Page 26 - Insurance Times November 2020

4. Sarla Verma (Smt) and Others -vs- Delhi Transport parts of the world more particularly in the United States of
Corporation and Another, (2009) 6 SCC 121; America, Australia, etc. English courts have also recognised

5. Magma General Insurance Company Limited -vs- Nanu the right of a spouse to get compensation even during the
Ram alias Chuhru Ram and others, (2018) 18 SCC 130; period of temporary disablement. By loss of consortium, the
courts have made an attempt to compensate the loss of
6. United India Insurance Company Ltd. -vs- Satinder Kaur
spouse's affection, comfort, solace, companionship, society,
alias Satvinder Kaur and others, (2020) SCC Online 410
assistance, protection, care and sexual relations during the
– Three Judge Bench;
future years. Unlike the compensation awarded in other
7. Sangita Arya and others -vs- Oriental Insurance countries and other jurisdictions, since the legal heirs are
Company ltd. and others, (2020) SCC Online 513; otherwise 18 adequately compensated for the pecuniary
loss, it would not be proper to award a major amount under
V. Discussion: this head. Hence, we are of the view that it would only be

General Manager Kerala State Road Transport just and reasonable that the courts award at least rupees
Corporation, Trivandrum -vs- Susamma Thomas(Mrs) and one lakh for loss of consortium.”
others, (1994) 2 SCC 176 –
Para 5 - “Concept of Compensation” - “The determination Magma General Insurance Company Limited versus Nanu
of the quantum must answer what contemporary society Ram alias Chuhru Ram and others, (2018) 18 SCC 130 –
“would deem to be a fair sum such as would allow the Para 21, 22 & 23 – Various kinds of Consortium – i). Spousal
wrongdoer to hold up his head among his neighbours and Consortium, ii). Parental Consortium, iii). Filial Consortium.
say with their approval that he has done the fair thing”. The
amount awarded must not be niggardly since the “law United India Insurance Company Ltd. versus Satinder
values life and limb in a free society in generous scales”. All Kaur alias Satvinder Kaur and others, (2020) SCC Online
this means that the sum awarded must be fair and 410 –
reasonable by accepted legal standards.”- Court awarded Para 53 to 65 – Three heads of compensation grant – i).
the amount under the conventional head of “Loss of Loss of Estate, ii). Loss of Consortium & iii). Funeral Expenses.
Consortium”. Laid down that ‘loss of love and affection’ is comprehended
in ‘loss of consortium’, hence, there is no justification to
Sarla Verma (Smt) and Others Versus Delhi Transport award compensation towards ‘loss of love and affection’ as
Corporation and Another, (2009) 6 SCC 121 – a separate head.
Para 16 – “just compensation” - ”Just compensation is
adequate compensation which is fair and equitable, on the VI.Held:
facts and circumstances of the case, to make good the loss
suffered as a result of the wrong, as far as money can do 1. The Constitution Bench in Pranay Sethi has also not
under conventional head included any compensation
so, by applying the well-settled principles relating to award
towards ‘loss of love and affection’ which have been
of 16 compensation. It is not intended to be a bonanza,
largesse or source of profit.” – Court awarded an amount now further reiterated by three Judge Bench in United
India Insurance Company Ltd.
under ‘Loss of Consortium to the wife’.
2. It is thus now authoritatively well settled that no
National Insurance Company Ltd. Versus Pranay Sethi compensation can be awarded under the head ‘loss of
and Others, (2017) 16 SCC 680 – Constitution Bench – love and affection’.
Para 46 – “In legal parlance, “consortium” is the right of
3. Consortium is not limited to spousal consortium and it
the spouse to the company, care, help, comfort, guidance,
also includes parental consortium as well as filial
society, solace, affection and sexual relations with his or her consortium and thus no requirement to interfere in the
mate. That non-pecuniary head of damages has not been
Order of the High Court in that regard.
properly understood by our courts. The loss of
4. There is no justification for award of compensation
companionship, love, care and protection, etc., the spouse
under separate head ‘loss of love and affection’ and that
is entitled to get, has to be compensated appropriately. The
concept of non-pecuniary damage for loss of consortium is is set aside.
one of the major heads of award of compensation in other 5. Appeals partly allowed.

26 The Insurance Times, November 2020