For some kids this just means they trust that the rules are there for a very good reason, and so are intrinsically good to follow. As a parent one hopes that your kids come to see your rules in that light, rather than as a tool to exercise power or maximize personal convenience, or any number of abuses.

The tricky rules are the very non-obvious ones, like those involving seat belts. Insurance against very infrequent events are difficult to motivate, and require a sophisticated understanding of risk to not seem arbitrary. (And given the number of baby-boomers who managed to survive childhood despite being thrown into a large back-seat with no seat-belts at all tells me that these rules might not be as wise as we think!)

Reporting rule-breakers is, of course, slightly different because now rule-breaking is not intrinsically bad, but extrinsically good to the person doing the turning in. (The motivation must be power and indirect punishment, and not compassion, because otherwise you'd talk to the rule-breaker first.) This is a favorite weapon that siblings naturally wield against each other at a very young age. That is the perversity of it rules, is that a human's first innocent instinct is to abuse them to harm a sibling. Ain't that something?