yeah, it’s likely for insurance or regulatory reasons.
insurance will find any reason possible to deny your claim. even if that is a failure to remove the keys from the ignition after the car burst into flames.
regulators shouldn’t allow slack. with any company in a regulatory situation they will to exactly as much as they’re allowed to get away with. give them an inch, they take a Mile. letting hazard tags slide based on judgement creates space for corruption and abuse. following procedures to the letter with strict documentation can help curtail that.