KUALA LUMPUR: The Ministry of Transport (MOT) will examine the implications of making car insurance compulsory for private car passengers, as it could among others, significantly impact insurance costs for vehicle owners. Transport Minister Anthony Loke Siew Fook stated that a comprehensive study would also be necessary to evaluate its impact on existing laws.

According to BERNAMA News Agency, Loke mentioned that the Land Division of the Ministry of Transport will be tasked with further investigation into the matter. He emphasized the potential major impact on insurance costs, which requires careful consideration before any policy decisions are made. Loke highlighted the importance of balancing such a decision with the Federal Court’s ruling, which might necessitate amending current legislation.

Loke’s comments came in response to a recent Federal Court ruling that passengers travelling in vehicles for work purposes can seek compensation from their vehicle insurance company for injuries sustained in acciden
ts. This ruling has sparked renewed discussions on whether Malaysia should mandate insurance coverage for passengers in private vehicles to ensure compensation in the event of accidents.