On March 24, the Financial Regulatory Commission, in collaboration with the Ministry of Justice and Internal Affairs and the General Authority of Border Protection, has introduced amendments to the “Regulations on the Coverage of Drivers’ Insurance for Owners and Proprietors of Motor Vehicles Transiting or Temporarily Entering the Territory of Mongolia”. Moreover, the previously enforced “Regulations on the Selection of Companies to Conduct Insurance Intermediation Activities at Border Ports” have been repealed. These changes aim to improve the implementation of the Law on Driver Insurance in border areas, increase insurance accessibility and safeguard the interests of insured individuals and accident victims.
A key amendment eliminates the previous restriction allowing only one insurance intermediary company to operate in border zones. Under the new regulations, any qualified insurance intermediary company may now apply and operate at designated border ports without requiring a competitive selection process. Instead, companies must obtain permission from the General Authority of Border Protection in compliance with relevant laws and regulations.
In addition, to further protect the rights of insured individuals and accident victims, the new regulations require insurance intermediaries to represent multiple insurance companies. This measure ensures greater flexibility and choice for policyholders while enhancing competition within the market.
The amendments also focus on ensuring comprehensive driver liability insurance coverage in border zones for owners of foreign motor vehicles transiting or temporarily entering Mongolia. By strengthening insurance provisions, the changes will help ensure that damages resulting from road accidents which affect life, health, or property are adequately compensated, thereby protecting the rights of victims.
Furthermore, the revised regulations streamline the process for obtaining permits to operate in border areas, reducing state intervention and administrative burdens. This is expected to enhance the efficiency of driver insurance implementation and boost the availability of insurance services in border regions.
