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A government spokesman reiterated today (August 18) that private cars without hire car permits but used for the carriage of passengers for hire or reward will not have a policy of insurance or such a security in respect of third party risks as complies with the requirements of the law. Members of the public who intend to use a hire car service should enquire with the service operator or inspect the private car concerned to ascertain whether a hire car permit has been issued to the private car, and check the permit's validity before the journey starts.
In response to today's media report on insurance issues relating to Uber, the spokesman pointed out that any person or organisation who arranges private cars for the carriage of passengers for hire or reward through any means (including the use of mobile applications) should ensure that those private cars have obtained hire car permits and have met relevant laws and permit conditions.
Pursuant to the existing law, it is an offence for any person to use, or to cause or permit any other person to use, a motor vehicle on a road unless there is in force in relation to the user of the vehicle by that person or that other person, as the case may be, such a policy of insurance or such a security in respect of third party risks as complies with the requirements of the law.
As the hire car permit has to be displayed on the windscreen of the private car for which it is issued for inspection, the spokesman reminded members of the public who intend to use a hire car service to enquire with the service operator or inspect the private car concerned to ascertain whether a hire car permit has been issued to the private car and check the permit's validity before the journey starts.
According to the provisions of "Restriction on the use of vehicles" under the Road Traffic Ordinance, no person shall suffer or permit a motor vehicle to be driven or used for the carriage of passengers for hire or reward unless a hire car permit is in force in respect of the vehicle. Any person who commits the offence is liable to a fine of $5,000 and three months' imprisonment for a first conviction, and $10,000 and six months' imprisonment for a second or subsequent conviction.
According to the Motor Vehicles Insurance (Third Party Risks) Ordinance, it is an offence for any person to use a motor vehicle without a valid policy of insurance in respect of a third party. Any person who commits the offence is liable to penalties including a fine of $10,000, 12 months' imprisonment and suspension of driving license for 12 months to three years.
Ends/Tuesday, August 18, 2015
Issued at HKT 18:53
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