Urgent measures are needed in the compulsory motor third-party liability insurance, according to AcnTURK Insurance general manager, Ali Murat Disci in his article titled “Traffic Insurance is not just Traffic Insurance”, published by Insurance Media, Middle East Insurance Review reports.

Mr Disci emphasized that the traffic insurance coverage rate has fallen to 70% among 31 million registered vehicles in Turkiye, and although traffic insurance is mandatory, the coverage rate in Turkiye never exceeded 85% in the past. Now, it has fallen below 80%, and hitting 70% indicates that the motor insurance business has gone back more than 10 years in terms of penetration.

The number of vehicles covered by traffic insurance in Turkiye exceeded 23.34 million as of 31 March 2024, according to data from the Insurance Association of Turkiye (TSB), and is about 79.5% of the total number of vehicles registered in the country (29.37 million).

As the main reason for the fall in the coverage rate Mr Disci mentioned rising premiums, since they become unaffordable. He offered several recommendations, which include direct compensation system, developing practical solutions, and use of equivalent parts.