7 days ago
- Automotive
- New Straits Times
Luxury car owners skip road tax, insurance for cheap fines
KUALA LUMPUR: A senior lawyer has revealed that some owners of high-powered luxury vehicles are allegedly choosing not to renew their road tax and insurance because the fines are cheaper.
Muhammad Hasif Hasan said a product founder told him it was more cost-effective to pay a maximum fine of RM3,000 for not having the required documents than to pay the thousands of ringgit needed to renew them.
The lawyer was speaking on the Road Transport Department's (RTD) Ops Luxury 2025, which has so far seized 53 luxury vehicles without road tax and insurance.
"When I met the individual who has become an 'orang kena saman' (OKS), I asked why they came to court, and the answer was to pay a fine on road tax and insurance," Muhammad Hasif told Berita Harian.
"The person explained that it was better to pay the RM300 fine, as it was cheaper and more worthwhile compared to paying over RM5,000 for road tax and more than RM10,000 for insurance for his continental car."
The individual, who does not drive the car daily but uses it for product promotions, said that to get road tax, he must first get insurance.
"If he just continues driving without road tax and insurance and gets fined, the maximum is only RM300. It's more worth it," Muhammad Hasif said.
The lawyer added that this attitude not only breaks the law but also endangers other people's lives.
"If he were to get into an accident and hit a member of the public while having no vehicle insurance coverage, the victim or their family would not be able to make any claims," he said.
"In the end, they would have to bear all court and medical costs themselves."
Muhammad Hasif said that once a victim's family is involved in a serious accident or death due to a driver's negligence, they will face a complicated and costly legal process.
"Legal costs can reach up to RM10,000 to RM40,000, excluding medical and other court costs," he said. "In fact, even if they win the case, there's no guarantee they will receive the compensation money."
He added that if the defendant has no insurance, the plaintiff would then have to file bankruptcy proceedings to enforce the court's decision, which would also cost thousands of ringgit.
