Supreme Court Directs Centre to Frame ‘No-Fault’ Compensation Policy for COVID-19 Vaccine Side Effects

The Supreme Court has directed the central government to create a no-fault compensation policy for people suffering serious side effects after COVID-19 vaccination.

Pune, March 10, 2026: The Supreme Court of India has directed the central government to develop a “no-fault compensation policy” for individuals who suffer serious adverse effects after receiving COVID-19 vaccines. The move aims to ensure financial assistance for affected individuals without requiring them to prove negligence or fault by authorities or vaccine manufacturers.

The directive was issued by a bench of the Supreme Court while hearing petitions related to alleged deaths and severe medical complications reported after vaccination during the COVID-19 pandemic. The court asked the Government of India to prepare a structured policy that would address compensation in rare cases where individuals experience severe health complications following vaccination.

A no-fault compensation system allows individuals to receive financial relief without going through lengthy legal battles or proving liability. Such frameworks are used in several countries to support individuals affected by rare vaccine-related injuries while maintaining public confidence in immunisation programmes.

The court also clarified that the existing monitoring system for Adverse Events Following Immunisation (AEFI) would continue to remain in place. According to the bench, the current scientific and regulatory processes used to monitor vaccine safety are adequate and there is no immediate need to create a new court-appointed expert committee to review such cases.

At the same time, the court noted that introducing a compensation scheme should not be interpreted as an admission of fault or liability by the government or vaccine manufacturers. The framework would simply serve as a mechanism to provide timely assistance in exceptional cases where individuals face severe health consequences after vaccination.

The petitions before the court were filed by families who alleged that some individuals had suffered serious medical complications or deaths after receiving COVID-19 vaccine doses during the pandemic. These cases prompted a wider discussion on whether India should have a structured compensation system similar to those adopted by several other countries.

India conducted one of the world’s largest vaccination drives during the COVID-19 pandemic, administering billions of doses across the country. Vaccines played a crucial role in reducing hospitalisations and deaths during the outbreak. Health experts have repeatedly stated that vaccines are generally safe and effective, although extremely rare adverse reactions can occur in a small number of cases.

Public health experts believe that a well-designed compensation policy could strengthen trust in vaccination programmes. By ensuring support for individuals affected by rare complications, authorities can demonstrate accountability while continuing to promote large-scale immunisation campaigns in the future.

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