Under section 164 of the Motor Vehicles Act, 1988, in the case of grievous hurt due to an accident…

Section 164(1) of the Motor Vehicles Act, 1988 makes the owner of the motor vehicle or the authorised insurer liable to pay ₹2.5 lakh to the victim in the case of grievous hurt (and ₹5 lakh to the legal heirs in the case of death) due to an accident arising out of the use of a motor vehicle, without proof of fault (section 164(2)). ₹5 lakh is the sum for death, ₹50,000 (or such higher amount as may be prescribed) is the sum for grievous hurt in a hit and run motor accident under section 161(2)(b), and ₹1 lakh is not a sum fixed by section 164. (This replaced the no-fault liability formerly in Chapter X, omitted from 1 April 2022.)