THE ASSOCIATION OF COMPULSORY ROAD INSURERS RECEIVES NEW STATUTORY POWERS

Combating fraud and unfair practices in the compulsory road insurance market, the new law which came into force on 10 January 2011 extends the powers of the Association of Compulsory Road Insurers to introduce and enforce on its members the policy to supply and use the forms of compulsory insurance policies depending on the members' financial soundness and creditworthiness and their compliance with the terms of membership. The Association's policy is subject to approval by the insurance regulator (the FFMS) and the competition authority (the Federal Antimonopoly Service).