Compulsory Car Insurance?

28/06/2010
The Government are considering making car Insurance on vehicles compulsory, so that they cover damage

The Government are considering making car Insurance on vehicles compulsory, so that they cover damage.

However the Transport Minstry Spokesman Logan Maistry said: "It's going to take a while... we're still in the very early brainstorming stage on this,"

Maistry confirmed that the insurance being considered was for damage to vehicles, and should not to be confused with the injury and death cover that drivers, passengers and other accident victims currently have in terms of the Road Accident Fund, paid for by a levy on fuel sales.

The transport department had yet to consult stakeholders, including the private insurance sector, on the matter. He said that the aim is to result in cheaper car insurance rates.

"This is one of the things we want to ensure... It [damage insurance] has to be affordable," Maistry said.