Motor Third-Party Liability Insurance

Gönülal, Serap

Motor Third-Party Liability Insurance

2010

Gönülal, Serap

Motor Third Party Liability Insurance (MTPL) ensures that damage to third party health and property caused by an accident for which driver and/or owner of the car were responsible is covered. A policy may be taken out by the owner of a vehicle or by a lawful possessor authorized by the owner on behalf of the owner. Compulsory MTPL Insurance is a financial protection system built to prevent any grievance that third parties could face, due to lack of solvency of first party who caused bodily injury or property damage following any event related to a car accident. Motor insurance is generally measured non-life insurers' strongest class of business in terms of premium volume. In most markets, it is characterized by high competition and cyclical fluctuations in results. Non-life insurers' motor result is thus likely to have a particularly strong impact on the overall result. In most countries, MTPL insurance is compulsory in order to protect the public. World Bank studies in Africa, Central Asia, and Europe have shown that motor insurance premiums represent at least 30 percent of all non-life premium income. This phenomenon may be explained by the rapid rise of motor fleets. MTPL insurance has been introduced in the formerly centrally planned economies only in the past decade, but it is poorly understood. Motorists are inclined to view it as a form of tax that they are at liberty to evade, rather than as a protection against their personal liability a concept that is not familiar to the general public. Motor insurance has the potential to be a powerful tool in the promotion of personal responsibility. If communicated effectively, the link between the consequences of causing an accident and the economics of paying for those consequences will of itself gradually lead to improved driving.

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accounting agricultural insurance capital market cash flow commissions compensation consumer protection consumers developing countries expenditure financial institutions financial market fraud gross national product health insurance income inflation information technology international bank laws levy liability market prices monopolies monopoly pension risk management risk transfer savings underwriting

Informations bibliographiques

D'autres materias

Financial health; Insolvent insurer; Casualty insurance; Insurance guarantee; Community investment; Insurance industry; Financial structure; Life insurers; Market practices; Protection insurance; Insurance companies; Expenditures; Capital market development; Underwriter; Cost of insurance; Regulator; Claims processing; Insurance fund; Inspections; Motor insurance; Motor third party liability insurance; Insurance risks; Insurance company; Government regulation; Insurance agents; Solvency requirements; Settlement; Currency; Insurances; Private sector development; Protection of policyholders; Price sensitivity; Inflationary pressures; Treaty; Beneficiaries; Bailout; Solvency; Insurer; Regulatory authority; Moral hazard; Loss ratio; Prudential supervision; Deregulation; Facultative reinsurance; Global capital; Coverage; Liability insurance; Safety net; Compensation claims; Issuance; Legal framework; Political economy; Insurance contract; Rates; State guarantee; Policyholders; Market development; Reinsurance arrangements; Privacy; Balance sheet; Market inefficiencies; Supervisory authority; Compulsory insurance; Quota share reinsurance; Flow of information; Personal liability; Financial market development; Insurance coverage; Private pension; Insurance claim; Treasury; Information service; Insurance guarantee funds; Programs; Market share; Risk premium; Capitalization; Exposures; Public policy; Torts; Insurance contracts; Insurance products; Housing finance; Bankruptcies; Global capital markets; Market pricing; Insurance premiums; Financial sector; General insurance; Broker; Risk underwriting; Microinsurance; Reserves; Insurance costs; Accrual accounting; Liberalization; Exposure; Supervisory authorities; Profit margin; Middle-income countries; Tax; Developing economies; Market price; Insurance activity; Reinsurance; Compensation fund; Claimants; Reinsurance requirements; Portfolio; Risk insurance; Reinsurers; Non-life insurance; Financial services; Premiums; Regulators; Insolvency; Withdrawal; Market forces; Insurance market; Claimant; Guarantee fund; Competitive market; Financial performance; Capital markets development; Mature markets; Administration of justice; Insurance regulation; Bodily injury; Insurance markets; Treaty reinsurance

Langue

anglais

Sur AGRIS depuis: 2021-06-15

Format: AGRIS AP

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http://hdl.handle.net/10986/27732

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