Bureau of Motor Insurers of Armenia increased upper ceiling to 100 thousand AMD within system of independent registration of road accidents

ArmInfo. Starting from September 1 Bureau of Motor Insurers of Armenia will conduct transition to a simplified model of registration of road traffic accidents, Executive Director of the Bureau Vahan Avetisyan stated at the press conference on August 24.

According to him starting from September 1 if there is an insurance case below 100 thousand AMD (versus previous 50 thousand AMD), participants of the accident are given opportunity to independently register the fact of accident via a simplified form of declaration approved by the government and apply to the insurers for indemnity payment. "I would like to note that these changes are not mandatory. It is an additional opportunity for drivers to save time while drawing up the declaration with car remaining on the place of accident for 5 to 7 minutes", he stressed. "In other cases when insurance event is higher than 100 thousand AMD accident is to be registered exclusively by traffic police of Armenia", Avetisyan informed.  "This means insurers are not obliged to arrive on the scene. Within 40 minutes after road accident participants of the accident should inform them by a telephone call. As a result we will receive simplified system of road accident registration," the head of the Bureau said.

During the press conference Avetisyan presented brief statistics since the moment of introduction of the system under the ceiling of up to 50 thousand AMD. Thus, according to him, in March 2016 number of independently registered accidents totaled 230, within which indemnity payments amounted to 10 mln AMD. In July 430 accidents were registered independently and insurance payouts totaled 17 mln AMD. "Thus, the process has been greatly simplified allowing the sides to receive insurance compensations within 3-7 days", he noted. Avetisyan thinks that due to increasing the ceiling to up to 100 thousand AMD the number of independently registered accidents will grow to 1200-1500.

To note, MTPL insurance was introduced in Armenia on Jan 1, 2011. The Bureau of Motor Insurers (union of legal entities) was established on June 28 2010 by the decision of the Central Bank of Armenia. The Bureau controls over the activity of motor insurers - members of the Bureau in the field of MTPL insurance, protects the interests of the affected parties, and provides stability and development of the MTPL system.  Members of the Bureau are 6 operating insurance companies.