In what cases are vehicle owners eligible to receive refund insurance premiums in Vietnam?

In what cases are vehicle owners eligible to receive refund insurance premiums in Vietnam? (Internet image)

Regarding this issue, LawNet would like to answer as follows:

1. In what cases are vehicle owners eligible to receive refund insurance premiums in Vietnam?

Specifically, Article 11 of Decree 67/2023/ND-CP stipulates the termination of policies and legal consequences thereof as follows:

Policies shall be terminated from the date on which vehicle registration certificates or number plates are revoked in case vehicle registration certificates or number plates are revoked according to regulations of the Ministry of Public Security.

Insurers shall refund insurance premiums to policyholders corresponding to remaining period of policies from the termination date of policies.

Thus, insurers shall refund insurance premiums to policyholders corresponding to remaining period of policies from the termination date of policies in case the motor vehicle's vehicle registration certificate and license plate are revoked. Vehicle number according to regulations:

- Any vehicle that is out of order, unusable and damaged due to objective reasons.

- End-of-life vehicles; vehicles that are unroadworthy as stipulated by laws; 

- Vehicles that have been lost, stolen, illegally possessed or discarded. The vehicle owner requests the revocation of its/his/her vehicle registration certificate and license plate.

- Vehicles that are imported dutyfree, temporarily imported by foreign agencies, organizations and individuals and then re-exported, transferred or destroyed.

- Vehicles that are registered at economic zones as promulgated by the Government when they are re-exported and transferred into Vietnam.

- Vehicles undergoing title transfer or transfer.

- Vehicles that are disassembled to use their engine and chassis as spare parts for other vehicles.

- Any vehicle which has been registered but the application thereof was falsified or any vehicle of which both or either of the engine number and chassis number are/is falsified according to the conclusion of a competent authority or any vehicle whose the license plate has been issued against the law.

(Article 23 of Decree 24/2023/TT-BCA)

2. Cases where insurers shall not provide indemnities in Vietnam 

Insurers in Vietnam shall not provide indemnities in the following cases:

- Damage done intentionally by motor vehicle owners, motor vehicle operators or victims of the accidents.

- Vehicle operators intentionally fleeing the scene after committing accidents without exercising civil liabilities of motor vehicle owners. Vehicle operators intentionally fleeing the scene after committing accidents and exercising civil liabilities of motor vehicle owners shall not be insurance exclusions.

- Operators who fail to satisfy requirements of age range to operate motor vehicles as per regulations in the Law on Road Traffic; operators who do not carry legitimate, proper driving licenses according to regulations of laws on training, testing and granting driving licences, or carry damaged driving licences or use expired driver's licences at the points of time when accidents occur or carry inappropriate driving licenses when operating motor vehicles which require specific driving license.

In case driving licenses of operators are revoked or suspended, the operators are considered not carrying driving licenses.

- Damage that causes indirect consequences including: reduced commercial value, damage related to use and utilization of damaged property.

- Damage to property caused by operators whose blood/breath alcohol concentrations (BACs) exceed the maximum permitted BAC under guidance of the Ministry of Health; or use narcotics or other prohibited stimulants as per the law.

- Damage to property due to thievery or robbery as a result of an accident.

- Damage to special property including: gold, silver, precious stones, financial instruments namely money, antiques, precious fine arts, and cadavers.

- War, acts of terrorism, earthquake.

(Clause 2, Article 7 of Decree 67/2023/ND-CP)

Ho Quoc Tuan

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