Parliament Rejects Proposal to Introduce Comprehensive Motor Insurance

Parliament has rejected an amendment to the Land Transport Act that sought to introduce comprehensive motor insurance in the Maldives, following a vote in today’s sitting.

The amendment, submitted by opposition MP Mohamed Ibrahim (Kudu), received support from 10 members, while 46 MPs voted against it.

Presenting the proposal, Mohamed Ibrahim, who represents Galolhu North, said the amendment aimed to address gaps in the country’s current land transport insurance system. While third-party insurance is mandatory under existing law, he argued that the absence of a comprehensive framework leaves vehicle owners, drivers and passengers without adequate protection.

“This Bill is introduced to establish a mechanism for compensation in the event of an accident and to introduce comprehensive motor insurance to the Maldives,” he said during parliamentary debate. He noted that the current system does not sufficiently cover medical expenses, long-term treatment, loss of income, or compensation for serious injuries and disabilities.

He also highlighted that existing provisions fail to adequately protect passengers and drivers in cases of injury or death, and do not account for compensation in hit-and-run incidents.

Opposition MPs backed the proposal, emphasising the need for broader insurance coverage. However, members of the ruling People’s National Congress (PNC) opposed the amendment, arguing that introducing comprehensive insurance would impose an additional financial burden on the public. Some ruling party MPs also criticised the opposition for bringing forward the bill.

In addition to the insurance amendment, parliament voted on several other matters during the session. The National Service Bill, proposed by South Kulhudhuffushi MP Faruhath Mohamed on behalf of the government, was passed with 50 votes in favour. It aims to establish a comprehensive legal framework for the programme and sets out its objective of developing a generation of young Maldivians who are physically, technically and intellectually equipped to contribute meaningfully to the nation and society.

Under the proposed law, the Government would be required to implement a programme consisting of a basic education and training course followed by a period of service within a state uniformed body. The legislation states that the programme must foster respect for the Islamic faith and its symbols, encourage pride in the country and promote national identity as a core value among participants.

Eligibility would be limited to youths aged between 16 and 21. Individuals under the age of 18 would be required to obtain parental consent in addition to demonstrating their own willingness to participate. All applicants would need to undergo and pass a medical assessment, with the standards to be set out in regulations issued under the law.

The Ministry of Defence would be responsible for providing logistical and financial support during the training period. This would include accommodation, meals, medical care and transportation. Participants would also receive a financial allowance considered reasonable under the legislation.

Upon completion of the basic education and training components, participants would be required to serve in a uniformed body for a period not exceeding one year. The specific terms of service would be determined by a Governing Council established under the bill. The legislation further provides for opportunities to be facilitated for participants to seek employment within the uniformed services following their period of service.

Parliament also approved the appointment of Dr Ali Naseeru as non-resident ambassador to Argentina with 55 votes, and endorsed Aishath Shaan Shakir as non-resident ambassador to Bosnia and Herzegovina with 54 votes in today’s session.