SC's ₹30,000 homemaker benchmark may lift accident compensation payouts

The Supreme Court has set a Rs 30,000 monthly income benchmark for homemakers, replacing the previous Rs 15,000-20,000 assumption used in motor accident compensation cases. Industry estimates suggest this could lead to a 5-8% increase in third-party claim reserves, with state-owned general insurers maintaining reserves of Rs 18,000-20,000 crore and large private insurers around Rs 8,000-10,000 crore each. Women account for 10-12% of motor accident death claims, with a majority involving homemakers, making the ruling material for general insurers.