TUR SEDDK Motor Vehicle Insurance

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 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.
  • Oct. 2024 Circular 2024/24
  • On Oct. 11, 2024, TUR SEDDK published Circular 2024/24 amending art 1 of Circular 2023/31 on compulsory motor vehicle liability insurance premiums for highways.
  • Maximum premiums applied according to vehicle group and type of use in Oct. 2024 are applied by increasing them by 2.5% for Nov. 2024; effective on Nov. 1, 2024.
  • Nov. 2024 Circular 2024/28
  • On Nov. 8, 2024, TUE SEDDK published Circular 2024/28 amending art 1 of Circular 2023/31 on compulsory motor vehicle liability insurance premiums for highways.
  • Maximum premiums applied according to vehicle group and type of use in Nov. 2024 are applied by increasing them by 1.7% for Dec. 2024, as effective on Dec. 1, 2024.
  • Dec. 2024 Circular 2024/30
  • On Dec. 2, 2024, TUR SEDDK published Circular 2024/30 which amends Circular 2019/9 on compulsory motor vehicle liability insurance for highways.
  • Outlines the conditions upon termination of a traffic insurance contract, refunds, etc.
  • Article 2 enters into force Dec. 5, 2024 and other provisions on date of publication.
  • Dec. 9, 2024 Circular 2024/31
  • On Dec. 9, 2024, TUR SEDDK published Circular 2024/31 of Dec. 5, 2024, amending the Circular 2023/31 on compulsory liability insurance premiums for motor vehicles.
  • The maximum premiums applied according to vehicle group and type of use in Dec; 2024 shall be increased by 0.75% for Jan. 2025; entry into force on Jan. 1, 2025.
  • Dec. 12, 2024 Circular 2024/33
  • On Dec. 12, 2024, TUR SEDDK issued Cir 2024/33 amending Cir 2023/28 on premium/equity coefficient in compulsory financial liability insurance for vehicles.
  • Temporary art 1 says that the premium/equity coefficient for 2024 shall be applied as 6, provided that any exceeding premium amount be offset from the 2025 calculations.
  • Dec. 13, 2024 Premium Amendment
  • On Dec. 13, 2024, TUR SEDDK issued regulation amending the regulation on tariff application principles in compulsory motor vehicles liability insurance for highways.
  • In force on Jan. 1, 2025; art 2 is effective as of Dec. 5, 2024; other rules on Dec. 13.

Regulators TUR SEDDK
Entity Types Ins
Reference Reg, OG 32751, 12/13/2024; Cir, 2024/33, PR, 12/12/2024; PR, 12/9/2024; Cir 2024/31, 12/5/2024; PR, 12/2/2024; Cir 2024/30, 11/29/2024; Cir 2024/28, 11/8/2024; PR, 10/11/2024; Cir 2024/24, 10/10/2024; Cir 2024/23, 9/4/2024; PR, 8/9/2024; Cir 2024/19, 8/7/2024; PR, 7/12/2024; Cir 2024/17, 7/11/2024; Cir PR, 6/7/2024; Cir 2024/15, 6/6/2024; PR, 5/9/2024; Cir 2024/14, 5/7/2024; PR, 4/8/2024; Cir 2024/12, 4/3/2024; PR 2/2/2024; Cir 2024/7, 2/1/2024; Cir 2024/4, 1/18/2024; Cir 2024/1, 1/11/2024; Cir 2023/31, 12/14/2023; Cir 2023/28, 11/30/2023; Cir 2019/9, 11/19/2019; Rpl 2017/1, 4/10/2017; Insurance Law 5684; Decree 47
Functions Accounting; Compliance; Financial; Operations; Product Administration; Reporting; Risk; Treasury
Countries Turkey
Category
State
Products Auto/Motorcycle; Insurance; Insurance-Casualty; Insurance-Property
Regions EMEA
Rule Type Final
Rule Date 11/30/2023
Effective Date 1/1/2025
Rule Id 193298
Linked to N/A
Reg. Last Update 12/13/2024
Report Section EU

Last substantive update on 12/17/2024