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Home / New Zealand

Should third-party vehicle insurance be compulsory?

NZ Herald
7 Jan, 2010 06:59 PMQuick Read

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File photo / Bay of Plenty Times

File photo / Bay of Plenty Times

Opinion

The Government is reconsidering proposals to introduce compulsory third-party insurance after a survey showed 92.4 per cent of drivers are covered.

The survey, issued yesterday by Transport Minister Steven Joyce, showed 7.6 per cent either did not have car insurance or were unaware if they did.

But Mr Joyce
said the high percentage already insured has led the Government to reconsider making third-party insurance compulsory.

As it stands, vehicle insurance is not compulsory in New Zealand.

In other countries, including the United Kingdom, vehicle insurance is compulsory and also covers the cost of injury - something New Zealanders would not get, as the ACC levies covered it.

The level of uninsured vehicles in the UK was also similar to that shown in the New Zealand survey, with up to 6 per cent of vehicles not insured.

Do you think third-party insurance should be compulsory in NZ?

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