Reforming Motor Accident Compensation: Balancing Economic Visibility with Constitutional Rights to Dignity and Equality
This article critiques the current legal framework for motor accident compensation in India, which often values lives based on earning capacity. It highlights that the 'multiplier method' used by tribunals can lead to lower compensation for homemakers, children, and informal workers compared to high-earning professionals. The author argues this violates Article 14 (Equality) and Article 21 (Right to Life with Dignity) of the Constitution. A proposed solution is a 'dignity floor'—a universal baseline payment for all victims, supplemented by income-linked additions to ensure fairness and social justice in the legal system.
Key Points
- Current compensation models often discriminate against non-earning individuals like homemakers and children by using 'notional income'.
- The 'multiplier method' calculates compensation based on the victim's annual income, age, and fixed standard categories.
- The author argues that valuing life solely on income violates the constitutional promise of equality under Article 14.
- A 'dignity floor' is suggested as a universal baseline payment for all accident victims regardless of their economic status.
Exam Facts
- Article 14 of the Indian Constitution guarantees equality before the law.
- Article 21 protects the right to life and personal liberty, which the Supreme Court has interpreted to include the right to live with dignity.
- The Motor Vehicles Act, 1988, is the primary legislation governing compensation for road accidents.
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