The Guardian And Evening Star, with which is incorporated the West Coast Times. TUESDAY, MARCH 12th, 1929. THIRD PARTY INSURANCE.

Hokitika Guardian, 12 March 1929, Page 4

The Guardian And Evening Star, with which is incorporated the West Coast Times. TUESDAY, MARCH 12th, 1929. THIRD PARTY INSURANCE.

- certain amount ol misconception jxi.sts a.s to tile operation ol tJie compulsory tinril parry risk motor lnstirjice scheme which was adopted hy the House lasi session, tlie iirst point being Jiat though the Act is nominally in .or.e as lrom January Ist., no precision is made lor the payment ol ! preiiii.nis as lrom that date. The posi.loii, as reviewell by Board and Counn, is simply that, as far as the motor .elude owner is concerned, the Act does not operate until June Ist. when.premiums are payable (and must be paid} .»Inm application is made for annual egistration plates. The motor owner nominates the company with which he wishes to insure, so that the cover given is still in the nature of a private -m.tract, Imt the wide and essential uiiereiice is that the Act, and not tins ompany, determines- the general conditions under which the. cover shall ho given, and thosu. conditions give a hi iicli wider range than has been the case up to the present. The Act, for instance, provides that damages are recoverable in the ease of injury to a third person, no matter hy whom the sir or vehicle causing the accident is driven, i.e., a drunken driver, a joyrider, a ear thiol, or an employee not mgaged in his employer’s business at ne time of the accident, which eases are not at present covered as a gen.fral lliing. The insurance, in other words, attaches to the ear and not to die owner, hut damages are not recoverable except in such cases is would be covered by pre.eiit insurance practice, i.e., only ,vh. n the driver has been guilty ol negligence or recklessness. The scheme docs not cover passengers in private ..in s, as it good many motorists appear to iliinkv but cover is given passengers injured while travelling in public vehicles and vehicles on hire, a limit of e‘2C()f) per person being fixed for public and hired vehicles. No limit is set as to the amount of damages which may ic recovered hy a person (third part}’) iy a private car, the amount to lie issessed through the usual legal channels. So lar no pronouncement In s KH-ii made as to the insurance companies which will undertake the now class of business, but it is anticipated that all will accept the risk. The earowner will not he required to sign any .special documents, for as no numberplates will be issued until the premium is paid the fact tln.t 1929-JO plates are earned is proof that the car is covere.l. The higher piomiums to lie paid by local bodies and owners of vehicles for hire, buses, service cars, etc. have in some quarters been protested against as unfair as compared with the Hat 20s to he charged the private ear owner, but these higher ■ rates are to moot the additional cover to meet possible claims by passengers, who are not. as stated above, entitled to claim against private owners; should private owners wish to insure against such claims they must, as at present, take out a special cover. There is a substantial set-oil against the higher premiums charged local bodies and owners of buses, etc., in that provision is made in the now Act for the repeal of the third party insurance clauses ol the Motor \ chicles Act. The premiums and also the ’extent of cover are to he regarded as tentative only, and may he varied after a sufficient', period has elapsed to enable the operation of the scheme to he adequately judged.