ArmInfo. A system of independent registration of MTPL insurance events below 50,000 AMD by drivers comes into effect today, on March 4 2016. The Bureau of Motor Insurers told ArmInfo, the new process implies a facilitated and prompt mechanism of indemnity payment by an insurance company. Along with this, the Bureau has updated the procedure of contractual relations with expert organizations for insurance events below 50,000 AMD: the terms of repeated examinations have been reduced to 3 working days and the payment for the examination was reduced to 5,000 AMD. A repeated examination looks to protect the rights of the MTPL insurance event affected party. It is conducted in the cases when the aggrieved persons disputes the examination result of their insurance company concerning the guilty and/or damage level.
From now on, a MTPL insurance event below 50,000 AMD can be settled upon mutual consent of drivers without calling an insurance officer. Drivers are just required to inform their insurers of the road accident, sign a joint application form and enclose photos of the accident to it and send it to the insurance company. The application form and related information are available at the official website of the Bureau of Motor Insurers: http://paap.am/index.php?al=agreed_declaration
The Bureau strongly recommends drivers and owners of transport vehicles to keep several copies of the application form. The document is available for downloading from the above website. Besides, drivers can receive application forms either at their insurance companies or from their insurance agents while making a MTPL contract or after it.
Earlier on February 18, Prime Minister Hovik Abrahamyan welcomed the CB's initiative saying it will speed up the procedure of registering an insurance event and help avoiding traffic jams. He recalled that 6,000 insurance events for up to 50,000 drams were registered in 2015 versus 9,500 in 2014.The prime minister suggested increasing the upper ceiling to 100,000 drams, as such insurance events account for 32% of total. However, CB Chairman Arthur Javadyan said, insurance companies are not ready to increase that amount so far. The government will return to the issue in 2-3 months.
According to ArmInfo's Ranking of Armenian Insurance Company, in 2015, MTPL insurance events totaled 41,920 versus 50,601 in 2014. MTPL indemnities totaled 8.5 bln drams in 2015 versus 9.8 bln drams in 2014. The leader by the MTPL indemnities is RosGosstrakh-Armenia - over 35% of total in the market.
The insurance market encompassing 6 companies - Rosgosstrakh Armenia, INGO Armenia, RESO, Nairi Insurance, Armenia Insurance, and Sil Insurance - provides 17 out of the registered 19 non-life insurance lines, except railway transport insurance and insurance against judicial and extra-judicial expenses.