Algeria – Motor price increase and no compensation for bad drivers
Wednesday, 04 27 2016, Category: Insurance and Reinsurance, Country: Algeria
Further to the increases in fuel prices, the Algerian Union of Insurance and Reinsurance Companies submitted detailed statistics to mathematical department of the University of Sciences and Technology Houari Boumediene in order to evaluate the size of increases to be suggested to the ministry of finance related to the tariff of motor insurance.
The increases which will be submitted to his excellency Mr. Abderrahmane Benkhelfa next June and could be implemented in the beginning of January in the first case to bad drivers who cause more than 3 accidents a year. They will be placed in the red category according to the information system and they could be deprived from compensation if they exceed the red category.
Mr. Hassan Khelifati vice president of the Algerian Union of Insurance and Reinsurance Companies told “Echorouk” that the financial situation of insurance companies in Algeria due to the high number traffic accidents and their sharp increase in the latest period, bad driving, vehicle price increases of 30%, repair part increases of 40% pushed the Union to prepare a file to the ministry of finance in June in order to raise motor insurance prices.
Source: Echorouk online