IT

Lok Sabha nod for major changes in Motor Vehicles Act

Lok Sabha nod for major changes in Motor Vehicles Act

The changes in the Motor Vehicles (Amendment) Bill, 2016, were approved by the cabinet on 31 March.

The Bill also limits the maximum liability for third party insurance in case of a motor accident at Rs 10 lakh in case of death and at Rs 5 lakh in case of grievous injury. If not satisfied, they can subsequently approach the motor accident claims tribunal for a higher amount. "This new Bill seeks to address that", said Road Transport Minister Nitin Gadkari in the Lok Sabha. In addition, the bill also proposed setting up a Motor Vehicle Accident Fund that would offer insurance cover to all the road users in the country for a particular type of accidents.

The basic aim of the Bill is "to save human lives", as a whopping five lakh accidents take place every year claiming around 1.5 lakh lives across the country.

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Under the Act, the liability of the third party insurer for motor vehicle accidents is unlimited.

The bill, which seeks to amend almost 30-year-old Motor Vehicle Act 1988, also calls for 100 per cent e-governance and will cap maximum liability for third party insurance at Rs 10 lakh in case of death in a motor accident.

The bill seeks to make services like issuance of licences totally transparent and online and provides for punitive action against officials in case of delay in issuance of the document to eligible applicants. He said, the government has set a target to cut the death caused due to road accidents by 50 per cent over next five years. The bill also provides for harsh punishment such as jail term and suspension of licence for offences such as juvenile driving, speeding etc.

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To ensure hassle-free and quick services, the Bill proposes increasing validity of driving licenses, online learning licenses, and omitting the requirement of minimum qualification to get a driving license issued.

The Bill proposes offences committed by juveniles as under this the guardian or owner shall be deemed to be guilty in cases of offences by the juveniles and juvenile to be tried under JJ Act.

Motor Vehicles (Amendment) Bill authorises the government to exempt or waive off any section to promote innovation.

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