Should the mandatory purchase of motorbike insurance be abolished?

According to voters, Decree No. 100/2019/ND-CP on administrative sanctions for violations in the field of road and railway traffic stipulates that the fine for motorbikes and mopeds that do not purchase insurance when violating traffic laws is VND 150,000.

However, when people buy insurance for motorbikes and motorbikes and then get into traffic accidents, the insurance company is not responsible for resolving the people's rights and avoids compensation responsibility.

Therefore, voters recommend that the Ministry of Transport consider removing the regulation requiring traffic participants to purchase voluntary insurance for motorbikes and scooters, because if they do not purchase, they will be fined by traffic police during traffic inspections. If they purchase insurance and a risk occurs, the person with benefits will not be properly compensated, and the insurance company will take advantage of the incident for profit.

Responding to the above proposal, the Ministry of Transport said that the 2022 Law on Insurance Business states that compulsory civil liability insurance for motor vehicle owners is one of the compulsory insurances to protect public interests, the environment and social safety.

Based on the provisions of the law on insurance business, the Road Traffic Law stipulates that "Drivers must carry a Certificate of civil liability insurance of motor vehicle owners when operating a vehicle".

Decree No. 100/2019 stipulates: "Drivers of motorbikes, mopeds, and similar vehicles to motorbikes and similar vehicles to motorbikes who do not have or do not carry a valid Certificate of Civil Liability Insurance of the Motor Vehicle Owner will be fined from VND 100,000 to VND 200,000".

“Thus, regarding the proposal of voters of Hung Yen province, it is necessary to study and amend the Law on Insurance Business drafted by the Ministry of Finance.

In the coming time, the Ministry of Transport will closely coordinate with the Ministry of Finance and relevant ministries and branches to research and perfect legal regulations on insurance for road motor vehicle owners to suit reality, ensuring the rights of vehicle owners and road traffic participants," the Ministry of Transport added.

Compliance with regulations, claim for damages

Also related to this issue, the Ministry of Finance previously explained that compulsory civil liability insurance for motor vehicle owners (including cars and motorbikes) has been implemented in Vietnam for 34 years. Currently, motorbikes and motorbikes are still the main means of motor transport and the biggest cause of accidents in Vietnam.

The latest figures released by the Traffic Police Department on March 31 show that in the past three months, there were 6,550 traffic accidents, killing 2,723 people and injuring 5,246 victims.

Traffic accidents are mainly concentrated on roads, in which the vehicle causing the most traffic accidents is motorbike, accounting for 56.82%; trucks and tractors ranked second with 19.4%...

Based on legal regulations, international experience and implementation, the Ministry of Finance believes that it will maintain regulations on compulsory civil liability insurance for motor vehicle owners, including cars and motorbikes.

Speaking to VietNamNet, lawyer Nguyen Doan Hung from the Hanoi Bar Association said that compulsory insurance for motorbikes has been regulated. People should comply while waiting for the management agency to consider whether to make any adjustments.

“In case the insurance company evades responsibility for compensation for motorcycle accident damage, the insurance buyer needs to take the following steps:

Collect evidence: The policyholder should collect all evidence related to the accident, including insurance claim records, repair bills, damage certificates and any relevant documents.

Contact the insurance company: The policyholder should contact the insurance company to report the evasion of compensation liability. They should provide evidence and detailed information about the situation.

Check the insurance contract: The policyholder should check the insurance contract to review the terms regarding compensation and liability of the insurance company.

Seek legal assistance: If the insurance company still evades responsibility, the insurance buyer can seek assistance from a lawyer or insurance regulator to protect his or her rights,” lawyer Nguyen Doan Hung instructed.