National Party leader Judith Collins wants to label uninsured cars to make them more easily identifiable.
Collins announced this morning National would require car insurer details to be displayed on registration labels stuck to vehicles' windscreen.
And if a car is not insured with at least third party cover, the word "uninsured" would be on the label instead.
A Ministry of Transport survey in 2019 found about 7.6 per cent of car owners either had an uninsured vehicle or did not know whether their vehicle was insured. This was a level similar to countries that have compulsory vehicle insurance.
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National would also link the Motor Vehicle Database with insurer details to help assist in the smooth exchange of insurer details in the event they are required.
Collins said the policy would make life easier for Kiwis to sort out damage claims.
"This will solve the problem of some drivers who lie about their insurance status to protect their excess," Collins says.
"If anyone was involved in an accident with you, you could literally walk over and see who their insurer was."
National's transport spokesman Chris Bishop said they would not make car insurance mandatory, but there would be an annual check on vehicles' insurance status.
"By applying a bit of nudge theory we believe it is highly likely to increase insurance uptake, because who wants to drive around with an 'uninsured' vehicle sticker in their window?"