MV Act Amendments Proposed: Behaviour-Linked Insurance and DL Rules
Why in the news
The Road Transport Ministry proposed Motor Vehicles Act changes to cut uninsured vehicles, tighten licensing and link insurance cost to driving behaviour.
Insurance proposals
- Section 147: IRDAI to set base premiums and liabilities using vehicle age and challan history.
- Third-party cover, now compulsory for commercial vehicles only, to reach owner, driver and occupants of personal vehicles.
- Reason: many two-wheelers run uninsured.
Driving licence proposals
| Area | Proposal |
|---|---|
| Renewal (Section 9) | Remove test exemption for poor challan records; at present no test if renewed within a year before expiry |
| Fresh licence | Barred if the earlier licence was revoked in the last 3 years |
| Graded licence | Larger vehicles tied to experience and skill |
| Medical certificate | Age raised from 40 to 60 years |
Exam angle
- Sections 147 and 9; regulator IRDAI.