Motor Vehicles (Amendment) Bill, 2019 received President’s assent on 9th August, 2019

Parliament received President’s assent for the Motor Vehicles (Amendment) Act, 2019 on 09-08-2019.

Motor Vehicles (Amendment) Bill, 2019 had been passed by both the Houses of Parliament and was waiting for the President’s assent.

Motor Vehicles (Amendment) Act, 2019 will amend the Motor Vehicles Act, 1988.

Some of the important areas of the amendment as was notified earlier are:

Road Safety

In the area of road safety, the Bill proposes to increase penalties to act as a deterrent against traffic violations.  Stricter provisions are being proposed in respect of offences like juvenile driving, drunken driving, driving without licence, dangerous driving, over-speeding, overloading, etc. Stricter provisions for helmets have been introduced along with provisions for electronic detection of violations.  Penalty regarding motor vehicles is to be increased by 10 % every year.

Proposed Amendments in Various Penalties under Motor Vehicles (Amendment) Bill – 2019

Section Old Provision / Penalty New Proposed Provision / Minimum Penalties
177 General Rs 100 Rs 500
New 177A Rules of road regulation violation Rs 100 Rs 500
178 Travel without ticket RS 200 Rs 500
179 Disobedience of orders of authorities Rs 500 Rs 2000
180 Unautorized use of vehicles without licence Rs 1000 Rs 5000
181 Driving without licence Rs 500 Rs 5000
182 Driving despite disqualification Rs 500 Rs 10,000
182 B Oversize vehicles New Rs 5000
183 Over speeding Rs 400 Rs 1000 for LMVRs 2000 for Medium passenger vehicle
184 Dangerous driving penalty Rs 1000 Upto Rs 5000
185 Drunken driving Rs 2000 Rs 10,000
189 Speeding / Racing Rs 500 Rs 5,000
192 A Vehicle without permit upto Rs 5000 Upto Rs 10,000
193 Aggregators (violations of licencing conditions) New Rs 25,000 to Rs 1,00,000
194 Overloading Rs 2000 andRs 1000 per extra tonne Rs 20,000 andRs 2000 per extra tonne
194 A Overloading of passengers Rs 1000 per extra passenger
194 B Seat belt Rs 100 Rs 1000
194 C Overloading of two wheelers Rs 100 Rs 2000, Disqualification for 3 months for licence
194 D Helmets Rs 100 Rs 1000 Disqualification for 3 months for licence
194 E Not providing way for emergency vehicles New Rs 10,000
196 Driving Without Insurance RS 1000 Rs 2000
199 Offences by Juveniles New Guardian/owner shall be deemed to be guilty. Rs 25,000 with 3 yrs imprisonment. For Juvenile to be tried under JJ Act. Registration of Motor Vehicle to be cancelled
206 Power of Officers to impound documents Suspension of driving licenses u/s 183, 184, 185, 189, 190, 194C, 194D, 194E
210 B Offences committed by enforcing authorities Twice the penalty under the relevant section

Vehicle Fitness

Bill mandates automated fitness testing for vehicles. The testing agencies issuing automobile approvals have been brought under the ambit of the Act and standards will be set for motor vehicle testing institutes. The Bill also provides for a compulsory recall of defective vehicles and power to examine irregularities of vehicle companies.

Recall of Vehicles

The Bill allows the central government to order for recall of motor vehicles if a defect in the vehicle may cause damage to the environment, or the driver, or other road users. The manufacturer of the recalled vehicle will be required to: (i) reimburse the buyers for the full cost of the vehicle, or (ii) replace the defective vehicle with another vehicle with similar or better specifications.

Road Safety Board

Bill provides for a National Road Safety Board, to be created by the central government through a notification. The Board will advise the central and state governments on all aspects of road safety and traffic management including standards of motor vehicles,  registration and licensing of vehicles,  standards for road safety, and promotion of new vehicle technology.

Protection of Good Samaritan

To help road accident victims, Good Samaritan guidelines have been incorporated in the Bill.  The Bill defines a Good Samaritan as a person who renders emergency medical or non-medical assistance to a victim at the scene of an accident, and provides rules to prevent harassment of such a person.

Cashless Treatment during Golden Hour

The Bill provides for a scheme for cashless treatment of road accident victims during golden hour.

Third-Party Insurance

The Bill has included the driver’s attendant in 3rd Party insurance. re will be no cap on liability of insurers. There will be a 10-time increase in insurance compensation, from Rs 50, 000 to Rs 5 lakh. Claim process has been simplified. Insurance firms have to pay claims within a month if the victim’s family agree to accept Rs 5 lakh compensation. The Bill also increases the minimum compensation for hit and run cases from Rs 25,000 to two lakh rupees in case of death, and from Rs 12,500 to Rs 50,000 in case of grievous injury.

Motor Vehicle Accident Fund

Bill requires the central government to constitute a Motor Vehicle Accident Fund, to provide compulsory insurance cover to all road users in India. It will be utilised for:  treatment of persons injured in road accidents as per the golden hour scheme,  compensation to representatives of a person who died in a hit and run accident,  compensation to a person grievously hurt in a hit and run accident, and  compensation to any other persons as prescribed by the central government.

Improving Services using e-Governance

Improving the delivery of services to the stakeholders using e-Governance is one of the major focuses of this Bill. This includes:

  • Provision for online driving licenses
  • Process of Vehicle Registration
  • Drivers Training

Reforms in the Transportation System

Development of an integrated Transport System will be possible from the National Transportation Policy. This will also enhance the powers of the State Governments, provide better last-mile connectivity, rural transport, etc.

Taxi aggregators

Bill defines aggregators as digital intermediaries or market places which can be used by passengers to connect with a driver for transportation purposes (taxi services). The Bill provides guidelines for Aggregators. At present, there are no rules in many states for regulating aggregators, taxis, etc.

Reforms in Driving Licences

The vehicle owners may register their vehicle anywhere in the state and process of registration will be done by dealers. Differently abled persons will get facilities for registration of vehicles.

Reforms in the Transportation System

Development of an Integrated Transport System will be possible from the National Transportation Policy. This will also enhance the powers of the State Governments, provide better last mile connectivity, rural transport, etc. The Bill provides guidelines for Aggregators.

*Please follow the link to read the Act: Motor Vehicles (Amendment) Act, 2019


Ministry of Law and Justice

One comment

  • Avatar

    I’m an advocate from Chennai, it would be helpful if I receive notifications via email.

Join the discussion

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.