The Securities and Exchange Commission of Pakistan (SECP) has formed a working group to explore the possibilities and mechanisms for the effective implementation of “Motor Third Party Liability (TPL) Insurance” in the country.
The group, comprises of industry experts, representatives of the Insurance Association of Pakistan (IAP), and SECP officials, will formulate a detailed proposal for the effective implementation of Motor TPL Insurance including a mechanism for coordination with relevant authorities.
The first meeting of the working group held at SECP head office discussed in detail the implementation of Motor TPL insurance under the existing laws. It was agreed that the recommendations will include a schedule for engagement with other relevant bodies, public awareness, and availability of affordable products and a central database of motor insurance policies.
Motor TPL Insurance offers insurance protection against death, bodily injury, and property damage to the victims of road traffic accidents or their legal heirs. TPL insurance is also mandatory in almost all jurisdictions of the world, including neighboring countries i.e. India, Bangladesh, and Sri Lanka.