Earlier, the General Insurance Council (GI Council), the official representative body of the Indian general insurers consisting of private sector and PSU general insurers, has sued the Ministry of Road Transport and Highways (MoRTH) in Delhi High Court for asking the general insurers to pay for the cashless treatment of victims of road accidents, involving even uninsured vehicles, during the golden hour, under its new scheme-Motor Vehicle Accident Fund(MVAF)
New Delhi: The government, which had asked the general insurers doing motor business, to pay for the cash less treatment of the road accident victims involving even uninsured vehicle, has now changed its stand.
In a new office memorandum(OM) on 30th Aug , which has been put up for public comments , the Ministry of Road Transport and Highways (MoRTH) has said any treatment for road accident victims involving uninsured vehicles, will be paid by the government.
The OM says government will soon start the new scheme and public comments on the new proposal need to received urgently by 5th Sept.
Earlier, the General Insurance Council (GI Council), the official representative body of the Indian general insurers consisting of private sector and PSU general insurers, has sued the Ministry of Road Transport and Highways (MoRTH) in Delhi High Court for asking the general insurers to pay for the cashless treatment of victims of road accidents, involving even uninsured vehicles, during the golden hour, under its new scheme-Motor Vehicle Accident Fund(MVAF).
The GI Council had pleaded in the Delhi High Court to cancel the order and the court has since stayed the move of the MoRTH.
The government had amended the Motor Vehicle Act 1988, in 2019 and notified it in 2022 creating three funds under MVAF for providing cashless treatment, upto Rs 1.5 lakhs, to the victims of growing number of victims of road accidents during the golden hour which is the first hour after a road accident with casualties, during which time if a seriously injured person is attended to by the emergency services and taken to a medical center, their chances of survival increase dramatically.