Oman Orders Insurance Companies To Insure All Kinds Of Vehicles

The Omani Capital Market Authority (CMA) mandates all insurance companies to insure different kinds of vehicles and not to select some categories and reject others.

The CMA has specified minimum percentage for certain types of vehicles to be included in the auto insurance portfolios of the insurance companies licensed for this type of insurance. The types of vehicles include taxis, lease vehicles, in addition to gas cylinder truck and water tankers.

As per the Auto Insurance Law, all registered vehicles should have Third Party insurance and insurance companies should accept to provide coverage for different kinds of vehicles. To ensure selection of certain types by insurance companies, CMA approved certain percentages for different types of vehicles.

The portfolios of the auto insurance company should include (2.5%) for taxis and driving education vehicles, (0.75%) for lease vehicles, (0.75%) for the gas cylinder trucks and water tankers.

Sheikh Abdullah bin Salim al-Salmi, Chief Executive Officer (CEO) of CMA said that the issuance of this circular comes within the regulatory role played by CMA to ensure proper enforcement of different laws that include the Auto Insurance Law, which made it mandatory for all vehicles to have auto insurance, Oman News Agency reported.