Oriental Insurance Co.Ltd vs Vithabai & Ors

The Supreme Court held that the Karnataka High Court erred in enhancing the compensation multiplier from '8' to '11' for the deceased aged 56, as per the Second Schedule of the Motor Vehicles Act. The Court reaffirmed that the appropriate multiplier should be '8', consistent with the principles established in Sarla Verma (2009) 6 SCC 121. Consequently, the compensation amount was reduced from Rs. 4,86,000/- to Rs. 3,20,000/- due to the recalibration of the multiplier.