THIRD-PARTY COST UP

Press, Volume CXI, Issue 32564, 25 March 1971, Page 2

THIRD-PARTY COST UP

(New Zealand Press Association) WELLINGTON, March 24. Motorists would have to pay 25 per cent more for third-party insurance in the coining licensing year, the Minister of Transport (Mr Gordon) announced today.

For the private car owner this means an increase of $2 on the premium paid annually with the motor registration fee. Mr Gordon said this was the first third-party increase for four years. “Coming, as it does, at a time when the Government is striving to hold prices, an

increase of this size is regrettable,” Mr Gordon said. “However, it is unavoidably evident that companies undertaking third-party insurance business need an increase in premium income to meet the rising cost of claims which they are being called upon to pay.’.’ The premiums will be:

Class Old rate $ New rate $ Motor-cycles 5.50 6.90 Power-cycles .80 1.00 Tractors 1.10 1.40 Private cars 7.90 9.90 Goods service vehicles 8.05 10.05 Public taxi cabs Buses: 32.00 40.00 —to 29 seats 46.00 57.50 —over 29 seats 48.00 60.00 Service coaches: —to nine seats 18.00 22.50 —10 to 19 seats 32.00 40.00 —over 19 seats 43.00 53.75 Contract vehicles: —to nine seats 6.00 7.50 —over nine seats 8.00 10.00 Trailers .40 .50 Rental cars 35.00 43.75 Ambulances 12.00 15.00