CHANGES MADE

Timaru Herald, Volume CLVII, Issue 23215, 31 May 1945, Page 4

CHANGES MADE

Third Party Insurance Premiums (N.Z.P.A.) WELLINGTON, May 30. The introduction of new third party insurance premiums for motor vehicles for the forthcoming licensing year was announced by the Minister of Transport (the Hon. J. O’Brien) to-day. The Minister stated that as a result of negotiations with insurance companies, the following changes would take place in premiums: The annual premium for motor cycles would be reduced from 16/- to 15/-; for business cars from 45/- to 40/- and for hearses, ambulances and other miscellaneous classes from 15/- to 12/-. On the other hand it was regrettable that the accident claims record for taxis and omnibuses required an increase for taxis from £lO/-/- to £l2/10/-, and for omnibuses from £5/-/- (with a maximum of £6/12/-) to £6/-/- (with a maximum of £7/12/-). The premium payable by private motorists which was reduced last year from 16/- to 15/- remains unaltered.

The Minister added that while it was regretted that premiums had to be increased in any class, this served only to emphasise that operators had the amount of premiums to a great extent in their own hands, namely by a greater exercise of care in avoiding accidents. The Minister also advised that a new insurance class had been created for workers contract cars for which the premium is 25/-. This class would apply to cars owned by workers who used them for the carriage at a small charge of their fellow workers employed at the same place in taking them to or from their place of employment. Formerly, although a compulsory insurance cover extended to all paying passengers who were injured due to the negligence of the driver, the insurance company concerned could, if the premium had been paid only as tor a private car, have made a claim on the car owner for any insurance paid out on his behalf. Under the new class, the owner might protect himself against this by paying the 10/additional premium due for the new class, provided that he definitely nominated his car in that class.