Motor accident claims depend on prompt filing, proper documentation

Overstating income or injuries, false implication, or missing hearings and notices can result in rejection

A recent Karnataka High Court judgement has underscored a crucial aspect of road accident compensation: even minor delays, missing documents or gaps in evidence can cost victims their rightful claim. In the case before the court, a 24-day delay in filing the complaint and the inability to establish the involvement of the offending vehicle led the Motor Accident Claims Tribunal (MACT) to reject the plea — a decision the High Court upheld. 

The judgement highlights the importance of understanding how the MACT functions, why its procedures matter, and the steps accident victims must take to avoid losing compensation on technical grounds.

 

How the tribunal works 

The MACT, established under Section 165 of the Motor Vehicles Act, 1988, adjudicates compensation claims arising from motor vehicle accidents involving death, injury or third-party property damage. 

“Unlike civil courts, it follows a faster, summary procedure. Once an application is filed, the tribunal conducts an enquiry under Section 168 and decides the claim based on this summary procedure,” says Manmeet Kaur, partner, Karanjawala & Co, a dispute resolution firm.

 

How to file a case in MACT 

Filing a claim requires submitting an application in the prescribed format, detailing the circumstances of the accident, injury or damage suffered, and compensation sought. “The application may be filed by the victim, the legal representatives of the deceased, the owner of damaged property or an authorised representative of the claimant,” says Soumen Mohanty, partner, Aquilaw.

 

A claim may be filed with the MACT of the area where the claimant or the defendant resides or conducts business. Mohanty informs that the time limit for filing a claim is six months from the date of the accident.

 

“But this limitation is under challenge before the Supreme Court. No claim can be dismissed on this ground until the petition is decided,” says Kaur.

 

How award is determined 

The tribunal examines the overall impact of the accident on the victim’s life. It takes into consideration age, income and earning capacity. It often applies the multiplier method to assess loss of future income. “It reviews medical evidence, disability certificates, hospital bills and the need for long-term treatment. In death cases, it examines the number of dependants and their financial dependence. Non-economic losses like pain, suffering and loss of companionship are also considered. The tribunal must rely on credible documents and consistent evidence,” says Shankey Agrawal, partner, BMR Legal.

 

Where the victim is partly at fault, compensation is reduced in proportion to their fault. “Failing to wear a helmet or crossing the road carelessly may lower the award, depending on the degree of negligence proved. The tribunal’s assessment must rely on evidence, not assumptions,” says Agrawal.

 

Steps to secure claim 

To strengthen their case, victims should promptly file an FIR. “They must also secure evidence from the accident site, seek immediate medical care, preserve all hospital and billing records, and ensure medico-legal case (MLC) registration,” says Smita Paliwal, partner, King Stubb & Kasiva, advocates and attorneys. 

Agrawal adds that delays, missing documents or inconsistencies can weaken a case and lead to rejection, as shown by the Karnataka High Court judgement.

 

Why claims are rejected 

Courts frequently reject claims due to long, unexplained delays in filing FIRs, inability to prove involvement of the offending vehicle, lack of credible medical evidence, exaggerated claims or signs of false implication. “Many claimants weaken their own case by failing to document injuries, relying only on oral statements, inflating claims or ignoring procedural requirements,” says Paliwal.

 

Mistakes to avoid 

Victims should avoid delaying the FIR or relying solely on oral statements. They must maintain complete medical documentation and refrain from overstating income or injuries. “Not attending hearings or failing to respond to notices can also weaken the case. Timely action and proper documentation are essential for a successful claim,” says Agrawal.

 

Key documents for filing claim

• Vehicle’s registration certificate, insurance papers, driving licence
• FIR or police complaint, photographs or CCTV footage of accident
• Medical records (for injuries) or death certificate (if applicable)
• ID proof of claimants in case of death
• Treatment bills and treatment record
• Income proof (in case of loss of earnings)
• Documents showing qualifications of deceased or victim
• Affidavit establishing relationship of claimants with deceased

The writer is a New Delhi-based independent journalist