Is it mandatory to have Car Insurance in India?
You have spent a fortune to buy your new dream machine which is designed to take you places. Driving a car on open roads gives you a new high whereas driving in the city gives you the ease of travel. But it has its own set of risks associated with it, even if you are an expert driver or an expert driver is at the wheel. Hence, it was made mandatory under the Motor Vehicles Act of 1988 for every vehicle (personal or commercial) to be insured before taking it out on road.
In India, and globally, you just can’t move in a car if it is not insured. This way insurance is not an option, but a compulsion like other legal provisions which are: Registration of a vehicle, a valid driver’s license, and insurance. The minimum requirement in terms of insurance is that a vehicle must at least have third-party legal liability insurance before it can be driven on a public road. If this norm is flouted, you are subject to heavy penalties, so much so that your registration may be suspended.
“It is made mandatory under the Motor Vehicles Act of 1988 for every vehicle (personal or commercial) to be insured before taking it out on road. ”