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Vietnam joins ASEAN Compulsory Motor Insurance system


Vietnam has joined the ASEAN Compulsory Motor Insurance (ACMI) system, which requires motor vehicle owners from other ASEAN member states transiting or travelling to Vietnam to register for compulsory third-party liability insurance.

ACMI is used as a data hub for member states participating in the system to issue insurance policies. Motor vehicle users can access the ACMI system to register for a blue card — proof that a motor vehicle has been issued an insurance policy that meets the minimum insurance requirements.


VINABAI is the Vietnam National Agency that operates the ASEAN Compulsory Motor Insurance programme in Vietnam, reported Vietnam News Service. It issues the motor insurance policies, dubbed “blue cards” and assists in handling accidents (investigation, loss assessment, compensation settlement, and dispute resolution in accordance with the regulation) caused by a vehicle possessing a blue card in the country.


Mr. Nguyen Anh Tuan, chairman of VINABAI and vice chairman of the Vietnam Insurance Association, said, "In addition to affirming that ASEAN motor vehicles transiting into Vietnam need to register for compulsory motor insurance, this connection will help effectively promote the transportation of vehicles and goods among ASEAN member states.”


VINABAI has members who are representatives from other relevant agencies such as: the Department of Insurance Management and Supervision of the Ministry of Finance; the Traffic Police Department of the Ministry of Public Security, National Traffic Safety Committee; Vietnam National Road Administration; the Border Guard Command; Vietnam Insurance Association, and Bao Viet Insurance Corporation.


Bao Viet Insurance Corporation is the only Vietnamese insurer designated to issue the blue cards in the country.


A protocol under the ASEAN Framework Agreement on the Facilitation of Goods in Transit (AFAFGIT) mandates the requirement for a Third Party Liability Insurance for vehicles involved in the transit movement. Operators of such vehicles have to purchase the required insurance policies covering the country of departure, transit and destination. The insurance documents will have to be carried in the vehicle for inspection at the border by competent authorities of the countries involved in the transit movement. Once the purchase is completed, The insured will receive the insurance certificates and blue card for all the countries in the transit movement. The competent authorities entrusted to enforce the insurance requirements can inspect the insurance certificates any way along the designated routes.



Source: asiainsurancereview.com

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