Insurance companies will be obliged to issue compulsory domestic motor third party liability insurance (MTPL), including to taxi companies. A draft law that was given a first reading by Parliament sets down the deadline for settling insurance claims, and if it is not respected, insurers risk harsh fines, IPN reports.
The sponsor of the bill, MP Iulia Dascălu said that the law currently stipulates that the insurer does not have the right to refuse to examine and settle the insurance claim. However, in practice, there are cases when companies delay the signing of insurance contracts and unduly extend the deadline for settling claims. “The idea of making such a change came from taxi operators in Moldova, which faced the problem that many of the insurance companies simply do not pay attention to the claims submitted by these operators and the vehicles are ultimately stationary and do not join traffic,” said the parliamentarian.
The draft law proposes setting in the legislation a deadline of three working days from the moment of receipt of the complete application for settling the insurance claim. In its opinion, the Cabinet suggested that this period be extended to five working days. The parliamentary commission for economy, budget and finance will opt for a five-day deadline to be postulated in the law.
The bill also stipulates a sanctioning mechanism for insurance companies that do not comply with the legal deadline for settling the insurance claim. The fine for legal entities will rise to 12,500 lei.
Also, the procedure for paying insurance premiums for contracting insurance services through public procurement procedures will be regulated. Another novelty of the bill is that the insurance compensation will be determined according to the vehicle’s age that is calculated from the date of first registration or from the year of manufacture of the vehicle.
The draft law is to be given a second reading by Parliament.
