The Minister of State for Financial Affairs, Mohammed bin Hadi Al-Husseini, has reaffirmed the regulations concerning vehicle insurance policies.
The Insurance Authority's Board of Directors' Resolution No. (25) in 2016 established these regulations, which encompass Clauses (12) and (13/A) of Chapter One of the Unified Vehicle Insurance Policy against Civil Liability and its subsequent amendments. One key provision requires the insurance company to undertake repairs, particularly within their own repair facilities, for vehicles registered and in use for up to a year, if they reach an agreement with a third party whose vehicle has suffered damage.
Responding to an inquiry posed by Dr. Adnan Hamad Mohammed Al Hammadi of the Federal National Council regarding insurance processes via online platforms, the Minister clarified further protocols. Should a vehicle be registered and in use for over a year, the insurance company is obligated to ensure repairs occur at appropriate repair shops, tailored to the vehicle's type and year of manufacture. Original parts of an equivalent standard must be replaced with damaged components to maintain quality and safety standards. Repair work must adhere to technical principles, with workshops guaranteeing the quality of repairs. The insurance company must facilitate inspections by the damaged party at accredited inspection authorities to verify repairs meet licensing requirements, including durability and safety standards.
The Minister emphasized that if repairs do not align with technical principles, the insurance company must rectify the situation promptly until the vehicle meets the required standards. For vehicles under a year old, repairs must take place at the insurer's repair shops, while for older vehicles, repairs are conducted at appropriate facilities, potentially limited to specific regions, to ensure quality service provision.
These measures aim to uphold expertise and quality in repairs, benefiting both policyholders and those affected by accidents. Additionally, individuals impacted by accidents retain the option to have their vehicles repaired at their chosen facilities, provided costs do not exceed the agreed-upon amounts outlined in the insurance policy. This ensures flexibility for affected parties while maintaining the integrity of insurance agreements.
