Saudi Arabia – No additional premium to cover vehicle passengers
Thursday, 01 21 2016, Category: Insurance and Reinsurance, Country: Saudi Arabia
The Transport Committee of the Jeddah Chamber praised the guidelines of the Ministry of Transport and The General Department of Traffic in order to apply “Third Party” insurance. The guideline stops the practice of insurance companies charging an additional premium in order to cover passengers.
This development came after the lobbying made by the Transport Committee of the Jeddah Chamber about the scope of coverage in the “Third Party insurance contract” which will include passengers. The authorities showed clearly that the third party insurance covers bodily injury affecting third parties whether inside or outside the vehicle with the exception of the insured or the driver as well as the material damage caused to other vehicles.
Source: Al Riyadh