The Motor Vehicles Act, 1988 established Motor Accident Claims Tribunals (MACT) in every district specifically to handle compensation claims arising from road accidents, separate from the ordinary civil court system.
Who can file a claim
The injured person can file a claim directly. In the case of death, legal heirs or dependents can claim compensation. The claim is typically filed against the vehicle owner, the driver, and the insurer — the insurer is usually made a party since the actual payout most often comes from the insurance policy.
How compensation is calculated
Tribunals weigh a specific set of factors rather than awarding a fixed amount.
- Age and income of the victim, using a standardised multiplier for loss of dependency in death cases
- Medical expenses actually incurred
- Loss of earning capacity in cases of permanent disability
- Pain, suffering, and loss of amenities
- Funeral expenses in fatal accident cases
No-fault vs. fault-based claims
Under Section 140 of the Act, a fixed interim compensation can be claimed without proving anyone was at fault. A full claim under Section 166 requires establishing negligence, but allows for a higher, fully assessed amount of compensation once that's shown.
The takeaway
Since compensation is calculated on documented facts — income proof, medical records, the FIR and accident report — collecting and preserving this evidence immediately after an accident is what most affects the eventual award.
This article is for general informational purposes only and does not constitute legal advice. Every matter has its own facts — please consult directly for guidance specific to your situation.
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