Page 349 - Motor Insurance Ebook IC 72

Guide for Motor Insurance

The income for the purpose of computation should
be salary less income tax. The multiplicand would
however not be applied if the person was self-
employed or if salary did not provide for increments.

The deduction for self would be dependent on the
number of dependents, higher the number od
dependants lesser the provision for self. Example
6 or more dependants self provision will be one-
fifth and two or three dependants it would be one
third.

STATUS DEPENDANTS DEDUCTION
Married 2 to 3 33.33%
Married 4 to 6 25%
Married Above 6 20%
Unmarried Parents 50%
Unmarried Parent with non-earning 33.3%^
siblings

The multiplier thereafter to be applied would be
dependent on the age of the deceased or dependent
whichever is higher. The multiplier prescribed by the
Supreme Court is around 1 or two points more than that
laid down in Schedule 2 for compensation under Sec.
163 A of the MV Act.

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