BACK TO MVA INDEX
MVA 1988 (Amended 2019)ORIGINALChapter VII
Section 158-161
Production of Insurance Certificate; Collision Claims; Compensation in Hit-and-Run Cases
Insurance of Motor Vehicles Against Third-Party Risks
Fine: N/ACompoundable: N/AEndorsement: No
BARE ACT PROVISION
Legal Text
Section 158: Any person driving a motor vehicle shall, on demand by a police officer in uniform, produce the certificate of insurance. Section 161: (1) Notwithstanding anything contained in this Act or in any other law for the time being in force or instrument having the force of law, the Central Government shall pay compensation out of the Fund to the legal representatives or claimants, as the case may be, of — (a) a victim who dies in an accident of the nature specified in sub-section (2); and (b) a victim who suffers grievous hurt in an accident of the nature specified in sub-section (2). (2) The compensation payable under sub-section (1) shall be — (a) two lakh rupees in case of death; (b) fifty thousand rupees in case of grievous hurt.
Simplified Explanation
Section 158 creates the duty to produce insurance certificates on police demand — a critical enforcement tool that allows officers to verify insurance compliance at traffic checks. Section 161 is one of the most socially significant provisions in the MVA — it creates a compensatory scheme specifically for victims of hit-and-run accidents (where the offending vehicle is unidentified or cannot be traced). The 2019 Amendment dramatically increased the hit-and-run compensation amounts: from ₹25,000 to ₹2 lakh for death (an 8-fold increase) and from ₹12,500 to ₹50,000 for grievous hurt (a 4-fold increase). The compensation is paid from the Motor Vehicle Accident Fund (Section 164B) — a dedicated fund created by the 2019 Amendment. The scheme recognises that hit-and-run victims are doubly victimised — they suffer the accident and then face the impossibility of pursuing an unidentifiable perpetrator. The previous amounts (₹25,000 for death) were widely condemned as unconscionably low.
Historical Context
The original hit-and-run solatium scheme (under the old Section 92A) provided ₹25,000 for death — an amount that hadn't been revised for decades and was barely adequate for funeral expenses. The 2019 Amendment's 8-fold increase was among the most significant pro-victim changes in the entire amendment package.Critical Changes
Hit-and-run death compensation: ₹25,000 → ₹2 lakh (8x increase) — 2019 Amendment.
Hit-and-run grievous hurt compensation: ₹12,500 → ₹50,000 (4x increase) — 2019 Amendment.
Motor Vehicle Accident Fund (Section 164B) established to fund hit-and-run and other compensation.
Digital insurance production (DigiLocker) accepted under Section 158.
Practical Scenarios
"A pedestrian killed by an unidentified vehicle — family entitled to ₹2 lakh under Section 161."
"A cyclist with a broken leg from a hit-and-run — entitled to ₹50,000 under Section 161."
Common Queries
Under Section 161 (as amended 2019), ₹2 lakh is paid for death and ₹50,000 for grievous hurt in hit-and-run accidents where the offending vehicle cannot be identified. This is paid from the Motor Vehicle Accident Fund.
File an application with the Claims Officer (typically at the District Collector's office or through the insurer designated under the scheme). Documents required: FIR, medical/death certificate, proof of identity and address of claimant, and particulars of the accident.
Yes — the Section 161 compensation is a minimum guaranteed amount. If the offending vehicle is later identified, you can file a full MACT claim under Section 166 for complete compensation. The Section 161 amount received is deducted from the final MACT award.