Logo of Phnom Penh Post newspaper Phnom Penh Post - Auto panel discusses mandatory insurance

Auto panel discusses mandatory insurance

Auto panel discusses mandatory insurance

VEHICLE insurance could become compulsory under amendments to the Land Traffic Law currently under consideration by an inter-ministerial working group, officials said.

Preap Chanvibol, director of the land transport department at the Ministry of Public Works and Transport, said in June that his working group had finalised the amendments to the law, and was planning to send them to the Minister of Public Works later in the month.

But he said that the group reconvened last Wednesday to make additional changes after he received an “official letter” from Minister of Finance Keat Chhon requesting that all vehicles be insured.

“Our final draft did not have articles about insurance, but the finance ministry wants to include the articles,” he said.

He said the Finance Ministry’s proposal to introduce compulsory insurance was rejected when the working group began amending the law in March, on the grounds that “normal Cambodian people like moto-taxi drivers will not have the money to buy insurance”.

But In Meatra, head of the insurance division of Ministry of Finance’s financial department, said yesterday that the amendments were meant to protect road users against “risks happening accidentally”.

“Our target is to require cars to have insurance first,” he said, whereas compulsory insuring of motorbikes would come later.

Youk Chamroeunrith, general manager of Forte Insurance, said he welcomed the potential changes, since insurance companies could help protect the victims of hit-and-run traffic incidents.

MOST VIEWED

  • Government hits back at threats to pull EBA, suspend UN seat

    The spokesman for the ruling Cambodian People’s Party (CPP) has said the government is in no way concerned after the European Parliament gave it three months to reverse what it called the “systematic repression of the political opposition”. Ignoring the ultimatum could mean facing

  • Chinese influx pushing locals, Westerners out of Preah Sihanouk

    Some within the Kingdom’s tourism industry have speculated that the recent influx of Chinese visitors may hinder domestic tourism as the price of accommodations in the coastal city of Sihanoukville continues to rise. Preah Sihanouk province, which has become a hotbed for Chinese investment

  • Sar Kheng: Sokha requested security

    Interior Minister Sar Kheng on Sunday revealed the story behind the transfer of former opposition party leader Kem Sokha from Trapaing Phlong prison in Tbong Khmum province to his house in the capital. Speaking at the ruling Cambodian People’s Party (CPP) headquarters in Prey

  • ‘Dire consequences’ from sanctions, warns AmCham

    American businesspeople in Cambodia have warned that any sanction against the Kingdom would have “dire consequences” that could push Cambodia even further into the arms of China. In a letter to US senators and representatives dated Monday, the American Chamber of Commerce Cambodia (AmCham) said