What is your life worth?

Photo: 123RF

A Malaysia Airlines Boeing 777-200ER

What is your life worth?

Dr John Campbell, a famous YouTube coronavirus star has just announced, it is inevitable that all of us will be infected by the Delta variant sooner or later.

In Malaysia, many are depressed because of isolation and further fear of infection.

When I heard that this country is recording an average of 267 Covid-19 deaths daily, I was reminded of a doctor’s analogy that this is similar to an air crash every day!

As the coronavirus deaths continue, this alarming news did not seem to be of great concern just because it is a pandemic. Lives seem so cheap to some.

What if these deaths were to happen in air crashes?

Under Article 17(1) of the Montreal Convention (MC), an airline is liable if a passenger dies due to an accident which took place on board during the course of embarking and disembarking the aircraft.

Assuming that an “accident” has been established, then each passenger is compensated up to 128,821 SDRs (Special Drawing Rights). This is an artificial currency set by the International Monetary Fund. Its value is based on a basket of five currencies – the U.S. dollar, the Euro, the Chinese renminbi, the Japanese yen and the British pound sterling.

The affected party suing has 2 options:

He may sue the airline for a sum not exceeding 128,821 SDRs. In this case, under Article 21(1) MC, fault or negligence is irrelevant and airline’s liability is assured.

However, if the party wishes to sue for more than 128,821 SDRs, then the airline can challenge the claim that the accident was not their fault or negligence.

For example, in the MH 370 case where the Boeing 777 disappeared without any conclusive proof of the loss, the cause of action may be problematic. If the airline wins, the party may get nothing!

Tan Wei Hong vs CAAM & Govt of Malaysia

On May 13, 2021, the Civil Aviation Authority of Malaysia (CAAM) and Malaysian government agreed on a US$320,000 (RM1.3 million) settlement to compensate the family members of two victims of Malaysia Airlines Flight MH370 namely Tan Wei Hong and his sibling.

The pay-out was via a consent judgement between both the parties. A consent judgment is an agreement between the parties in writing to resolve a legal suit.

In this case, there was a condition that the payment will be made without admission of liability and is intended to be a conclusion to the suit.

Conclusion

Death is a taboo and rarely discussed by our local folks. However, in reality, death can come to all of us. While accidents are always unfortunate, we should be well informed of our rights.

As such, according to the Montreal Convention as recognized by the Malaysian court, your life is worth at least RM758,722 in an air accident.

Note:

1. One SDR = USD 1.42. Therefore 128,821 SDRs = USD182,925 = RM758,722 (USD1 @ RM4.15)
2. This article is for general information only and not to be treated as a legal advice.

Latest news. Everyone is going to be infected with Delta variant COVID-19 sooner or later. So be prepared.