Government plans to establish a road accident fund to help address the challenges road traffic victims face e.g. disability and loss of employment. According to the Ministry of Transport the current third party motor vehicle insurance scheme does not effectively address the post-crash needs. Many motorists see it as "a form of tax that they would avoid rather than a protection for their lives". Government is keen on having a scheme that would facilitate compensation to victims and meet their financial and medical requirements.
The Government has not yet explained the key aspects of this proposal: how will it be implemented or enforced? Is it going to be a voluntary fund people pay into or mandatory? There are no hard proposals on the table. In theory this can only be done in one of four ways:
Option 1: A pure GRZ scheme funded from the existing health or transport budget
Option 2: A motorist fund which every motorist contributes to (including businesses)[view whole blog post ]
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