26th April 2024, Skopje – Today, the Ministry of Finance summoned the Commission for Motor Vehicle Liability Insurance, which held a session in order to discuss all aspects pertaining to the decisions made by the insurance undertakings to increase the gross premium for motor vehicle liability insurance.
Moreover, at the following session on Monday, a conclusion was reached with regards to the Report of the National Insurance Bureau as for the rationality and validity of the decision made by the insurance undertakings and to take appropriate measures in support of the end users’ protection.
Congruently, the Ministry of Finance, based on the received notification by the Insurance Supervision Agency, as regulator of the insurance sector, referred to the Commission for Protection of Competition in order to examine whether the rules on fair and competitive practice are violated, as per the provisions under the Law on Protection of Competition.
The Commission for Motor Vehicle Insurance Liability, appointed by the Government of the Republic of North Macedonia pursuant to the Law on Compulsory Traffic Insurance (“Official Gazette of the Republic Macedonia” no. 88/05, 70/06, 81/08, 47/11, 135/11, 112/14 and 145/15), is comprised of members of the Ministry of Finance, the National Insurance Bureau and the Insurance Supervision Agency.
Its competence refers to establishing insurance premium tariff for motor vehicle owners for third-party liability damages, i.e. determining the insurance premium paid by the insurance contracting party – insured person, comprising technical premium determined by the Government on the Commission’s proposal and premium for insurance operations (overheads) determined by the insurance undertakings with a separate decision.
Moreover, we note that the technical premium, which is part of the insurance premium and paid by the insurance contracting party – the insured person set by the Government on Commission’s proposal, remains unchanged. Under the decisions adopted by the insurance undertakings, submitted to the Insurance Supervision Agency on 23rd April 2024, applicable from 25th April 2024, price regarding the premium for insurance operations (overheads) is adjusted.
Yesterday, the Insurance Supervision Agency, as regulator of the national insurance market, informed the Ministry of Finance that most of the insurance undertakings adopted decisions and submitted notifications to the Agency on 23rd April 2024 regarding the increase of gross premium for motor vehicle liability insurance applicable as of 25th April 2024 – increasing the premium for insurance operations (overheads), which is set by the insurance undertakings at their discretion.
For the purpose of ensuring transparency and predictability of its operational processes, the Ministry of Finance applies an inclusive approach and cooperates with all stakeholders in the decision-making process.
