March 08, 2026
KARACHI: The Sindh government has launched Pakistan’s first digital insurance monitoring system and mandated third-party insurance for all vehicles in the province.
This initiative aims to enhance road safety and ensure financial protection for traffic accident victims.
CM Murad's spokesperson said that vehicles without insurance will neither be registered nor will their token tax be collected.
He said that the provincial government added a new section in the existing Sindh Motor Vehicle Ordinance 2025, introducing financial compensation for accident victims, under which the heirs of a person who dies in a traffic accident will receive Rs700,000, while Rs500,000 will be provided in cases of disability.
Officials say the move is intended to provide financial security to victims of road accidents and their families.
Shah has directed the Excise and Taxation Department to strictly enforce the law. Under the new rules, having a valid insurance policy will also be mandatory for the transfer of vehicle ownership.
CM Murad described the initiative as an important milestone for road safety and citizens’ protection, saying that the third-party insurance law would provide much-needed support to low-income families affected by accidents and ensure that victims receive immediate financial relief.
He further stated that the new digital system has been designed to be transparent and secure, effectively eliminating the possibility of fake insurance policies.
CM Murad also instructed authorities to launch a public awareness campaign to inform citizens about the benefits and requirements of the new law.
He emphasised that the government’s goal is not only to collect taxes but also to provide meaningful services and protection to the public.