War Injuries (Compensation Insurance) Act, 1943

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THE WAR INJURIES (COMPENSATION INSURANCE) ACT, 1943 
 
 
 
CONTENTS 
 
1. Short title, extent and commencement 
 
2. Definitions  
 
3. Compensation payable under the Act by the whom and how payable 
 
4. Limitation on right to receive compensation otherwise than under this Act and Ordinance VII 
 of 1941 
 
5. Amount of compensation 
 
6. Workmen to whom the Act applies 
 
7. War Injuries Compensation Insurance Scheme 
 
8. Employment of agents by the Federal Government 
 
9. Compulsory insurance 
 
10. Prohibition of certain insurance business 
 
11. War Injuries Compensation Insurance Fund 
 
12. Principals and contractors 
 
13. Power of Federal Government to obtain information 
 
14. Recovery of premium unpaid 
 
15. Payment of compensation where employer has failed to insure 
 
16. Limitation of prosecutions 
17. Compensation of offences  

 
 
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18. Bar of legal proceedings 
 
19. Power to exempt employers 
 
20. Power to make rules 
 
1[THE FIRST SCHEDULE] 
 
THE SECOND SCHEDULE 
 
 
 
 
 
 
 
 
 
 
 
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THE WAR INJURIES (COMPENSATION INSURANCE) ACT, 1943 
1ACT NO. XXIII OF 1943 
 [2nd September, 1943] 
 An Act to impose on employers a liability to pay compensation to workmen sustaining war 
injuries and to provide for the insurance of employers against such liability 
 WHEREAS it is expedient to im pose on employers a liability to pay compensation to 
workmen sustaining war injuries and to provide for the insurance of employers against such liability; 
 It is hereby enacted as follows :⸻ 
 1. Short title, extent and commencement. ⸻(1) This Act may be called the War Injuries 
(Compensation Insurance) Act, 1943. 
 2[(2) It extends to the whole of Pakistan.] 
 (3) It shall come into force on such date 3 as the 4[Federal Government] may, by notif ication 
in the official Gazette, appoint.   
 2. Definitions.—In this Act, unless there is anything repugnant in the subject or context,⸻ 
(a)  “adult” and "minor" have the meanings assigned to those expressions in the 
Workmen's Compensation Act, 1923 (V of 1923); 
 
(b)  “employer” includes any body of persons whether incorporated or not and any 
managing agent of an employer and the legal representative of a deceased 
employer, and when the services of a workman are temporarily lent or let on 
hire to another person by the person with whom the workman has entered into 
a contract of service or apprenticeship, means the latter person while the 
workman is working for that other person; 
 
(c)  “the Fund” means the War Injuries Compensation Insurance Fund Constituted 
under section 11; 
 
(d)  “gainfully occupied person” and “war injury” have the meanings assigned to 
those expressions in the War Injuries Ordinance, 1941 (Ord. VII of 1941). 
 
(e)  “partial disablement” means, where the disablement is of a temporary nature 
such disablement as reduces the earning capacity of a workman in any 
employment in which he was engaged at the time the injury was sustained, and 
where the disablement is of a permanent nature, such disablement as reduces 
his earning capacity in any employment which he was capable of under taking 
at that time; 
 
1The Act has been applied to Baluchistan by Notifn. No. 183-F., dated the 20th October, 1943, see Gazette of India, 1943, Pt. I, p. 1157. 
2Subs. by the Central Laws (Statute Reform) Ordinance, 1960 ( XXI of 1960), s. 3 and 2nd Sch. ( with effect from the 14th October, 1955 ), for 
sub-section (2), as amended by A. O., 1949. 
3The 16th November, 1943, see Gazette of India, 1943, Pt. I, p. 1258. 
4Subs. by F. A. O., 1975, Art. 2 and Table, for “Central Government”. 
 
 
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 Provide that every injury specified in items 2 to 9 of 1[the First Schedule] shall be deemed to 
result in permanent partial disablement; 
 
  (f)  “prescribe” means prescribed by rules made under section 20 ; 
2[(ff)  “termination of hostilities” means the date declared under clause (3) of section 
2 of the War Injuries Ordinance, 1941 (Ord. VII of 1941), to be the date of 
termination of hostilities;] 
(g)  “total disablement” means such disablement, whether of a temporary or 
permanent nature, as incapaci tates a workman for all work which he was 
capable of performing at the time the injury was sustained : 
 
Provided that permanent total disablement shall be deemed to result from the permanent total 
loss of the sight of both eyes or from an injury specified in item 1 of 1[the First Schedule] or from 
any combination of injuries specified in items 2 to 9 of 1[the First Schedule] where the aggregate 
percentage of disability as specified in that Schedule against those injuries amounts to one hundred 
percent. 
(h)  the “Scheme” means the War Injuries Compensation Insurance Scheme 
referred to in sub-section (1) of section 7 ; 
 
(i)  “wages” means wages as defined in the Workmen’s Compensation Act, 1923, 
and “monthly wages” has of the Workmen’s Compensation Act, 1923 ( VIII of 
1923), and shall be calculated for the purposes of this Act in the manner laid 
down in that section ; 
 
(j) “workman” means any person (other than an a person whose employment is of 
a casual nature and who is employed otherwise than for the purposes  of the 
employers’ trade or business) who is employed in any of the employments 
specified in section 6.  
 
 3. Compensation payable under the Act by the whom and how payable.⸻(1) There shall, 
subject to such conditions as may be specified in the Scheme, be payable by an employer, in respect 
of a war injury sustained by a gainfully occupied person who is a workman to whom this Act applies, 
compensation, in addition to any relief provided under the War Injuries Ordinance, 1941(Ord. VII of 
1941), of the amount and kind provided by section 5: 
Provided that where an employer has taken out a policy of insurance as required by 
sub-section (1) of section 9 and has made all payments by way of premium thereon which are 
subsequently due from him in accordance with the p rovisions of the Scheme, or where by the 
provisions  3[of sub-section (1) of section 9 or] of subsection (2) of section 12 the employer is not 
required to insure, the 4[Federal Government] shall assume and discharge on behalf of the employer 
the employer’s liability to pay compensation under this sub-section. 
 
(2) The compensation payable under this Act shall be payable in accordance with the 
provisions made in this behalf contained in the Scheme.   
 (3) This section shall be binding on the 5[Government]. 
 
1Subs. by the War Injuries (Compensation Insurance) (Amdt.) Ordinance, 1944 (LIV of 1944), s. 2, for "the Schedule". 
2Subs. by the JWar Injuries (Compensation Insurance) (Amdt.) Ordinance, 1965 ( XXXIV of 1965), s. 2, for clause (ff), which was ins. by th e War 
Injuries (Compensation Insurance) Amdt. Ordinance,  1945 (XLI of 1945), s. 2. 
3Ins. by the War Injuries (Compensation Insurance)  Amdt. Ordinance, 1944 (LIV of 1944), s. 3. 
4Subs. by F. A. O., 1975, Art. 2 and Table, for “Central Government”. 
5Subs. by A. O., 1961, Art. 2, for “Crown” (with effect from the 23rd March, 1956). 
 
 
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 4. Limitation on right to receive compensation otherwise than under this Act and 
Ordinance VII of 1941.⸻(1) Where any person has a right apart from the provisions of this Act and 
of the War Injuries Ordinance, 1941 (Ord. VII of 1941),   to receive compensation (whether in the 
form of gratuity, pension, compassionate payment or otherwise) or damages from an employer in 
respect of a war injury in respect of which compensation is pay able under this Act, the right shall 
extend only to so much of such compensation or damages as exceeds the amount of compensation 
payable under this Act. 
 5. Amount of compensation. ⸻(1) The compensation payable under this Act shall be as 
follows, namely:__ 
(a) where death results from the injury⸻ 
(i) in the case of an adult -the amount payable in a like case under the 
Workmen’s Compensation Act, 1923 (VIII of 1923), reduced by seven 
hundred and twenty rupees, and 
(ii) in the case of a minor-two hundred rupees ; 
(b) where permanent total disablement results from the injury⸻ 
(i) in the case of an adult -the amount payable in a like case under the 
Workmen’s Compensation Act, 1923 (VIII of 1923), reduced by one 
thousand and eight rupees, and 
(ii) in the case of a minor-the monthly payment payable in a like case to an 
adult under the Scheme made under the War Injuries Ordinance, 
1941(Ord. VII of 1941), for so long as he remains a minor, and 
thereafter as in the following sub clause; 
(c) where permanent partial disablement results from the injury⸻ 
(i) in the  case of an injury specified in  1[the First Schedule] -such 
percentage of the compensation which would have been payable in the 
case of permanent total disablement as is specified therein as bein g the 
percentage of disablement; 
(ii) in the case of an injury not specified in  1[the First Schedule], the 
percentage of such compensation specified in  1[the First Schedule], for 
a disablement held by a competent medical authority acting under the 
Scheme made under the War Injuries Ordinance, 1941(Ord. V II of 
1941), to be of corresponding degree ; 
(iii) where more injuries than one are sustained -the aggregate of the 
compensation payable in respect of those injuries, so how ever as not to 
exceed in any case the compensation which would have been payable 
if permanent total dilatability had resulted from the injuries; 
 1Subs. by the War Injuries (Compensation Insurance)  Amdt. Ordinance, 1944 (LIV of 1944), s. 4, for “the Schedule”. 
 
 
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(d) where temporary disablement, whether total or p artial, results from the 
injury⸻ 
(i) in the case of an adult -the half -monthly payments payable in a like 
case under the Workmen's Compensation Act, 1923 (VIII of 1923), 
reduced in each case for so long as he receives any payment under the 
Scheme made under the War Injuries Ordi nance, 1 941(Ord. VII of 
1941), by seven  rupees, and 
 
(ii) in the case of a minor the half monthly payments payable in a like case 
under the Workmen's Compensation Act, 1923 (VIII of 1923), for so 
long as he remains a minor, and thereafter as in the foregoing sub -
clause. 
 (2) Where the monthly wages of a workman are more than three hundred rupees the 
compensation payable under this Act shall be the amount payable under the provisions of sub-section 
(1) in the case of a workman whose monthly wages are more than two hundred rupees. 
 6. Workmen to whom the Act applies.—The workmen to whom this Act applies are⸻ 
(a) workmen employed in any employment or class of employment to which the 
1[Pakistan Essential Services (Maintenance) Act, 1952, has been declared 
under section  3 thereof] to apply, whether such declaration is or not 
subsequently revoked; 
(b) workmen employed in any factory as defined in clause (j) of section 2 of the 
Factories Act, 1934; 
(c) workmen employed in any mine within the meaning of the Mines Act, 1923; 
(d) workmen employed in any major port ; 
(e) workmen employed on any estate which is maintained for the pur pose of 
growing cinchona, coffee, rubber or tea, and on which on any day in the 
preceding twelve months twenty -five or more persons have been emplo yed as 
workmen ; 
(f) workmen employed in any employment specified in this behalf by the 
2[Federal Government] by notification in the official Gazette. 
 7. War Injuries Compensation Insurance Scheme. ⸻(1) The 2[Federal Government] shall, 
by notification in t he official Gazette, put into operation a scheme to be called the War Injuries 
Compensation Insurance Scheme whereby provision is made for all matters necessary to give effect 
to the purposes of this Act and whereby the 2[Federal Government] undertakes, in  relation to 
employers of workmen to whom this Act applies, the liabilities of insuring such employers against 
liabilities incurred by them to workmen under this Act and the Scheme. 
1Subs. by the War Injuries (Compensation Insurance) (Amdt.) Ordinance, 19 65 (XXXIV  of 1965), s. 3, for “Essential Services (Maintenance) 
Ordinance, 1941, has been declared under section 3 of that Ordinance”. 
2Subs. by F. A.O., 1975, Art. 2 and Table, for “Central Government”. 
 
 
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 (2) The Scheme shall secure that any liability of th e 1[Federal Government] as insurer under 
the Scheme is determined by a policy of insurance issued in the prescribed form by a person acting 
on behalf of the 1[Federal Government]. 
 (3) The Scheme may provide that it shall come into operation or shall be de emed to have 
come into operation on such date 2[not earlier than the date declared under clause (3) of section 2 of 
the War Injuries Ordinance, 1941, to be the date of the commencement of hostilities,] as may be 
specified therein. 
 (4) The Scheme may be amended at any time by the 1[Federal Government]. 
 (5) Without prejudice to the generality of the provisions of sub-section (1), the Scheme may__ 
(a)  make provisions regulating the payment of the compen sation payable under 
this Act and the Scheme, includin g provision for punishment by fine not 
exceeding one thousand rupees for the contravention of any requirement of the 
Scheme; 
(b)  make provision specifying the persons to whom and the proportions and 
manner in which payments under this Act shall be made; 
(c)  specify conditions or circumstances which will disentitle a workman to the 
compensation payable under this Act, and make it an express or implied 
condition of any policy of insurance issued under the Scheme that the payment 
of compensation in defiance of such specification is not covered by the policy; 
(d)  specify the conditions or circumstances under which the compensa tion 
payable to a workman may b e withheld, cancelled, reduced or reviewed if the 
award made under the Scheme made under the War Injuri es Ordinance, 1941 
(Ord. VII of 1941), is withheld, cancelled, reduced or reviewed ; 
(e)  provide for cases in which an employer has of his own accord undertaken a 
part or the whole of the liability imposed by this Act ; 
(f)  provide for the final assessme nt of the total premium due on a policy of 
insurance under the Scheme 3[either as the equivalent of advance payments of 
premium already made by an employer, or as a percentage of the total wages 
hills of an employer for the periods with reference to which the amount of any 
advance payments made by him was fixed or] as a percentage of the total 
wages bill of an employer for a period of not less than twelve or more than 
fifteen months immediately preceding the termination of 4[*  *  *] hostilities, 
and for the assessment of the total premium due on a policy which has ceased 
to be in force before the termination of 4[*  *]  hostilities owing to the 
employer having gone our of business; 
 1Subs. by F. A.O., 1975, Art. 2 and Table, for “Central Government”. 
 2Ins. by the War Injuries (Compensation Insurance) (Amdt.) Ordinance, 1965 (XXXIV of 1965), s. 4. 
 3Ins. by the War Injuries (Compensation Insurance) Amdt. Ordinace, 1944 (LIV of 1944), ss. 5 and 6. 
 4The original words “the present’ omitted by the War Injuries (Compensation Insurance) (Amdt.) Ordinance, 1965 (XXXIV of 1965), s. 4. 
 
 
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 (g)  provide for the recovery from an employer of the total premium due on policy 
of insurance including provision for its recovery by periodic advance 
payments of an amount based on  a percentage of his total wages bill for any 
prescribed period, the separate funding of the payments so made by each 
employer, and the eventual adjustment of the total premium as finally assessed 
against the total of such periodic payments; 
 1[Provided that, where the amount of the periodic payment based on the total wages bill of 
the prescribed period is less than eight rupees, it shall be increased to eight rupees :] 
 Provided 1[further] that the first of such periodic payments shall 1[subject to the afo resaid 
minimum of eight rupees] be an amount representing not more than four annas per hundred rupees of 
the wages bill for the period by reference to which the amount of the payment is fixed : 
 Provided further that such periodic payments shall not be mor e frequent than once in each 
quarter of a year: 
 Provided further that the rate of any periodic payment after the first shall 1[subject to the 
aforesaid minimum of eight rupees] not be higher than the rate estimated to raise the amount in the 
Fund after repayment of the advances, if any, paid into the Fund by the 2[Federal Government] under 
sub-section (2) of section 11, to a sum of rupees fifteen lakhs. 
 
 8. Employment of agents by the Federal Government. —The 2[Federal Government] may 
employ or authorise the employment of any person or firm to act as its agents for any of the purposes 
of this Act, and may pay to persons or firms so employed such remuneration as the 2[Federal 
Government] thinks fit.  
 
 9. Compulsory insurance.__ (1) Every employer of workmen  to whom this Act applies or is 
subsequently made applicable 1[except an employer whose total wages bill for any quarter after the 
commencement of this Act has never exceeded fifteen hundred rupees] shall, before such date as 
may be prescribed, or before t he expiry of such period as may be prescribed after his having first 
become such an employer, take out a policy of insurance issued in accordance with the Scheme, 
whereby he is insured until the termination of 3[* *] hostilities or until the date, if any, prior to the 
termination of 3[* *] hostilities at which he ceases to be an employer to whom this section applies, 
against all liabilities imposed on him by this Act. 
 
 (2) Whoever contravenes the provisions of sub -section (1) or, having taken out a policy of 
insurance as required by that sub -section, fails to make any payment by way of premium thereon 
which is subsequently due from him in accordance with the provisions of the Scheme shall be 
punishable with fine which may extend to one thousand rupees and s hall also be punishable with a 
further fine which may extend to five hundred rupees for every day after having been so convicted 
on which the contravention or failure continues. 
 
 (3) This section shall not bind the 4[Government] nor, unless the 5[Federal Government] by 
notification in the official Gazette otherwise orders, any 6[Government] Railway. 
1Ins. by the War Injuries (Compensation Insurance) Amdt. Ordinace, 1944 (LIV of 1944), ss. 5 and 6. 
2Subs. by F. A.O., 1975, Art. 2 and Table, for “Central Government”. 
3The original words “the present’ omitted by the War Injuries (Compensation Insurance) (Amdt.) Ordinance, 1965 (XXXIV of 1965), s. 5. 
4Subs. by A. O., 1961, Art. 2, for “Crown” (with effect from the 23rd March, 1956). 
5Subs. by F. A.O., 1975, Art. 2 and Sch., for “Provincial Government”. 
6Subs. by A. O., 1961, Art. 2 and Sch., for “Federal” (with effect from the 23rd March, 1956). 
 
 
 
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 10. Prohibition of certain insurance business. ⸻(1) After the date on which the Scheme is 
put into operation no person shall, except as a person authorised by the  1[Federal Government] as its 
agent to issue policies in pursuance of the Scheme, carry on the business of insuring employers in 
2[Pakistan] against the liabilities for insurance against which the Scheme provides. 
 (2) Nothing in sub -section (1) applies to any policy of insurance entered into before the date 
on which the Scheme is put into operation and current after that date or to any policy of insurance 
covering liabilities undertaken in excess of the liabilities imposed by this Act. 
 (3) Whoever contravenes the provisions of sub -section (1) shall be punishable with fine 
which may extend to five thousand rupees and with a further fine which may extend to one thousand 
rupees for every day after the first on which the contravention continues. 
 11. War Injuries Compensation Insurance Fund. ⸻(1) The 3[Federal Government] shall 
establish a fund for the purposes of this Act to be called the War Injuries Compen sation Insurance 
Fund into which shall be paid all sums received by the 3[Federal Government] by way of insurance 
premiums under the Scheme or by way of payments made on composition of offences under section 
17  4[* * * ] or by way of expenses or compensation awarded by a Court under section 545 of the 
Code of Criminal Procedure, 1898 (V of 1898), out of any fine imposed under this Act, or by way of 
penalties imposed under the Scheme, and out of which shall be paid all sums required for the 
discharge by the 3[Federal Government] of any of its liabilities under this Act or the Scheme, or for 
the payment by the 3[Federal Government] of the remuneration and expenses of agents employed for 
the purposes of the Scheme, or for the payment by the 3[Federal Government] of the costs of 
administering the Scheme: 
 
 Provided that no payment from the Fund shall be made in discharge of any liability of the 
5[Government] to pay compensation to workmen employed by it. 
 
 (2) If at any time the sum standing to the credit of the Fund is less than the sum for the time 
being necessary for the adequate discharge of the purposes of the Fund, the 3[Federal Government] 
shall pay into the Fund as an advance out of general revenues such amount as the 3[Federal 
Government] considers necessary. 
 
 (3) If when all payments which have to be made out of the Fund have been defrayed, any 
balance remains in the Fund, the balance shall be constituted into a Fund to be utilized and admi -
nistered by the 3[Federal Government] for the benefit of workmen. 
 
 (4) The 3[Federal Government] shall prepare in such form and manner as may be prescribed 
and shall publish every six months an account of all sums received into and paid out of the Fund. 
 12. Principals and contractors. ⸻(1) Where a person (in this section referred to as the 
principal) uses, in the course of or for the purposes of his trade or business, the services of workmen 
temporarily lent or let on hire to him by arrangement with another person with whom the work men 
have entered into contracts of service or apprenticeship, 
 1Subs. by F. A.O., 1975, Art. 2 and Sch., for “Provincial Government”. 
 2Subs. by the Central Laws (Statute Reform) Ordinance, 1960 (XXI of 1960), s. 3 and 2nd Sch. (with effect from the 14th October, 1955), for 
 “the Provinces and the Capital of the Federation” which had been subs. by A. O., 1949, for “British India”. 
 3Subs. by F. A.O., 1975, Art. 2 and Table, for “Central Government”. 
 4Certain words which were first ins. by the War Injuries (Compensation Insurance) (Amdt.) Ordinance, 1944 ( LIV of 1944), s. 7 and then 
 amended by A. O., 1949, omitted by the War Injuries (Compensation Insurance) (Amdt.) Ordinance, 1965 (XXXIV of 1965), s. 6. 
 5Subs. by A. O., 1961, Art. 2, for “Crown” (with effect from the 23rd March, 1956.) 
 
 
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or in the course of or for the purposes of his trade or business, contracts with any other person for the 
execution by or under such other person of the whole or any part of any work which is ordinarily part 
of the trade or business of the principal (either such other person being in this section referred to as 
the contractor) the principal shall obtain from the contractor the name of the a gent of the 1[Federal 
Government] acting under section 8 with whom he intends to insure, and shall report to that agent the 
existence of his arrangement or contract with the contractor. 
 
 (2) Notwithstanding anything elsewhere contained in this Act, in any  such case as is referred 
to in sub -section (1), it shall not be necessary for the contractor to insure against the liabili ties 
imposed on him by this Act in respect of workmen employed by him whose services are lent or let 
on hire on such an arrange ment or used in the execution of work on such a contract as is referred to 
in sub-section (1), where the arrangement or contract is for a term of less than one month. 
 
 (3) The Scheme may make provision for the supply by a con tractor to a principal of any 
information necessary to enable the purposes of this section to be carried out including provision for 
punishment by fine not exceeding one thousand rupees for the contravention of any requirement of 
the Scheme. 
 
 13. Power of Federal Government to obtain in formation.⸻(1) Any person authorised in 
this behalf by the  1[Federal Government] may, for the purpose of ascertaining whether the 
requirements of this Act and of the Scheme have been complied with, require any employer to 
submit to him such accounts, books or other documents or to furnish to him such information or to 
give such certificates as he may reasonably think necessary. 
 (2) Whoever willfully obstructs any person in the exercise of his powers under this section or 
fails without reasonable excuse to comply wit h any request made thereunder shall, in respect of each 
occasion on which any such obstruction or failure takes place, be punishable with fine which may 
extend to one thousand rupees. 
 (3) Whoever in purporting to comply with his obligations under this sec tion knowingly or 
recklessly makes a statement false in a material particular shall be punishable with fine which may 
extend to one thousand rupees. 
 14. Recovery of premium unpaid. ⸻(1) Without prejudice to the provisions of sub -section 
(2) of section 9, w here any person has failed to insure as or to the full amount required by this Act 
and the Scheme and has thereby evaded the payment by way of premium of any money which he 
would have had to pay in accordance with the provi sions of the Scheme but for such  failure, an 
officer authorised in this behalf by the 1[Federal Government] may determine the amount payment of 
which has been so evaded, and the amount so determined shall be payable by such person and shall 
be recoverable from him as provided in sub-section (2). 
 
 (2) Any sum payable in accordance with the provisions of the Scheme by way of premium on 
a policy of insurance issued under the Scheme and any amount determined as payable under 
sub-section (1) shall be recoverable as an arrear of land-revenue. 
 
 (3) Any person against whom a determination is made under sub -section (1) may, within the 
prescribed period, appeal against such determination to the 1[Federal Government] whose decision 
shall be final. 
 1Subs. by F. A.O., 1975, Art. 2 and Table, for “Central Government”. 
 
 
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 15. Payment of compensation where employer has failed to insure. —Where an employer 
has failed to take out a policy of insurance as required by sub -section (1) of section 9, or having 
taken out a policy of insurance as required by that sub-section has failed to make the payments by 
way of premium thereon which are subsequently due from him in accordance with the provisions of 
the Scheme, payment of any compensation for the payment of which he is liable under this Act may 
be made out of t he Fund, and the sum so paid together with a penalty of such amount not exceeding 
the sum so paid as may be determined by an officer authorised in this behalf by the 1[Federal 
Government] shall be recoverable from the employer as an arrear of land revenue for payment into 
the Fund. 
 
 16. Limitation of prosecutions. —No prosecution for any offence punishable under this Act 
shall be instituted against any person except by or with the consent of the 1[Federal Government] or 
an authority authorised in his behalf by the 1[Federal Government.] 
 
 17. Compensation of offences. —Any offence punishable under sub -section (2) of section 9 
may, either before or after the institution of the prosecution, be compounded by the 1[Federal 
Government] or by any authority authorised in this behalf by the 1[Federal Government] on payment 
for credit to the Fund of such sum as the 1[Federal Government] or such authority, as the case may 
be, thinks fit. 
 
 18. Bar of legal proceedings. ⸻(1) No suit, prosecution or other legal proceeding shall lie 
against any person for anything which is in good faith done or intended to be done under this Act. 
 
 (2) No suit shall be maintainable in any civil Court against the 1[Federal Government] or a 
person acting as its agent under section 8 for the refund of any money paid or purporting to have 
been paid by way of premium on a policy of insurance taken out or purporting to have been taken out 
under this Act. 
 
 19. Power to exempt employers. —The 1[Federal Government] shall exempt any employer 
from the provisions of this Act on the employer’s request, if satisfied that he has before the 
commencement of this Act entered into a contract with insurers substantially covering the liabilities 
imposed on him by this Act, for so long as that contract continues. 
 
 20. Power to make rules .⸻(1) The  1[Federal Government] may, by notification in the 
official Gazette, make rules to carry into effect the provisions power, of this Act. 
 
 (2) Without prejudice to the generality of the foregoing such rules may prescribe⸻ 
 
(a)   the principles to be followed in ascertaining the total wages bill of an 
employer including provision for the exclusion therefrom of certain categories 
of wages or of certain elements included in the definition of wages; 
 
(b)   the form of the policies of insurance referred to in sub -section (2) of section 7 
; 
 
(c)   the period referred to in clause (g) of sub-section (5) of section 7 ; 
 
2[*                  *                    *                   *                 *                *                  *] 
 
 
 1Subs. by F. A.O., 1975, Art. 2 and Table, for “Central Government”. 
 2Clause (d) omitted by the War Injuries (Compensation Insurance) Amendment Ordinance, 1944 (LIV of 1944),s.8. 
 
 
 
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(e)  the date and the period referred to in sub-section (5) of section 7 ; 
 
(f)   the form of and the manner of preparing and publishing the account referred to 
in sub-section (4) of section 11 ; 
 
(g)   the periods referred to in sub-section (3) of section 14. 
 
1[Application of the Scheme to Acceding State or non -Acceding State.] Omitted by the War 
Injuries (Compensation Insurance) (Amdt.) Ordinance, 1965 (XXXIV of 1965), 8. 7. 
 
1[THE FIRST SCHEDULE] 
[See section 2 and 5 (1)] 
Item 
No. Injury Percentage of 
disability. 
1 Loss of two or more limbs. 
Lunacy.                                                
Jacksonian epilepsy. 
Very severe facial disfigurement. 
100 
2 Loss of right arm above or at the elbow. 90 
3 Severe facial disfigurement. 
Total loss of speech. 
Loss of left arm above or at the elbow.  
Loss of right arm below the elbow. 
Loss of leg at or above the knee. 
70 
4 Loss of left arm below the elbow. 
Loss of leg below the knee.                   
Permanent total loss of hearing. 
60 
5 Loss of one eye. 
Loss of right thumb or four fingers of right hand. 
50 
6 Loss of all toes of both feet above knuckle. 
Loss of left thumb or four fingers of left/ hand or three fingers of 
right hand.                     
40 
7 Loss of all toes of one foot above knuckle. 
Loss of all toes of both feet at or below knuckle. 
30 
 
 1This section had successively an  amended by the War injuries (Compensation Insurance) Amendment Ordinanc e, 1944 ( LIV of 1944), 
 s.9A.O., 1949, the Repealing and Amending Ordinance, 1961 (I of 1961), s.3 and 2nd Sch., and A.O., 1964, Art. And Sch. 
 
 
Page 13 of 13 
 
   
8 Limited restriction of movement of joints through injury without 
penetration, limited functions of limb through fracture. 
Loss of two fingers of either hand.                     
Compound fracture of thumb or two or 
more fingers of either hand with impaired function. 
20 
9 Loss of one phalanx of thumb. 
Loss of index finger.                  
Loss of great toe. 
 
10 
THE SECOND SCHEDULE 
Omitted by A.O., 1949 
  
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Dated: 05.04.24