Road accident compensation rates revised

Governor endorses Sindh Motor Vehicles (Amendment) Bill 2015

Sindh Governor Mohammad Zubair on Wednesday endorsed the Sindh Motor Vehicles (Amendment) Bill 2015 with revised amounts for claims by road accident victims. 

The amendment in the Sindh Motor Vehicle Ordinance 1965, adopted by the provincial assembly on February 2 this year, would be enforced with immediate effect across the province, said an announcement issued on Wednesday evening.

As per the approved law, in case of death of an insured passenger his/her heirs would be entitled to Rs500,000; victims losing sight in both eyes would be paid Rs250,000 and Rs140,000 would be paid to those who lose both lower limbs.

Victims of motor vehicle accidents could claim Rs75,000 for losing one eye and Rs10,000 to Rs65,000 for irreversible or reversible damage to any other organ.

Moreover, the word "Bank Guarantee" used in Sub-Section One of Section 49, Sindh Motor Vehicle Ordinance 1965, has been replaced with “Insurance Company Guarantee”.

The insurance companies would also have to be listed with the Securities and Exchange Commission of Pakistan and must be certified by the provincial government.