Supreme Court suggests State Transportation Corporations to buy Third Party Insurance for their vehicles
New Delhi, October 3, 2024: Supreme Court has suggested to State Transport Corporations to buy Third Party insurance for their vehicles so that compensation can be paid to victims of accidents caused by their vehicles.
Justice MM Sundresh and Justice Aravind Kumar made these suggestions while hearing bunch of petitions regarding accidents related to state buses.
The honourable court was told by Amicus curiae, Advocate N Vijayaraghavan that according to provision of MV Act section 146 vehicles owned by Centre and State governments are exempted from Third Party insurance. He further told that in 2021 Supreme Court had told Central government to consider withdrawing this exemption under MV Act.
The court suggested that State Transport corporations should consider buying Third Party insurance for their vehicles so that in case of accidents victims can be paid compensation without any financial hindrance.