Production of certificate of Insurance on application for authority to use vehicle
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Summary
A State Government can make rules requiring a vehicle owner, when applying (including by payment of a tax) for authority to use the vehicle in a public place, to produce prescribed evidence that a valid insurance policy will be in force when the authority begins. As an alternative, the owner may show the vehicle is one to which section 146 does not apply. Without the required evidence the authority may be refused under those rules.
Example
Priya pays vehicle tax and applies for authority to use her delivery van in a public place. The rules require her to produce a certificate or insurance policy showing coverage will be in force when the authority starts. If she cannot produce that evidence, the authority can be refused unless her van is exempt under section 146.
Bare Act
Enacted textA State Government may make rules requiring the owner of any motor vehicle when applying whether by payment of a tax or otherwise for authority to use the vehicle in a public place to produce such evidence as may be prescribed by those rules to the effect that either—
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(a) on the date when the authority to use the vehicle comes into operation there will be in force the necessary policy of insurance in relation to the use of the vehicle by the applicant or by other persons on his order or with his permission, or
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(b) the vehicle is a vehicle to which section 146 does not apply.
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