Dear Editor,
It is astounding to realize that the minimum insurance permitted for minibuses, hire cars, lorries ‒ even heavy duty ones ‒ for collision (Full Third Party) is a mere $25,000, and for injuries and death $20,000. I cannot imagine how this is allowed to continue in this country.
Twenty-five thousand dollars can barely purchase a small signal light, and some cost as much as $50,000 to $100,000 for just one light. Headlamps, bumpers, fenders, labour and general repairs, as well as the replacement of parts such as a/c systems, radiators, the computer black box and other expensive electronic equipment found in most modern vehicles, can go into the hundreds of thousands of dollars, and take months to import in some cases. At times these may even cost millions. In many cases an accident can wipe out a vehicle, but the insurance companies will only pay the $25,000 or even less if they can get away with it. With this minimum insurance, for injuries, as mentioned above, the payout is a mere $20,000. This is blatant nonsense. This needs addressing by the authorities.
We at RK’s ensure that we are protected for a much larger sum, so that if myself or a staff member is involved in an accident, and we are at fault, the other party will not be left in the cold and we do not have to end up in our pockets, or cause the other party to file legal action which could take years to settle.
How could the government of a country permit such a ridiculous vehicle accident insurance limit? Many Guyanese have admitted that they take the coverage for it is almost as if it is free, and they can drive around legally, protected by a law which is archaic and even useless. I have seen families financially wiped out, as they have no money when their vehicles are destroyed, and they have no money for lawyers, so they sit on the issue and suffer.
The government should immediately instruct that all vehicles’ minimum insurance should be $500,000, with protection for injuries up to $1,000,000, as hospitalization is expensive, and loss of work and business even more expensive.
I hope those with power, eyes and ears listen and read. This is a crisis situation in Guyana.
Yours faithfully,
Roshan Khan
