Lawyer sues government for forcing Ugandans pay for motor vehicle insurance
A lawyer has dragged government to court for forcing Ugandans owning vehicles to pay for motor third party insurance policy.
Through Tropical Law Advocates, lawyer Stephen Ssekigozi contends that it is illegal for government through police to arrest drivers of vehicles without motor third party insurance stickers.
“Under the insurance law, insurance is a contract that should not be forced onto anyone.It is therefore wrong for police that is not party to the contract to arrest defaulters,”Ssekigozi says in his suit filed in the High Court civil division in Kampala.
According to the lawyer, many people are forced to pay for motor vehicle insurance without necessarily benefitting out of it which he says is illegal and unconstitutional.
“Many of the drivers pay not because they know what they pay or its benefit but because of fear of arrest by police for defaulting.”
“What government is doing is wrong to force people enter contracts they don’t want.”
Insurance Regulatory Authority
Ssekigozi in the suit wants court to declare the insurance Regulatory Authority, the body mandated to regulate insurance policy in the country incompetent for failure to guide the public on how to pay insurance.
The lawyer says the third party insurance policy has a number of loopholes that render it null and void.
“Take an example in the Kiryandongo accident that claimed over 20 people, why did government instead of the vehicle involved in the accident compensate victims,”he wonders.
According to Ssekigozi, many people are affected by accidents and don’t get compensated despite availability of an insurance policy on all vehicles.
Bank of Uganda
He also accuses the central bank of taking a back seat when Ugandans are being cheated with fees payable in banks on subscribing for motor vehicle insurance policy.
Ssekigozi contends that the shs2500 fee charged on every person by the banks as they purchase insurance is illegal and unconstitutional.
The lawyer wants the High Court to declare third party insurance policy applied under section 33 of the Traffic and Road Safety Act 1998 unlawful and contravening the constitution.
He also wants court to declare it illegal for government to allow its agents issue varying insurance policies to various motor vehicles without a proper insurance policy in place.
“We seek a declaration that the penalties paid as a result of not paying for motor third party insurance are unlawful and should be scrapped.”
Ssekigozi adds,”We seek a declaration that the action of impounding motor vehicles over non- payment of third party express penalties is in contravention of the constitution.”
The lawyer wants court to force government refund money accumulated over a number of years in regards to payment of motor third party insurance for vehicles.
