THIRD PARTY RISKS.

Otago Witness, Issue 3888, 18 September 1928, Page 28

THIRD PARTY RISKS.

COMPULSORY MOTOR INSURANCE. WELLINGTON, September 11. The compulsory taking out of a third party insurance cover by motorists and motor vehicle owners when they renew or take out fresh licenses is provided for .in the Motor Vehicles Insurance (third party risks) Bill, read a first time in the House of Representatives to-night. Companies willing to undertake this class of business art _to notify the registrar of motor vehicles, and thej’ will be bound to accept the business offered them. Every motor vehicle owner will be required to pay the insurance premium simultaneously with the payment of his license fees, and after, the deduction of administration expenses the balance of the premium is to be paid to the insurance company which the owner nominates. The rate of- premium is to be prescribed by regulation. No license or registration plates are to be issued until the insurance premium is paid, and the insurance is to take effect from the time of payment of the premium. The liability of the companies is limited by the Bill to £2OOO in the case of individual passengers in a motor vehicle and to £20,000 where more than one passenger is involved; otherwise the liability is unlimited in amount. The cover is not to extend to the members of an owner’s family nor to relatives not more remote than the fourth nor to his servants, employees, nor guests. The cover is not to be affected by a change of owmership, although the former owner must advise the insurance company of the change. Owners are to be required to advise -the insurance company of all accidents.

An important section seeks to give the insurance companies the right to apply to a magistrate for an order cancelling a motor driver’s license on the grounds that the safety -of the public is being unduly endangered. Licenses so cancelled are to be delivered to the court, but provision is made for an appeal by the person affected to the Supreme Court. In so far as it requires the payment of insurance premiums by, or on behalf of, the owners of motor vehicles the Bill seeks to bind the Crown.

It is doubtful whether the Auckland telephone system has ever been harder worked than was the case during last week-end (says the Star). Inquiries as to the flight of. the Southern Cross and the time of the arrival of the Aorangi were constantly being received at the Star office, and the signal tower on King’s wharf was also bombarded with calls, between 2 o’clock and 5 o’clock on Sunday afternoon the officer on duty answered over 250 inquiries as to when the liner was expected to berth.- __