By Ahmed Al Falahi -
dreemlife11@yahoo.com -
We are all aware of the responsibilities of insurance companies in various fields, particularly vehicle insurance which today poses the biggest challenge because of the large number of traffic accidents resulting in deaths and injuries. Also, the fatal mishaps occur more
frequently than ever before with the increase in the number of vehicles on the road. Material losses are also huge.
All of these are clear, and many of us wonder how to reconcile between losses and profits in the insurance companies. The reality is, despite all these losses, there are profits and there is investment recovery in these companies. It is something good to encourage these companies to pay the debts.
Here, I am not trying to point out the profits or losses of insurance companies. I want to emphasise the issue of linking the cost of the insurance with the age of the insured person as the costs increase if the insured is young. If the age of the insured person is above 40, the costs of insurance will be less and vice versa.
This equation is clear for all. Some justify this by believing that young drivers are more reckless and cause more accidents, but the question is: does increase in insurance by RO 13 reduce these incidents? The causes of accidents are many, and the young age is one of the reasons, but the justification is not strong enough to prompt insurance companies to effect this increase.
Another aspect of the issue is the proposal hoped to be adopted by insurance companies in collaboration with the Royal Oman Police — to open insurance ports in the places of vehicle registration in the centres of the ROP. It does not add a significant burden on the police, especially in the light of activating e-government in view of the fact that today networks are connected among various institutions. In this case, people who go to the police station to renew their vehicles will be able to choose the insurance company they want in the same place. Through this electronic link between the police and insurance companies, the value of insurance is determined, whether it is a third party or comprehensive insurance. This will save a lot of effort and time of all parties, and it will facilitate the procedures of doing things. I hope that the authorities will examine this proposal, if it does not confuse the administrative process at the insurance companies and the ROP.
