Break traffic rules too often? You may have to take driving test all over again
Frequent traffic offenders will soon face mandatory re-tests to renew their driving licences as part of significant amendments to the Motor Vehicles Act. The government also plans to expedite compensation for accident victims and increase appeal c...

After nearly two years of back-and-forth with states and various ministries, the draft amendments landed last week before an informal Group of Ministers led by defence minister Rajnath Singh. The panel has given its nod, clearing the way for the ministry to polish the bill and send it to lawmakers. At the heart of the changes lies one simple idea: make roads safer by putting real pressure on reckless drivers and the vehicles running without insurance.
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Interim compensation for accident victim's family
One of the more far-reaching proposals concerns families of road accident victims, who often wait years for their claims to be settled. The ministry wants to give Motor Accident Claims Tribunals (MACTs) the power to hand out interim compensation instead of forcing victims to sit tight until a case is fully decided. Under the plan, a tribunal could "grant such interim relief that it may deem fit", a shift that could bring quicker relief to grieving or injured families.An advocate and road safety expert, Amarjeet Singh, welcomed the move, saying, "The move to allow interim compensation by MACT tribunals is welcome considering that such cases often face delays in final disposal."
Appeals will cost more now
The draft also raises the financial stakes for anyone challenging a tribunal's order. At present, an insurer or an offending party contesting an award only has to pre-deposit Rs 25,000 or half the awarded sum, whichever is lower. That figure will jump to Rs 10 lakh or 50 per cent of the award, whichever is less. Similarly, the threshold for taking a case to the high court will rise from Rs 1 lakh to Rs 5 lakh, making it costlier to drag out disputes.Third-party premiums head back to IRDAI
In a bit of a policy U-turn, the ministry wants to hand back the job of fixing third-party insurance premiums to the insurance regulator, IRDAI, basing the rates on a vehicle's age and its challan history. This power had shifted to the road transport ministry in the 2019 amendment, but the pendulum now looks set to swing back.Three-year cooling-off period for suspended licences
Drivers hoping for a quick second chance after losing their licence might be disappointed. The ministry has proposed that anyone whose driving licence is revoked will have to wait three full years before applying for a new one, a rule aimed squarely at repeat offenders.Medical certificates now needed later in life
Currently, drivers above 40 need a medical certificate to get a fresh licence or renew an existing one. That age limit is set to rise sharply to 60, giving younger and middle-aged drivers one less hurdle to cross at renewal time.Road safety voices have largely praised the direction of these reforms. Anil Chhikara, a former deputy transport commissioner of Delhi, put it plainly: "In the name of ease of living and ease of doing business, we must not compromise with the fundamental parameters that are necessary for making roads safe."
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Not every proposal is winning applause, though. The plan to impose a "double fine or penalty" on drivers caught breaking traffic rules while carrying a child under six has raised eyebrows. Experts fear this specific clause could open the door to misuse by traffic police, turning a child-safety measure into a potential tool for harassment on the road.
What happens next
With the informal Group of Ministers giving its approval, the ball is now in the road transport ministry's court to finalise the bill's language. If timelines hold, Parliament could take up the matter during the Monsoon session — meaning frequent rule-breakers, uninsured vehicle owners, and anyone banking on a quick licence renewal after a suspension may soon be driving under a very different set of rules.The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
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