Egypt – Raising compensation of compulsory motor?
Tuesday, 05 30 2017, Category: Insurance and Reinsurance, Country: Egypt
The Egyptian Pound lost 48% of its value since its exchange rage was liberalized in November 2016. The government was expected to intervene to limit inflation, which exceeded 32% noting that law No 72 of year 2007 determined that value of compensation for civil liability of vehicles at EGP 40 thousand for the death benefit, so will insurance companies raise the value of compensation in order to compensate for the loss of value?
Mr. Abdel Raouf Kotb, chairman of the Insurance Federation of Egypt (IFE) said that increasing the compensation of the compulsory motor civil liability policy (among 4 compulsory insurance lines) will necessitate increasing the value of the insurance prices charged to customers.
Source: El Borsa News