Section 4
of Motor Vehicles Insurance (Third Party Risks) Act
Section 4
(1)
In order to comply with the requirements of this Act, a policy of insurance must be a policy which —
[S 48/2005]
(a)
is issued by an insurer approved by the Authority but, if the insurer does not reside within Brunei Darussalam no such approval shall be given unless the Authority is satisfied that the insurer has complied with the provisions of section 18(1) and (2);
(b)
insures such person, persons or classes of persons as may be specified in the policy in respect of any liability which may be incurred by him or them in respect of the death of, or bodily injury to, any person caused by or arising out of the use of the motor vehicle on a road:
Motor Vehicles Insurance
(Third Party Risks)
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Provided that such a policy shall not be required to cover —
(i)
liability in respect of the death arising out of and in the course of his employment of a person in the employment of a person insured by the policy or of bodily injury sustained by such a person arising out of and in the course of his employment;
(ii)
except in the case of a motor vehicle in which passengers are carried for hire or reward or by reason of or in pursuance of a contract of employment, liability in respect of the death of or bodily injury to persons being carried in or upon, or entering or getting on to, or alighting from, the motor vehicle at the time of the occurrence of the event out of which the claims arise; or
(iii)
any contractual liability.
(2)
Where any payment is made (whether or not with an admission of liability) by —
(a)
an approved insurer under or in consequence of a policy issued under this Act;
(b)
the owner of a motor vehicle in relation to the user of which a security under section 5 is in force; or
(c)
the owner of a motor vehicle who has made a deposit under section 3, in respect of the death of or bodily injury to any person arising out of the use of a motor vehicle on a road, and the person who has so died or been bodily injured has, to the knowledge of the approved insurer or such owners as the case may be, received treatment at a hospital, whether as an in-patient or as an out-patient, in respect of the injury so arising, there shall also be paid by the approved insurer or such owner to such hospital the expenses reasonably incurred by the hospital in affording such treatment, after deducting from such expenses any moneys actually received by the hospital in payment of a specific charge for such treatment:
Motor Vehicles Insurance
(Third Party Risks)
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Provided that the amount to be paid by the approved insurer or such owner shall not exceed $1,500 for each person so treated as an in-patient or
$150 for each person so treated as an out-patient.
For the purposes of this subsection —
“hospital” means an institution (not being an institution carried on for profit) which provides medical or surgical treatment for in-patients;
“expenses reasonably incurred” means —
(a)
in relation to a person who receives treatment at a hospital as an in-patient, the amount chargeable to a member of the general public, in a ward of the class occupied by the person who received treatment, in accordance with the scale of fees normally charged by the hospital; and
(b)
in relation to a person who receives treatment at a hospital as an out-patient, reasonable expenses actually incurred.
(3)
Notwithstanding the provisions of any written law to the contrary, a person issuing a policy of insurance under this section shall be liable to indemnify the persons or classes of persons specified in the policy in respect of any liability which the policy purports to cover in the case of those persons or classes of persons.
(4)
A policy shall be of no effect for the purposes of this Act unless and until there is issued by the insurer to the person by whom the policy is effected a certificate (referred to in this Act as a certificate of insurance) in the prescribed form and containing such particulars of any conditions subject to which the policy is issued and of any other matters as may be prescribed, and different forms and different particulars may be prescribed in relation to different cases or circumstances.
Requirements in respect of securities.