Kyrgyzstan’s parliament has approved a proposal to delay the MTPL introduction till 2020

Almaty. April 5. Silkroadnews – The steering committee has approved the proposal to postpone the introduction of vehicle insurance (the Mandatory Third Party Liability) until 2020 and home insurance until 2017. The decision has been taken at the meeting of the Jogorku Kenesh of Kyrgyzstan’s Committee on Transport, Communications, Architecture and Construction, KyrTAG reports.

“As you know, the law on mandatory insurance of home and motor-third party liability came into force this February. However, in our opinion, many issues have not been taken into account when these bills were approved. The government did not explain to the population the insurance principles, thus, people are not ready,” said one of the initiators of the bill Aida Salyanova when proposed to postpone the laws application until 2020.
According to her, the home insurance tariffs are unaffordable for many people.
“Now we charge 1200 som for the city and 600 som for rural areas, where, however, 600 som is considered as a huge amount of money, those people plan every som expenditures,” she said.

Many of the colleagues have not shared her opinion though. E.g., according to the deputy of “Respublika-Ata-Jurt” party Makhabat Mavlyanova, the bill is necessary as one-time payment to the natural disaster victims is not sufficient. Her opinion is the population fully supports this bill.
She was supported by the committee chairman Isa Omurkulov, who said the postponement is considered as the government is not ready for the bill implementation.
“My suggestion would be to postpone the laws coming into force for a year only. During this time the government will be able to coordinate all regulations and make an inventory of all legal documents. Also the explanatory work shall be carried out. I think this time will be enough,” he said.

The deputy of “Respublika-Ata-Jurt” party Bakyt Sydykov suggested to introduce insurance on a phased basis.
“There is no country in the world to stand without insurance, yet our people and government do not know how it works so far. Therefore, it takes time for clarification. Besides, this whole process shall not be introduced in one year, otherwise it will become too expensive for the population. It is necessary to act step by step,” he said.

Following the debate, the committee approved the postponement of introduction of vehicle insurance (the
Mandatory Third Party Liability) until 2020 and home insurance until 2017.
Note MTPL cost varies from 2000 to 4500 som. Home insurance stands at 1200 som for the city and 600 som for rural areas.