The Land Transportation Office (LTO), led by Assistant Secretary Atty. Vigor D. Mendoza II, has partnered with transport groups and other stakeholders to improve motor vehicle insurance benefits. This was discussed in a public consultation on March 15, 2025, aimed at making land transportation services more efficient and accessible.
Better Insurance Benefits for Drivers and Operators
During the meeting, participants agreed that insurance benefits should be increased. Many drivers and transport operators struggle with insurance claims that take too long to process or do not provide enough coverage in case of accidents.
To address these issues, the LTO and transport groups discussed ways to speed up the claims process, fix errors in insurance records without hassle, and remove participation fees that make it difficult for claimants to receive their benefits. The goal is to ensure that all motorists, especially public transport drivers, get fair and timely compensation when they need it the most.
Cracking Down on Illegal Insurance Sellers
Another major concern raised during the meeting was the presence of unauthorized sellers of Compulsory Third Party Liability (CTPL) insurance. These illegal sellers often deceive motorists by offering fake insurance policies or policies that do not comply with the standards set by the Insurance Commission.
Asec Mendoza vowed to take immediate action against these unauthorized sellers by deploying mystery customers to catch illegal CTPL sellers in the act. LTO will work with law enforcement agencies to ensure strict compliance with insurance regulations and impose legal consequences on violators.
Heeding Calls from Transport Groups
The consultation was attended by key figures from the transport sector, including representatives from bus and jeepney organizations, as well as insurance companies. They raised concerns about insurance delays, unfair processing fees, and the need for stronger government oversight to prevent fraudulent transactions.
Asec. Mendoza assured the attendees that the government will carefully review all feedback before finalizing and implementing the reforms. He emphasized that this collaborative effort aims to create policies that truly benefit transport workers and the commuting public.
Making Insurance More Accessible
With these upcoming changes, the LTO hopes to create a more transparent and efficient insurance system that protects the rights of motorists. Transport operators, drivers, and passengers will benefit from improved insurance coverage, faster claims processing, and stricter enforcement against fraud.
Moving forward, the LTO, in coordination with the Insurance Commission and transport stakeholders, will finalize the legal aspects of these proposals and implement the new policies to ensure fairer and more accessible insurance benefits. With continuous cooperation between the government and transport groups, these insurance reforms aim to provide a safer and more reliable experience for everyone on the road.
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