How motor accident compensation is calculated in death cases
The multiplier method used by Motor Accidents Claims Tribunals: income, future prospects, deduction, multiplier and conventional heads.
Updated 31 Oct 2026 · General information, not legal advice for a particular case.
Use the free mact compensation calculator →Step by step
- Establish the deceased's monthly income and multiply by 12.
- Add future prospects (National Insurance v. Pranay Sethi, 2017): permanent employment 50% below 40, 30% from 40 to 50, 15% from 50 to 60; self-employed or fixed wage 40%, 25% and 10%; nil above 60.
- Deduct personal expenses (Sarla Verma v. DTC, 2009): one-third for 2 to 3 dependants, one-fourth for 4 to 6, one-fifth above 6; one-half for an unmarried deceased.
- Multiply by the multiplier for the deceased's age: 18 up to 25, then 17, 16, 15, 14 and 13 in five-year steps to 50, 11 for 51 to 55, 9 for 56 to 60, 7 for 61 to 65 and 5 above 65.
- Add conventional heads: loss of estate ₹15,000, funeral expenses ₹15,000 and consortium ₹40,000 per eligible claimant (Magma General v. Nanu Ram, 2018), each increased by 10% every three years from 2017.
A worked example
A 34-year-old self-employed person earning ₹25,000 a month, married with four dependants: annual income ₹3,00,000; plus 40% future prospects gives ₹4,20,000; less one-fourth gives ₹3,15,000; multiplier 16 gives loss of dependency of ₹50,40,000. Conventional heads are added on top.
Where tribunals differ
How the 10% increase is applied, who counts as a dependant, and how income is proved vary between tribunals and High Courts. Check the latest rulings in your jurisdiction.
Frequently asked questions
- What is the multiplier for age 40?
- 15 under the Sarla Verma table (age 36 to 40).
- Is future prospects added for a self-employed person?
- Yes. Pranay Sethi extended future prospects to the self-employed and those on fixed wages: 40% below 40.
- How much is consortium?
- ₹40,000 per eligible claimant as fixed in 2017, increased by 10% every three years.