Non-insured vehicles involved in accidents to be auctioned

Tribune News Service

Faridkot, April 14

To provide financial compensation to accident victims involving vehicles which are not insured, the State Transport Department has issued a notification under which owners and drivers of non-insured vehicles involved in fatal accidents in the state will now stand to lose their vehicles.

According to the notification issued by K Siva Prasad, Principal Secretary, Transport Department on April 8, when the owner of a registered motor vehicle involved in an accident fails to furnish a copy of the third party risk insurance policy, the motor vehicle shall be sold off in a public auction by the Magistrate of the area where the accident occurred on the expiry of three months of vehicles taken in possession by the investigating officer.

The notification says no court shall release a motor vehicle involved in an accident, resulting in the death or injury or damage to property, when such vehicle is not covered by the policy of insurance against third party risks taken in the name of registered owner. Besides, when the registered owner fails to furnish a copy of the insurance policy despite sought by the investigating officer unless and until the registered owner furnishes sufficient security to the satisfaction of the court to pay compensation. It may be awarded in a claim case arising out of such accident.

The notification of the Transport Department has come into force on April 8 after its publication in the Official Gazette.

Deciding a case, Usha Devi versus Pawan Kumar, on September 13, 2018, the Supreme Court had directed all states to frame rules to allow the selling of uninsured vehicles involved in accidents to pay compensation to the victims.

The apex court had directed that the rule should be framed within 12 weeks by all states, but the “wearisome” process of framing of the rules and making of notification publication took about eight months in Punjab.