Bhubaneswar

Accident indemnity to third party made mandatory

PNS

The State Government has amended the Odisha Motor Vehicles (Accident Claim Tribunal) Rule, 1960 making payment of compensation to accident victims compulsory in case the vehicle has no third party insurance.

The Commerce and Transport Department has amended concerned rules in view of increase in cases of third party accident victims (either killed or injured) facing problems in getting due compensation due to lack of insurance coverage by vehicle owners and notified Draft Rules seeking public opinion within 30 days, said department Principal Secretary G Srinivas.

According to the amendment, if the vehicle owner has defaulted in making third party insurance, he/she will compulsorily bear the amount of compensation.

The Draft Rules further provides that no court will have the power to release the seized vehicle. In case the owner fails to make payment of the compensation, the vehicle will be auctioned and the amount so received will go towards the compensation.

Some provisions have been given importance and some sections have been added. These include scope of the investigating officer, duty of the motor vehicle registering authority, role of the insurance company, police report and action under Section 158 (6) of the Motor Vehicle Act,1988, prohibition in regard to release of the seized vehicle, power to conduct medical test and claim and protection to the claimant of compensation.

This draft “Odisha Motor Vehicle (Accident Claim Tribunal) Rule 2018 was introduced afresh and notified on December 28, 2018.

The department has appealed people to send their opinion within 30 days in its State Secretariat, Bhubaneswar-751001 address.