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The Ministry of Finance intends to reduce the cost of compulsory insurance for motorcycles

The Ministry of Finance intends to reduce the cost of liability insurance («bituah Hova») for two-wheeled vehicles. Value «bituah Hova» for motorcycles and scooters will be reduced by about 15%, which will help their owners save hundreds of shekels a year.

The Ministry of Finance hopes that this step will lead to further reduction in the cost of living, and also reduce congestion, as young people choose motorcycles and scooters cars. In addition, the reduction of compulsory insurance has to deal with a dangerous trend: according to the police, more and more owners of two-wheeled transport at all go without insurance because they can not afford it.

The press service of the party «Kulanu» notes that the reform of compulsory insurance for two wheelers are promoting the Finance Minister Moshe Kahlon and head of the capital, insurance and savings funds at the Ministry of Finance Dorit Salinger. They recommended that to reduce the cost of «bituah Hova» for motorcycles and scooters 25%, however, in accordance with the recommendations of the Winograd Commission in parallel increases the percentage of contributions to the national insurance Institute («bituah Leumi»), thus the cost of insurance will be reduced by only 15%.

The reduction of tariffs will enter into force after the Finance Minister Moshe Kahlon will sign the corresponding decree, and the economic Committee of the Knesset will approve it. The Ministry of Finance do not doubt the support of all members of the Commission.

In the framework of the reform are redistributed in the proportion of financial responsibility in accidents involving a car and motorcycle: if still the driver of the car paid 75% of the payment for injuries of the motorcyclist, the result of the reform, the proportion of motorists will rise to 95%. Accordingly, the reduced part of the rider that will lead to cheaper insurance. The decrease in participation will also result in a reduction in value-at-risk for the insurance rider.

«Today, the drivers of two-wheeled transport pay for insurance too much in comparison with motorists, — said the Finance Minister Moshe Kahlon their decision. My decree aims to reduce the alarming trend of riders not insure his life. I promise to continue the fight against high cost of living in Israel, in all its manifestations, and reduction of insurance two-wheeled transport is not the last step in this direction.»

According to the traffic police, almost half of motorcyclists and scooter in Israel go without insurance because «bituah Hova» costs about 5,500 shekels a year, four times more than a car that costs more.

It should be noted that reducing the cost of compulsory insurance of motorcycles and scooters — the result of the struggle of owners of two-wheeled transport for many years, protesting against inflated fees.

The Ministry of Finance intends to reduce the cost of compulsory insurance for motorcycles 05.06.2017

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