Bulgaria: Protests, traffic jams and blockades against high fuel tariffs, car taxes and MTPL premium

Thousands of Bulgarians protested last weekend in over 20 cities by blocking major highways and roads against higher fuel prices, tax increases for older, more polluting cars and an expected increase in MTPL premiums.

Local media wrote that fuel prices have risen in the past month following a spike in global oil prices.

On the other hand, the Government's decision to increase the tax on older and more polluting cars from 2019 has angered many Bulgarians.

At the same time, "costly times" are announced for local drivers in respect of MTPL insurance. Bulgarian insurance market" authority - FSC recently published a draft ordinance regarding the MTPL tariffs for MTPL policies, wrote local media. According to the new ordinance, the premiums for compulsory motor third party liability (MTPL) insurance will be four times higher than the basic premiums for Bulgarian drivers with biggest number of road violations. Known as "bonus-malus", this system aims to reduce the high number of road traffic accidents and road traffic violations.

On the other hand, in the near future the MTPL tariff could be significantly influenced by the non-pecuniary damages. Recently, local insurers said that is more than necessary the introduction of a limit on non-pecuniary damages, allowing relatives and family members to seek compensation after the death of a close person in a traffic accident. Local insurers warned that otherwise there would be a threefold increase in the third-party liability insurance, as they did not have the necessary reserves of more than BGN 1 billion to cover the claims. If the limit proposal is rejected, "Third party liability" might reach BGN 1,000 per year, Bulgarian insurers warned.





Follow XPRIMM Publications on LinkedIn, for more data on the insurance and financial industry.

Share |

Related articles

BULGARIA: EUROHOLD turned on profit in 2018

Bulgarian EUROHOLD -owner of EUROINS Insurance Group (EIG) - announced in its preliminary financial report for 2018 - a positive financial result in amount of BGN 1.7 million (EUR 871,800) versus a loss of BGN 17.3 million (EUR 8.84 million) for the comparable period last year.

2019-02-05

ON THE MOVE

Supervisory Board Chair NN Group steps down

NN Group announces that Jan HOLSBOER, chair of the Supervisory Board of NN Group, has decided to step down as of the close of the annual general meeting (AGM) on 29 May 2019. The Supervisory Board has elected David COLE as Jan HOLSBOER's successor.

20.02.2019

Peter CLARKE named VP & COO of FAIRFAX

FAIRFAX Financial Holdings Limited announced that Peter CLARKE has been appointed Vice President (VP) and Chief Operating Officer (COO) of FAIRFAX, reporting to FAIRFAX President, Paul RIVETT.

12.02.2019

TOP EVENT

Inclusive Insurance - just a week to the second edition of IIF - CEE & SEE Regional Actuarial Insurance Conference in Skopje

Insurance should be accessible to all social classes, regardless of their wealth & income status. Products offered today are conventional insurance products, largely inspired from the developed markets as "one-size-fits-all" solutions, affordable to only middle- and high-income clients in the Eastern Europe's emerging & developing markets. Inclusive insurance's goal is making insurance available to all, with responsible insurance offers, thus making up for a solution to narrow the insurance coverage gap in the region.

20.02.2019

Latest trends and challenges in the property and motor insurance lines under scrutiny, in Vienna

Property and motor insurance lines are providing for about 75% of the non-life insurance business in the CEE region, but are responsible for over 77% of the claims expenses. As such, although other classes of risks are emerging, for the time being and most probably for a rather long period ahead, property and motor insurance lines will continue to be at the heart of CEE's insurance market architecture.

21.02.2019

FIAR 2019: Register before 28 February and save EUR 400 of the attendance fee

To the satisfaction of its traditional guests, FIAR returns in 2019 to its historical hometown, Sinaia. The forthcoming edition will benefit from the comfort and professional facilities of a new venue, the Conference Center of the International Hotel ****, located in the heart of the beautiful mountain resort. Registration is opened at a significantly discounted early bird rate until 28 February.

10.01.2019

See all