and its impact on employee benefits. 3. Human Rights & Identity "As Punjab denies parole to MP Amritpal Singh, HC asks it to submit ‘foundational material’" (Dec 1, 2025): Covering the legal proceedings regarding the radical preacher and sitting MP's request to attend Parliament. "Protecting life paramount: HC backs Muslim woman in live-in after verbal divorce" (Nov 6, 2025): Analyzing judicial protections for personal liberty in the context of traditional practices. Signature Beats Manraj is recognized for her ability to decode complex judicial rulings and relate them to the everyday lives of citizens. Whether it is a 30-year-old land battle in Fazilka or the political implications of Kangana Ranaut’s candidacy in Mandi, her writing provides deep historical and regional context. Contact @grewal_sharma on X manrajgrewalsharma on Instagram ... Read More

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