ArmInfo. As part of amendments to the MTPL General Conditions, increased insurance amounts and maximum compensation limits will come into effect on April 1, 2026, as was noted in a statement published by the Motor Insurers' Bureau of Armenia on March 9.
The amendments were approved by the Bureau's Board decision of December 11, 2025, and registered by the Central Bank of the Republic of Armenia on January 30, 2026.
Specifically, the insured amounts and maximum compensation limits have been increased as follows: for property damage, the current 1.8 million drams have been raised to 2.5 million drams; for damage to health, the current 3.3 million drams have been increased to 3.5 million drams.
At the same time, the insured amounts for the total damage caused to all victims as a result of a single insured event have been proportionally increased and set at 25 million and 35 million drams, respectively. The above changes have been made because the current insured amounts don't align with current realities and do not cover a significant portion of damages that may arise in the civil liability insurance segment of motor vehicle owners. These changes will enable more comprehensive protection of the interests of victims.
The Armenian Motor Insurers' Bureau informs that once these amendments to the Rules come into force, an updated version will be posted on the Bureau's website in the "Bureau Rules" section of the "Legal Acts" subsection. It should be noted that of the seven insurance companies operating in Armenia, six are licensed for compulsory motor third-party liability insurance (CMTPLI) (excluding Efes Insurance Company).
According to the Armenian Bureau of Motor Insurers, the number of vehicles with CMTPLI policies increased by 3.2% to 696,113 units in 2025. However, the number of active contracts exceeded 1.426 million (excluding terminated contracts - 1.305 million), representing an annual increase of 8.3%. The loss ratio for CMTPLI in 2025 decreased from 81.8% to 76.3%. According to the Financial Rating of Insurance Companies of Armenia as of December 31, 2025, prepared by the ArmInfo Investment Company, during the reporting year, MTPL insurance premiums collected amounted to 34.7 billion drams or $91.1 million, while compensations paid totaled 24.3 billion drams or $63.8 million. In the total portfolio of premiums and compensations, MTPL accounts for 41% and 49.7%, respectively. Year-on-year, MTPL collections and payments demonstrated double-digit growth rates - 16.7% and 10.2%, respectively.
