Why you need road traffic insurance tax?

The road traffic insurance tax is a tax on mandatory liability insurance for motor vehicles. It covers fines for uninsured motor vehicles collected by the Norwegian Motor insurer’s Bureau. In 2018, the government of Norway decided to replace the annual fee with a motor insurance fee which will be a part of the car insurance. Payment of the annual fee was to be done in a hefty invoice which many persons found illogical. Also, the use of the vehicle and the tax were not linked. This implies that even if the car is not used, the fee, in full, still have to be paid.

These issues are avoided and dealt with since the introduction of the road traffic insurance tax. The benefits of the new scheme far outweigh the old system since, for the government, it reduces administrative costs, and for the populace, it reduces the amount to be paid as tax. As a member of the masses with a vehicle, why do you need a road traffic insurance tax? The most important reason?

The law mandates it

This is the reason that should buoy all law-abiding citizens and foreigners to get this tax. Failure to comply with the …