NATIONAL ROAD SAFETY COUNCIL OF MALAWI: SUBSIDIARY LEGISLATION

NATIONAL ROAD SAFETY COUNCIL OF MALAWI: SUBSIDIARY LEGISLATION

NATIONAL ROAD SAFETY COUNCIL OF MALAWI (ROAD SAFETY LEVY) ORDER

under s. 15

G.N. 57/1991
1/2001
13/2006

1.    Citation

    This Order may be cited as the National Road Safety Council of Malawi (Road Safety Levy) Order.

2.    Interpretation

    In this Order—

    “insurer” means any company registered and authorized to underwrite motor vehicle insurance in accordance with the provisions of the Insurance Act.

3.    Imposition of road safety levy on insurers

    (1) There is hereby imposed on every insurer a levy, to be known as road safety levy, payable quarterly by the insurer to the Council at the rate of one per cent (1%) of the total premiums received quarterly by the insurer in respect of motor vehicle insurance as shown in the insurer’s audited accounts.

    (2) The Council shall have access to insurers’ books for inspection, verification and audit and shall receive quarterly returns or statements of motor vehicle premiums clearly showing date insured, categories and exact amounts.

    (3) The amount of road safety levy imposed under subparagraph (1) may be paid in lump sum or in instalments but in either case the total amount shall be payable not later than fifteen days after the end of the insurer’s financial year.

    (4) An insurer who fails to pay the full amount of road safety levy in respect of any financial year within the period allowed in subparagraph (2) shall, in addition to any amount of levy outstanding, be liable to a penalty equal to twenty per cent (20%) of the total amount outstanding in any month or part of any month after that period.

    (5) An insurer who fails to submit quarterly returns or statements as required under subparagraph (2) commits an offence and shall be liable, upon conviction, to a fine of K30,000.

4.    Recovery of road safety levy

    The amount of road safety levy and the penalty payable under paragraph 3 shall constitute a debt owing by the insurer to the Council and shall be recoverable by civil proceedings.