The enactment of a compulsory automobile insurance law may be deferred until 2017-2018. According to President of the Georgian Insurance Association Devi Khechinashvili , if the active work on the bill on Compulsory Insurance against Civil Liability in respect of Motor Vehicles has not started at the end of the year and it was not initiated in the Parliament, it will not enter into force as long as the Association Agreement signed with the European Union requires.
Khechinashvili states that the enactment of this law is very important for the country, although he has no confirmed information as to when the government is going to initiate a draft law to parliament.
Khechinashvili notes that it is also worth noting the government’s positive attitude in this direction.
President of the Insurance Institute of Georgia Giorgi Gigolashvili considers an enactment of the auto insurance necessary and important. In his words, Georgia needs this law and the Insurance Supervision Service will submit it to Parliament.
Gigolashvili doesn’t expect the bill will be suspended due to Lasha Nikoladze’s resignation from the post of the head of the Insurance Supervision Service because he believes that “this process will not depend on any person.”
A few months ago, Lasha Nikoladze, who stepped down from the position on his own initiative a few days ago, told “Commersant” that auto insurance would be mandatory next year without specifying the date.
Nikoladze said that the work on the draft law was still in progress. The legal part of the law was virtually completed, several variants of the numerical part were calculated by the insurance mathematicians (actuaries).
Insurance operates on the following principle: if the owner of the vehicle is guilty of a traffic accident, the driver is liable to pay damages to the victim inflicted on the body, health, life or property. The insurance company will cover the damage instead of the insured driver. It is unknown how much the insurance package will cost, however, experts believe that the price will not exceed $ 100.
Chairman of Parliament’s Finance and Budget Committee David Onoprishvili does not comment on the bill on a compulsory auto insurance as well as the resignation of the head of the Insurance Supervision Service.