Why Insurance is Compulsory for Vehicles?
insuranceCreation.com – In the eyes of the law, you have a duty of care to protect other road users from injury or damage. You do that by making sure that your vehicle is legally roadworthy and that you have the right insurance for what you’re doing with it. Your motor policy is a legal contract between you and an insurance company, and it covers the risks that you’re most likely to encounter.
In the UK, insurance is compulsory for any vehicle that is driven on a public road. The police can pull you over and ask you to present a certificate of insurance. If you don’t have one, the most that they’ll do is issue a parking ticket. However, if you have an accident and don’t have insurance, then your driving licence will be revoked.
Considering how important insurance is, you may find it surprising that not everyone is aware of its many aspects. Insurance offers protection to vehicles against injuries or financial losses that could arise from accidents caused by third-parties. Though this protection is essential, there are still some people who don’t fully understand why insurance is compulsory for vehicles.
The very first thing which you must know is that, why insurance is compulsory for vehicles. The answer to this question is that, if you want to drive a vehicle on the road then it’s compulsory for you to have an insurance policy of your vehicle. If you don’t have the insurance policy of your vehicle, then you will be fined seriously by the government or by the traffic police of your state.
Car insurance is compulsory in most countries and the reasons vary depending on the laws of that country. For example, in the United States, each state has its own set of regulations. In Australia, it is compulsory to have liability insurance before you can register your vehicle for use on public roads.