TNAG-1364-FCO40-1810-Hong-Kong-Hansard-reports-and-minutes-of-the-meetings-of-the-1986 — Page 77

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SPEECH BY THE HONOURABLE THE FINANCIAL SECRETARY IN LEGISLATIVE COUNCIL: WEDNESDAY 4 DECEMBER 1985

Traffic Accident Victims (Assistance Fund) Ordinance

(Chapter 229)

Supplement to the Traffic Accident Victims Assistance Scheme

Sir,

I move the resolution standing in my name on the

Order Paper.

2.

The purpose of this Supplement to the Traffic Accident Victims Assistance Scheme, or the "TAVA" Scheme, is to use surplus funds which have accumulated in the existing TAVA Fund to make ex-gratia payments to persons who have suffered bodily injury and to the dependents of those who have died as a result of traffic accidents involving motor vehicles insured with five insurers who have become

insolvent.

3.

The accumulated surplus in the existing TAVA Fund is approximately $190 million. This is far in excess of the amount required to meet payments under the existing TAVA Scheme, which provides only for immediate payments to traffic accident victims who suffer hardship in the aftermath of a traffic accident. The implementation of the Supplementary Scheme will not affect the operation of the existing Scheme.

4.

The full financial implications of the Supplementary Scheme cannot be determined now because the

total number of claims will not be known until the Scheme has been approved and publicised.

It is, however, estimated