New Delhi, June 11, 2026
In a landmark judgment recognising the economic and social value of unpaid domestic work, the Supreme Court on Thursday described homemakers as “nation builders” and directed that a separate compensation component titled “loss of domestic care” be awarded in motor accident cases involving their death.
A bench of Justices Sanjay Karol and N. Kotiswar Singh enhanced compensation payable to the family of a woman who died in a road accident in Haryana in 2001, raising it from Rs 8.43 lakh to Rs 62.77 lakh, and laid down guidelines for assessing compensation in cases involving homemakers.
Allowing an appeal filed by the legal heirs of the deceased woman, the apex court held that the contribution of a homemaker extends far beyond conventional monetary measures and has long been undervalued in compensation jurisprudence.
Observing that the role of a homemaker is foundational to families and society, the top court remarked: “The ‘homemakers’, to put it directly, actually are the ‘nation builders’ and they ought to be recognised as such.”
The case arose from a motor accident on November 25, 2001, in which a woman lost her life while travelling from Sirsa to Fatehabad. The Motor Accident Claims Tribunal had awarded Rs 2.42 lakh in compensation in 2003, which was later enhanced by the Punjab and Haryana High Court to Rs 8.43 lakh in December 2024.
Still dissatisfied, the claimants approached the Supreme Court seeking further enhancement.
In its order, the Justice Karol-led Bench recorded that assessing the contribution of homemakers solely through notional income figures often results in inadequate compensation.
“To measure the contributions of a homemaker and mother… in strictly monetary terms is a task of considerable difficulty,” the apex court said.
Noting that compensation calculations based on historically low notional income figures “grossly undervalue” the role of homemakers, the apex court introduced a new compensation head called “loss of domestic care”.
Under the judgment, a composite sum of Rs 30,000 per month will be treated as the basic minimum monthly income of a homemaker for compensation purposes, where she has no independent monetary earnings. The amount will be revised upward by 10 per cent every three years.
“This amount of Rs 30,000, i.e., loss of domestic care, is to be taken as a ‘stand-in’ (basic minimum monthly income) for monthly income in those cases where the homemaker does not have an input into the house, in strictly conventional, monetary terms,” the Supreme Court held.
Applying the principle to the present case, the apex court recalculated compensation by treating Rs 30,000 as the deceased homemaker’s monthly contribution and enhanced the total compensation payable to Rs 62.77 lakh.
Apart from the issue of compensation, the judgment expressed concern over delays in the disposal of motor accident claims. Examining over a hundred motor accident compensation appeals decided by the Supreme Court, the Justice Karol-led Bench found that the average pendency in High Courts was approximately eight years, while claims remained pending before tribunals for about six years on average.
“The Motor Vehicles Act, 1988, to state the obvious, is a beneficial legislation aimed at providing just and fair compensation. Both of these salutary values are denuded by long pendency,” the apex court said.
The bench requested Chief Justices of all High Courts to prioritise listing long-pending motor accident claim appeals and consider increasing the number of benches handling such matters where necessary. It also directed that claim petitions should be accompanied by relevant documents such as proof of age, income records, disability certificates, and medical bills to minimise delays caused by repeated adjournments.
A copy of the judgment has been directed to be sent to all High Courts for compliance and circulation among Motor Accident Claims Tribunals.(Agency)
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