You Can Find Great Car Insurance in Texas For Less!
Another reform may be the abolition in many provinces of the guest passenger rule. Under that rule a non-paying passenger in a private automobile couldn’t recover in tort against the driver unless there was proof of gross negligence.
Clearly, the removal of this rule has risen the number of claimants who may now recover in tort. Each one of these developments improved the chances that an innocent victim of the automobile accident could be compensated a minimum of to some extent. But there still needed to be a proof of fault and, in most cases, the defendant had to have liability insurance. To pursue further the compensation purpose of tort law because it applied to car accidents, provinces instituted incentives to induce owners of automobiles to buy liability insurance.
These were the so-called Financial Responsibility Laws which required proof by motorist in charge of an accident, she could pay, by insurance or otherwise not, any damages resulting. If proof had not been forthcoming, penalties followed. Fund from where payments were made to victims whose losses and injuries had been caused by uninsured or unidentified motorists. This basic concept was copied by all of the other provinces. The funds were created up of contributions by those who, upon registering their vehicles, chose to not buy insurance.
This was not just a form of insurance for they because, threatened by of the loss in their driving privileges, they were required to reimburse the fund for just about any losses they caused.
Not content with financial responsibility laws as a way of encouraging the supply of insurance to pay judgments, all provinces have recently resorted to regimes of compulsory automobile liability insurance. If you need more info, click to read more. Accordingly, it is a criminal offence for an uninsured motor vehicle to be operated on public highways. Registrants of automobiles are required to provide specifics of insurance when obtaining licenses or renewals of licenses for their vehicles and police officers routinely demand proof of insurance each time a motorist is stopped for reasons uknown.
Offenders are likely to pay heavy fines. Special arrangements are made to provide cover for high-risk applicants. This all is clearly designed to protect victims (rather than insured defendants). It really is, in short, a type of compensation plan.