All you want to know about... MOTOR INSURANCE
| MOTORCYCLES STILL NEED INSURANCE, SAYS CHAN |
The following article is extracted from:
SUNDAYSTAR SUNDAY 14 SEPTEMBER 2003
M-cycles still need insurance, says Chan
CYBERJAYA: Insurance and registration for motorcycles with engine capacity not exceeding 150cc are still compulsory despite the government decision to abolish road tax for these vehicles. Transport Minister Datuk Chan Kong Choy said under Section 90 of the Road Transport Act, it was compulsory for all motor vehicles to be insured.
"I would like to remind all motorcyclists that although they don't have to pay road tax, they must be covered by insurance, at least third party insurance. The Road Transport Department (JPJ) and ministry officials will work out the mechanism for them to be covered by insurance. We will not compromise on their interest and safety," he told reporters. Chan said that owners would still have to register their vehicles for the registration number, adding: "No road tax does not mean you don't have to go to JPJ at all." He said that the road tax exemption for motorcycles less than 150cc as announced in Budget 2004 was effective immediately. "If your renewal is today, you don't have to pay, if you have paid yesterday, then you have to wait for another year," he added.
The move to exempt such vehicles from road tax will result in the government losing a total of RM177.7 mil annually. There are 3.18 million motorcycles in the country.
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