On Nov. 30, TUR SEDDK updated on application of coefficient in area.
TUR SEDDK issued circular 2023/28 of Nov. 30 on application of premium/equity coefficient in Highways Motor Vehicles Mandatory Liability Insurance (KMAZMSS).
Overview
To ensure insurers' premium productions in KMAZMSS are limited to equity capital to strengthen effective risk management and financial structure of the insurance sector.
The circular provisions are based on art 18 paragraph 4 of the Insurance Law 5684.
Total premium written for KMAZMSS indirect reserve generated by insurers within a calendar year shall not exceed 5 times equity capital at the end of the previous year.
Gross premiums determined per Insurance Information, Monitoring Center (SBM) data.
If premium production amount reaches limit during the year, the relevant insurance company will stop issuing new policies until the end of that year.
If premium generation is not stopped, situation will be reported to Board by SBM and new policies will be written through SBM within framework of instructions of the Board.
If cash capital increase is achieved from external sources during the year, company will be entitled to additional limit at coefficient determined in the first paragraph of art 3.
Effectiveness
Circular enters into force on Jan. 1, 2024; it is executed by TUR SEDDK president.
Dec. 2023 Premiums Increase
On Dec. 14, 2023, TUR SEDDK issued circular 2023/31 on highways motor vehicles compulsory liability insurance premiums, increasing them by 10% from Jan. 1, 2024.
Jan. 2024 Premiums Delayed
On Jan. 11, 2024, TUR SEDDK issued cir 2024/1 to amend cir 2023/31 on highways motor vehicles compulsory insurance premiums by applying them from Feb. 1, 2024.
Jan. 2024 Maximum Premium Amounts
On Jan. 18, 2024, TUR SEDDK issued cir 2024/4, sets tariff implementation principles.
Circular provisions are based on art 32 paras 2 and 4 of the Insurance Law 5684, para 1 of article 4 of decree 47 and para 4 of article 15 of the regulation on tariff principles.
SEDDK will make the decision re the maximum premium amount for vehicle owners whose applications to buy compulsory insurance coverage are avoided by insurers.
Circular provides situations considered to be an act of refraining from issuing a policy.
For example, a 30% decrease in monthly policies compared to the previous year.
For comparison cases for the previous period, the first weekly check is made as at Jan. 22, 2024, and the first monthly check is made as of Feb. 1, 2024.
Circular 2024/4 shall enter into force on the date of its publication, on Jan. 18, 2024.
Feb. 2024 Amendment
On Feb. 2, 2024, TUR SEDDK published circular 2024/7 amending circular 2024/4 concerning the implementation of the fourth paragraph of art 15 of the regulation on tariff application principles in highways motor vehicles compulsory liability insurance.
Added para 3f regarding placing bits on the traffic insurance platform, see #200071.
Apr. 2024 Premiums Amendment
On Apr. 8, 2024, TUR SEDDK issued circular 2024/12 amending the circular 2023/31 on highways motor vehicles compulsory liability insurance premiums.
In Highways Motor Vehicle Regulations published in the gazette dated Jul. 14, 2007, numbered 26582, the art 1 changed so that vehicle must be purchased in Apr. 2024.
Maximum premiums applied according to group and usage type will be increased by 3% for May 2024; the Circular will be valid as of May 1, 2024.
May 2024 Maximum Premium
On May 9, 2024, TUR SEDDK published circular 2024/14 amending the circular 2023/31 on highways motor vehicles compulsory liability insurance premiums.
Amendment of art 1 so that the maximum premiums applied in May 2024 according to vehicle group and type of use shall be applied by increasing 3.25% for Jun. 2024.
The cir enters into force on the date of its publication, effective from Jun. 1, 2024.
Jun. 2024 Maximum Premium
On Jun. 7, 2024, TUR SEDDK published circular 2024/15 amending the circular 2023/31 to increase the maximum premiums to 3,5%, effective from Jul. 1, 2024.
Jul. 2024 Circular 2024/17
On Jul. 12, 2024, TUR SEDDK published circular 2024/17 amending the circular 2023/31 on highways motor vehicles compulsory liability insurance premiums.
The maximum premiums applied according to the vehicle and type of use in Jul. 2024 are also applied for Aug. 2024; cir applies upon publication, effective on Aug. 1, 2024.
Aug. 2024 Circular 2024/19
On Aug. 9, 2024, TUR SEDDK published cir 2024/19 of Aug. 7, 2024, amending the circular 2023/31 on highways motor vehicles compulsory liability insurance premiums.
Maximum premiums applied according to vehicle, type of use in Aug. 2024 will apply for Sep. 2024, increased by 2%; cir applies on publication, effective on Sep. 1, 2024.
Sep. 2024 Circular 2024/23
On Sep. 4, 2024, TUR SEDDK published Circular 2024/23, amending Article 1 of the Circular 2023/31, on the compulsory liability insurance premiums for motor vehicles.
Article 1 refers to second paragraph of the provisional Article 11 of the Regulation on the principles of tariff application in compulsory liability insurance for motor vehicles.
On the basis of this regulation the maximum premiums applied according to the vehicle group and the type of use in Sep 2024, are all to be increased by 3.5% for Oct. 2024.
Circular enters in force on date of publication, on Sep. 4, 2024, effective Oct. 1, 2024.
