Ministry of Road Transport and Highways amends compensation schedule of the Motor Vehicle Act, 1988

May 23, 2018 | by Avantis RegTech Legal Research Team

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General Compliance

The Ministry of Road Transport and Highways vide notification dated  May 22, 2018 has amended Second Schedule of Motor Vehicle Act, 1988 which relates to Compensation for third party fatal accidents, injury cases claims .

Second Schedule has been substituted as follows:

·         Fatal Accidents- Compensation payable in case of Death shall be Rs 5,00,000/-

·         Accidents resulting in permanent disability:-Compensation payable shall be = [Rs. 5,00,000/- × percentage disability as per Schedule I of the Employee’s Compensation Act, 1923 (8 of 1923)]  but shall not be less Rs 50,000/-

·         Accidents resulting in minor injury:-A fixed compensation of Rs,25,000/-  shall be payable:


The amount of compensation for all the cases shall be increased by 5% annually from January 1, 2019.


[S.O.2022(E )]



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