“Bureau of Car Insurers of Armenia” plans to establish the volumes of insurance fees by the end of the month

10.09.2010 | 16:52 Home / News / News /

Yerevan/Mediamax/. “Bureau of Car Insurers of Armenia” plans to establish the volumes of insurance fees by the end of this month.

Mediamax reports that, speaking at the seminar, organized by CB today, Director of the “Bureau of Car Insurers of Armenia” Union of legal entities Vahan Avetisyan stated that the main goal for setting up the Bureau is protection of the interests of injured parties, as well as regulation and control over the activity of insurance companies.

8 out of 9 insurance companies, functioning in Armenia, are members of the Bureau now. The Bureau Board consists of 7 members, three of whom are representatives of insurance companies and the CB, the Police, and public organizations on driver and consumer rights protection appoint one member each.

The funds of the Bureau are formed from lump payments of its members at the volume of 10mln AMD and quarterly payments of insurance companies at the volume of 0.25% of insurance payments for the previous 12 months.

A Guarantee Fund will function under the Bureau, which will compensate for damage to people in case the guilty in the accident is unknown or is not insured or if the damage is caused as a result of operating a stolen car, as well as in case if the insurance company, which has concluded the agreement on compulsory insurance of vehicle owner civil liability (CIVOCL) is declared insolvent.

Vahan Avetisyan informed that the means of the Fund will be formed from lump payment of the Bureau members at the volume of 15mln AMD, quarterly payments at the volume of 0.5% of insurance payment for the previous 12 months, as well as additional payments in case if the resources of the Fund are not sufficient for compensation.

It is planned that the size of the insurance payment will not depend that much on the state of the car, but more on the experience and the health condition of the driver. The expected cost of annual agreements on CIVOCL at the initial stage will make from 10 to 40 thousand AMD.

Detailed information on CIVOCL is available at CB’s educational website - www.abcfinance.am, and via the “hotline” of the Bureau - 098 551 855.

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