Under the Motor Vehicles (Third-Party Risks and Compensation) Act, all motor vehicles, including private-hire cars, are required to be insured against third-party liability risks, which include death and bodily injury to passengers ("Still hazy over insurance for private-hire rides" by Mr Benny Tan Cheng Kiat; last Thursday).

This means that passengers in a private-hire car that is involved in a motor accident can claim compensation from the owner of the private-hire car or its insurer.

Those convicted of using or permitting a person to use a vehicle in Singapore without the appropriate insurance are liable to a fine not exceeding $1,000, or imprisonment for a term not exceeding three months, or both.

The driver will also be disqualified from holding or obtaining a driving licence for 12 months from the date of conviction.

Leow Yew Chin

Director

Public Transport Promotion and Services

Land Transport Authority