New Decree on compulsory civil liability insurance by motor vehicle owners in Vietnam

New Decree on compulsory civil liability insurance by motor vehicle owners in Vietnam

Decree 67/2023/ND-CP prescribes:

- Insurance conditions, insurance premiums, minimum coverage for compulsory civil liability insurance by motor vehicle owners, compulsory fire and explosion insurance and compulsory insurance for construction investment activities.

- Regulations on management and use of the Motor Vehicle Insurance Fund (MVIF); contribution rates, regulations on management and use of revenues from compulsory fire and explosion insurance for fire prevention and fighting purposes.

- Responsibilities of relevant ministries and agencies, policy holders and insurers in implementing policies on compulsory civil liability insurance by motor vehicle owners, compulsory fire and explosion insurance, compulsory insurance for construction investment activities.

According to Decree 67/2023/ND-CP, an insurer may refuse to sell compulsory insurance in the following cases:

- In respect of compulsory civil liability insurance by motor vehicle owners:

End-of-life motor vehicles as prescribed by law.

- In respect of compulsory fire and explosion insurance:

A facility facing fire and explosion hazards that has not undergone fire safety inspection in accordance with regulations of law.

A facility facing fire and explosion hazards that does not have a record on fire safety inspection issued by a competent public security authority or has a record which expires 01 year from the date on which the compulsory fire and explosion insurance is purchased.

A facility facing and explosion hazards that is temporarily suspended or suspended due to violations of fire safety regulations.

- In respect of compulsory insurance for construction investment activities:

A policyholder failing to fully satisfy requirements for construction prescribed in the Law on Construction and guiding documents.

Decree 67/2023/ND-CP takes effect from the date of signing.

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