Misr Insurance Company stated that the value of compensations for stolen cars reached about EGP 130 million, excluding the value of compensations incurred by the Ministry of Finance, for the period from the revolution of January 25th, 2011 till the end of last July.
There were 2004 stolen cars during the same period, said Ahmed Aboul Enein, the head of motor car insurance committee at the Insurance Federation of Egypt and the head of car insurance department at Misr Insurance Company. The car thefts rate is still high, as more than 100 cars are stolen monthly, Aboul Enein added.
He noted that the decision taken by the motor insurance committee, stating that the customer shall incur either 25% of the value of compensation or a 50% increase in the charges on stolen cars, is applied only on new insurance policies signed by the beginning of last January.
The issuance of new car insurance policies declined as important economic sector in Egypt stopped such as tourism and many banks retreated from offering car loans in the current period.
Misr Insurance Company said the supplemental car insurance premiums posted EGP 660 million in FY 2011/2012.
