"SHARE EXPENSES"

Rotorua Morning Post, Volume 2, Issue 345, 5 October 1932, Page 7

"SHARE EXPENSES"

(Sp'Ccial to "Post")

MOTORISTS WARNED AGAINST HEAVY INSURANCE RISKS.

Wellington, Friday. A statement warning private motorcar owners and passengers on a "share expenses" basis of the responsibilities which are incurred in the event of aceident has been issued on behalf of the Motor Omnibus Proprietors' Association and organisations representing passenger transport operators throughout the Dominion. The statement points out that when payment or reward is arrai.ged a private car immediately becomes liable for a higher premium in respeet to eompulsory third-party insurance. The owner of a private car bearing the ordinary rate of insurance is not indemmued by the insurance companies against his liability in the event of injury to a paying passenger, and he would have to meet damages out of his own pocket. The statement adds that private car owners who make arrangements on the "share expenses' basis are liable to prosecution for breaches of both the Motor Vehieles Insurance (Third Party Risks) Aet, 1928, and Transport Licensing Act, 1931. Service car and omnibus operators point out that the legislation affecting transport protects hoth the vehicle operator and the passenger. Higher lieense fees and speeial insurance are required for passenger-carrying vehicles, and the vehieles have to be maintained to high standards and have to be subject to thorough examination. by inspectors of the Public Works Department.