According to the Compulsory Automobile Insurance Act, what is required of vehicle owners?

Vehicle owners are required to insure their vehicle if it is operated on a public road, as mandated by the Compulsory Automobile Insurance Act. This legislation aims to ensure that all drivers have a minimum level of financial protection in case of accidents, which ultimately serves to protect all road users. The requirement for insurance helps cover liability for injuries and damages that may occur as a result of operating a vehicle, reinforcing public safety and accountability among drivers.

While registering the vehicle annually, paying taxes on vehicle ownership, and potentially upgrading an insurance policy are all important aspects of vehicle ownership, they do not reflect the fundamental financial responsibility that is emphasized by the Compulsory Automobile Insurance Act. The focus of this law is on the necessity of having insurance coverage in place before a vehicle can be legally operated on public roads.