PUV owners can pick their own insurance provider, LTFRB clarifies
By Jel Santos
Public utility vehicle (PUV) owners have the freedom to choose the insurance provider they prefer and trust, the Land Transportation Franchising and Regulatory Board (LTFRB) reiterated on Friday, June 2.
This, as LTFRB Chairman Teofilo Guadiz III belied recent reports claiming that the Board is planning to add an insurance provider so that PUV applicants will have more options to choose from.
“For Personal Passenger Accident Insurance, the instruction is to accept policy from insurance providers duly accredited by the Insurance Commission. As regards Third-Party Liability insurance policy, operators are free to choose and secure the same from any insurance company accredited by the Insurance Commission,” Guadiz explained.
He assured that the agency will follow the mandates of the Department of Transportation (DOTr) Department Order (DO) 2018-020 or the "Revised Guidelines on Mandatory Insurance Policies for Motor Vehicles and Personal Passenger Accident Insurance for Public Utility Vehicles.”
To note, according to Section 3 of DO 2018-020, applicants have the freedom to get policies from any qualified insurance company, and all insurance premiums will be paid at the insurers’ offices or any of its authorized collection sites.
“Tanging ang Insurance Commission lamang at hindi ang LTFRB ang may hurisdiksyon na mag-accredit ng mga bagong kumpanya ng insurance na maaaring pagpilian ng mga aplikante (Only the Insurance Commission has the jurisdiction to accredit new insurance companies and add them to the applicants’ options),” Guadiz maintained.
Guadiz also reminded the LTFRB’s Regional Franchising and Regulatory Office (RFRO) to strictly follow the agency’s Citizen’s Charter, which includes provisions under the Republic Act No. 11032 or the "Ease of Doing Business and Efficient Government Services Delivery Act of 2018.”