XN000022-1978-05-10 — Page 5

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WEDNESDAY, MAY 10, 1978

GOVERNMENT CONSIDERING INTRODUCTION OF TRAFFIC

ACCIDENT INSURANCE SCHEME ******

THE GOVERNMENT IS GIVING FURTHER CONSIDERATION TO BOTH A NO-FAULT TRAFFIC ACCIDENT VICTIMS ASSISTANCE SCHEME AND A MOTOR INSURERS BUREAU SCHEME WITH THE INTENTION TO INTRODUCE ONE OR THE OTHER, OR BOTH, OF THESE SCHEMES AS SOON AS PRACTICABLE.

THIS WAS STATED TODAY BY THE SECRETARY FOR THE ENVIRONMENT, THE HON. DEREK JONES, IN REPLY TO A QUESTION BY THE HON. HILTON CHEONG-LEEN IN THE LEGISLATIVE COUNCIL.

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MR. JONES SAID THE TRAFFIC ACCIDENT ASSISTANCE SCHEME WOULD PROVIDE A LIMITED DEGREE CF ASSISTANCE, WITHOUT PROOF OF NEGLIGENCE AND WITHOUT RESORT TO COURT PROCEEDINGS, TO THOSE SUFFERING PERSONAL INJURIES AS A RESULT OF TRAFFIC ACCIDENTS.

+PAYMENTS WOULD BE MADE FROM A GOVERNMENT CONTROLLED FUND FINANCED IN PART FROM GENERAL REVENUE AND IN PART FROM CHARGES ON VEHICLE OWNERS AND DRIVERS,+ HE SAID.

ON THE MOTOR INSURERS BUREAU SCHEME, MR. JONES SAID IT WOULD BE OPERATED BY THE ACCIDENT INSURANCE ASSOCIATION AND WOULD BE FINANCED BY A SURCHARGE ON MOTORISTS' INSURANCE POLICIES.

+IT WOULD, LIKE ITS UNITED KINGDOM COUNTERPART, PAY COMPENSATION AWARDED BY THE COURTS IN CASES WHERE COMPENSATION WOULD NOT NOW BE PAYABLE DUE TO DEFECTS IN THE INSURANCE,+ HE ADDED.

MR. JONES STRESSED THAT WHILE THE FORMER SCHEME WOULD PROVIDE MINIMUM ASSISTANCE WITHOUT PROOF OF NEGLIGENCE, THE LATTER WOULD PROVIDE FOR THE PAYMENT OF FULL DAMAGES, AS AWARDED BY A COURT, WHICH COULD BE MUCH HIGHER.

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