What is Compulsory Traffic Insurance?

In today's world, where the number of traffic accidents is increasing day by day, ensuring safe travel is essential, not just for drivers but for all road users. Traffic insurance plays a vital role in ensuring this safety, both as a legal requirement and as a tool to minimize the material and immaterial damages that may arise from traffic accidents. So, what exactly is compulsory traffic insurance and why is it so important? Here are the details...

Definition of Compulsory Traffic Insurance

Compulsory traffic insurance is a type of insurance that motor vehicle owners in Turkey are legally required to have in order to drive their vehicles on the road. This insurance aims to protect not only the vehicle owner but also third parties. In other words, it provides coverage for material and bodily damages that may occur to others in the event of a traffic accident.

This insurance, which was implemented to ensure the safety of everyone involved in traffic, is an obligation that every vehicle owner must fulfill. The compulsory traffic insurance is designed to compensate for damages that vehicle owners may cause to others due to their own fault.

Scope of Compulsory Traffic Insurance

Compulsory traffic insurance generally provides the following coverages:

1. Injury or Death: If a person in the other party's vehicle or a pedestrian is harmed in a traffic accident, this insurance activates. If someone is injured or killed in a traffic accident, the insurance company pays compensation.

2. Material Damages: If material damage occurs to the other party (for example, damage to another vehicle or a business), the insurance company covers these damages.

3. Injured Person’s Medical Expenses: The insurance is activated to cover the medical costs of individuals injured in a traffic accident.

4. Bodily Injuries: Not only the vehicle owner but also other passengers and pedestrians are covered for bodily harm. For example, if a pedestrian is hit in a traffic accident, the insurance provides compensation for the injury.

What Does Compulsory Traffic Insurance Do?

1. Legal Obligation: In Turkey, it is a legal requirement for every motor vehicle on the road to have compulsory traffic insurance. Driving a vehicle without traffic insurance can result in heavy fines and penalties, including vehicle confiscation.

2. Protection of Third Parties: This insurance aims to compensate for material or bodily damages caused to others. Drivers must have this insurance to prevent others from being victimized due to an accident.

3. Financial Security for Drivers: Compulsory traffic insurance provides significant financial security against large financial burdens that may arise due to a traffic accident. The insurance not only covers the damages to the other party but may also cover some of the vehicle's damages, within the limits of the insurance policy.

4. Psychological Support After an Accident: Compulsory traffic insurance can also offer psychological support to victims after an accident. Additionally, insurance companies may provide rehabilitation services to individuals injured in accidents.

Benefits of Compulsory Traffic Insurance

• Ensuring Justice in Traffic Accidents: Compulsory traffic insurance ensures that individuals affected by an accident can receive compensation even if the party at fault is financially unable to pay. This helps prevent rights violations after accidents.

• Economic Protection: Material damages from traffic accidents can sometimes reach very large amounts. Compulsory traffic insurance helps prevent vehicle owners from being burdened by large financial debts by covering these economic losses.

• Increased Traffic Safety: Compulsory insurance encourages drivers to pay more attention to traffic rules. The risk of causing harm to others in an accident is minimized through insurance, increasing overall road safety.

Limitations of Compulsory Traffic Insurance

Although compulsory traffic insurance provides important coverage, it may not cover all types of damages. For example, damage to the vehicle itself, harm to passengers inside the vehicle, or psychological compensation due to an accident are generally not included in this insurance. Therefore, drivers who wish to insure their vehicles more comprehensively may opt for additional coverages such as comprehensive insurance.

Compulsory Traffic Insurance Costs

The costs of compulsory traffic insurance can vary depending on the model, age, usage type of the vehicle, and the insurance company. However, in Turkey, an annual minimum coverage amount is set by the Insurance Information and Monitoring Center (SBM). This amount may change each year and serves as the minimum limit that vehicle owners should consider when purchasing insurance.

Conclusion

Compulsory traffic insurance is an essential type of insurance aimed at minimizing the impact of traffic accidents and ensuring the safety of everyone involved. Through this insurance, damages caused to others in traffic accidents are compensated, helping to prevent victimization. In addition to being a legal obligation, it is extremely important for providing financial security and ensuring a safe driving experience. Failing to take out this insurance not only jeopardizes traffic safety but also puts you at risk of legal consequences.