4 minutes agoCar insurance price increase is being planned to be secretly made by BQK
Periskopi(7 years ago)
(7 years ago)After drafting the report with experts where 35 percent of car insurance prices were proposed, the Kosovo Central Bank (BQK) already has two options ahead of itself. The first is that the request of insurance companies to increase the TPL insurance price goes to the BEC Executive Board to get [...]
But on the basis of the Law on Safety Obliged by Auto responsible, this institution has another option before it. The approval of the price increase insurance industry's demand could be made even if the CEC is silent in a 30-day term from the moment the official request went to this institution.
When the CEC finds that security conditions and technical bases are in accordance with law, sublaw acts and the principles of the event, in the 30-30-day term, it announces the provider for their implementation. If the CEC does not respond to the announcement within thirty days, it is considered that conditions and insurance tariffs have been approved”, Article 8 of this law said.
The Economic Bulletin teaches that this option is being seen as the most appropriate on the part of BEC leaders to avoid the possibility of a decision by the executive board.
By the CEC, they have not been willing to answer what date they have applied to BEC insurance companies, despite the fact that the portal has waited more than two weeks.
The Economic Bulletin had reported earlier that a final report drafted by the Kosovo Central Bank (BQK) proposes a 35 per cent increase in vehicle insurance prices. The report, which the Economic Bulletin has seen, has already been handed over to insurance companies and is only expected to make a decision by the BEC's organs.
Rescue Mehmeti from the BEC and Sefik Grbovci from the insurance industry are the two acts that together have justified the technical basis for increasing the TPL security price.
The report suggests a 35 percent increase in car insurance prices. This suggests that depending on the power of the engine with the new growth, citizens will pay between 27 and 210 euros more expensive to provide vehicles.
Through this increase, it is intended that the remains of damage from the bankrupt company “Insig”, to pay Kosovo citizens. This is one of the points through which insurance companies have argued the 35 percent increase in vehicle insurance, based on some documents provided by the Economic Bulletin.
The report mentions in detail the duties of the acting in the face of the new situation created on the insurance market, including the bankrupt company “Insig”.
The effects of increased cover under Law No. 04/L-018 for Auto-Fascial Security, Insurance default at “Insig”, financing of the Compensation Fund near the Kosovar Insurance Bureau, and implanting the bonus-Mallus regulation and inflation.
Otherwise, insurance companies have taken the initiative to increase vehicle insurance prices on behalf of financial obligations that have been added to the company's bankrolling “Insig”.
Based on the Law on Obligational Security, each insurer has the right to apply for approval or change of TPL security tariffs, for which any estimates should be in full harmony with the rules specified by the Central Bank of Kosovo. These rules include determining the ping structure, the minimum or maximum limit, or the other one within which the prime one should be, as well as the technical basis which should be used by the provider in case of a security count.
