Motor vehicle insurance made mandatory
Source: Chronicle News Service

Imphal, January 11 2024: In a step aimed at reinforcing adherence to motor vehicle insurance regulations, the director of transport has issued a notification outlining mandatory requirements under the provisions of Insurance of Motor Vehicles against Third Party Risk of the Motor Vehicle Act, 1988 .

Under Section 146 of the Motor Vehicle Act, 1988, it is imperative that insurance against third party risk is applicable to individuals utilising motor vehicles in public places.

This coverage is designed to address severe risks to public life in the event of accidents resulting in death or bodily harm to any person(s) .

The application for the registration of motor vehicles or the transfer of ownership must include a valid insurance certificate, among other requirements stipulated in Rule 47, Rule 55, and Rule 57 of the Central Motor Vehicle Rules, 1989.District Transport Officers (DTOs) have been directed to rigorously verify the compulsory production of third-party insurance coverage during processes such as the transfer of vehicle ownership, renewal of registration certificates, issuance or renewal of permits, and fitness certificates among others.

This directive applies to all types of vehicles, including those covered under the One Time Tax category/regime, as well as other vehicles not falling under this category.

According to Section 196 of the Motor Vehicle Act, 1988, anyone driving a motor vehicle in contravention of the provisions of Section 146 may face penalties, including imprisonment for up to three months or a fine of Rs 2000 for the first offence and Rs 4000 for subsequent offences.

The notification further emphasised that the office of the secretary, State Transport Authority, dealing with the National Permit System, Inter-State Permits (under reciprocal agreements), All India Tourist Transport Operators Rules 1993, Special Permits, Local Permits (stage carriages/contract carriages), and countersigning of outside state travels entering Manipur should also ensure the same provisions.

In light of the above, the transport director reiterated that parties concerned must ensure strict compliance with the instructions outlined in the notification, effective immediately.

This measure aims to enhance road safety and legal compliance in the operation of motor vehicles within the jurisdiction, it added.

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