Iran’s Annual Auto Compensation Hit $3b
Iran’s Annual Auto Compensation Hit $3b

Iran’s Annual Auto Compensation Hit $3b

Iran’s Annual Auto Compensation Hit $3b

Iranian insurers annually pay $3 billion as compensation for traffic collisions which, according to the Central Insurance of Iran, is very high and considered a national loss.   
“In light of the fact that 2% of the Bodily Injury Indemnity Fund’s resources are dedicated to advertisement programs, the fund is expected to devise a plan to assess the main reasons for car accidents and inform people of the proper way of driving and safety factors,” Abdolnasser Hemmati , the CII chief, was quoted as saying by IBENA.
Hemmati also appreciated the fund’s cooperation with insurance companies and CII, noting that new automotive third-party legislations specifically concerned bodily injuries in car accidents.
The legislation, which was approved in November 2015, made it possible for the fund to indemnify third-party policyholders in the event of insurance companies failing to meet their obligations due to either bankruptcy or inadequacy.
The BIIF, originally established in 1969, is affiliated to CII and aims to compensate bodily injury in different insurance sectors. But since third-party insurance was passed into a law in 2015 after a seven-year trial period, BIIF now covers this area as well.  
Hemmati noted that losses incurred in car accidents are very high and “improvements made to safety of vehicles have reduced the death count, however the volume of injuries has increased significantly”.
Iran has one of the highest rates of road accidents in the world. Annually, over 20,000 people are killed and 800,000 people are injured in road crashes, with men comprising 75% of the figure, mostly in the age group of 25-40.
The CII chief referred to incentives that waived penalties for motorcyclists without an insurance policy, saying he believes it to be an effective step to curb the financial and social aftermath of uninsured motorcycle accidents.
“I hope other related entities realize the importance of this issue and join forces to encourage a larger group of people to use insurance policies,” Hemmati said.
Since the extension of the aforementioned incentives, which came into effect on February 19, there has been a 60% increase in third-party motorbike insurance. 

Short URL : https://goo.gl/aWukLa
  1. https://goo.gl/sgr3iu
  • https://goo.gl/A8bH9Z
  • https://goo.gl/GdsuGv
  • https://goo.gl/AaP262
  • https://goo.gl/XpkjT4

You can also read ...

Proses has offered to explore a possible SISP at the world class Mehdiabad zinc (lead and silver) project in Iran where it has a role in development planning.
British mining and mineral processing technology company...
US Looking East After Fining Europe Over Iran Business
The US effort to put Iran in a financial bind meant European...
Home Security Startup Taps Face-Recognition Tech
A team of engineers that worked on self-driving cars and...
SpaceX successfully deployed a satellite into low Earth orbit for the Spanish government.
SpaceX took a critical step Thursday toward making one of Elon...
Iran’s Corruption Perceptions Index Improves
Iran’s score based on the Corruption Perceptions Index...
Crimean Ports Under Sanctions Looking for Way Out to Iran
Crimea’s ports, which are not operating at full capacity due...
Next Year’s Budget Approved
Members of the Iranian Parliament agreed on a 12.17-...
Fake Telegram App Stole User Data
A phishing attack on Telegram users has been identified and...

Add new comment

Read our comment policy before posting your viewpoints