Minimum wage adjustment to policy prices

According to the news by Kaan Zenginli from Türkiye Newspaper, traffic policy prices have increased by 30 percent since the beginning of the year. Due to the reactions of consumers and the decrease in policy sanction rates, the Insurance Regulation and Supervision Agency changed the policy price increase criteria.

With the regulation, policy prices will be made according to the ‘damage cost index’ as of May. In determining traffic policies; ‘automobile parts and repair price increase’na, ‘inflation’flour and most importantly ‘minimum wage increases’will be looked at. Raises, which are normally 5 to 10 percent monthly, are expected to drop to 2-3 percent monthly.

Insurance agent Selin Güler, who considers the effect of minimum wage increases on traffic policy increases as a ‘positive development’, said: “The minimum wage increase and inflation affect the cost index. If the minimum wage is not increased in July, this means that the price of traffic insurance will not increase too much. Prices in traffic insurance, in short, vehicle “It will be determined by looking at the price increase, minimum wage increase, part prices and repair costs, and inflation. A price index will be created from the mixture of these. Drivers will not be able to object to the price, and insurance companies will not be able to say that they increased it too little and made a loss.”

On the other hand, since car insurance is a private policy, the cost index will not be valid. Since car insurance is private, insurance companies can freely determine the price according to special techniques.

POLICY MAKE RATE HAS DECREASED

Stating that there have been problems in traffic policy segments for a long time, Güler said, “Prices may differ from company to company. There is a ‘recommended price’ determined by the state, but companies can put extra profit margin on top of these figures. This will also be prevented. Many people get a policy at the expense of not taking their car out of the parking lot.” “He did not want to, because the prices had reached serious levels. If he had continued with the old system, policy prices would have increased by more than 100 percent at the end of this year compared to the beginning of the year,” he said.

WARNING FOR FAKE POLICIES

Turkish Insurance Association (TSB) made a public announcement that they received complaints that fraudsters caused losses to citizens by selling fake policies. According to the statement made by the union, fraudsters who follow those who apply to agencies to buy traffic insurance introduce themselves as representatives of the agency to which the application is made. In this way, they cause grievances by selling fake policies. Citizens who think they have insurance suffer both financial damage and become at fault in traffic. In the announcement, TSB reminded the Traffic Insurance Offer Comparison screen on the website of the Insurance Information Monitoring Center (SBM) and stated that citizens can only have their Identity Number in this way. and Plate No. It was stated that they can see the information and premiums of all insurance companies on a single screen.