11Compulsory comprehensive motor vehicle insurance—the Act, ss 54C(3) and 59(2)(i)

11 Compulsory comprehensive motor vehicle insurance—the Act, ss 54C(3) and 59(2)(i)

11 Compulsory comprehensive motor vehicle insurance—the Act, ss 54C(3) and 59(2)(i)

(1) Each motor vehicle owned or operated by a driving school must be covered by comprehensive motor vehicle insurance that—

(a) provides cover of at least $5,000,000 against liability for damage to property from the use of the vehicle, and

(b) indemnifies the following persons for damage, including an excess payable on a claim, arising from the use of the vehicle—

(i) a person driving the vehicle while receiving driving instruction,

(ii) a person driving the vehicle while undertaking a driving test, and

(c) is maintained with a corporation authorised under the Insurance Act 1973 of the Commonwealth to carry on insurance business.

(2) TfNSW may exempt a person from compliance with the Act, section 54C(1).