Higher CTPL benefits pushed

CEBU , Philippines —  The Land Transportation Office (LTO) is pushing for an increase in Comprehensive Third Party Liability (CTPL) benefits and the immediate release of assistance from insurance firms in the event of road accidents.

“Under the guidance of our DOTr Secretary Jaime J. Bautista, we want to change this perception among the motor vehicle owners, we want to make this relevant,” said LTO Chief, Assistant Secretary Atty. Vigor D. Mendoza II.

The LTO, in collaboration with the Insurance Commission (IC) led by lawyer Reynaldo Regalado, underscored the urgency of policy reforms, particularly in light of a recent truck accident at the Katipunan Flyover in Quezon City. The tragic incident last month resulted in four fatalities and over 20 injuries.

According to the LTO, only P200,000 was released for all the victims of the incident, an amount that had to be divided among the four deceased and the more than 20 injured individuals.

“For me, the amount is too small to cover the necessary expenses for the fatalities, as well as hospitalization and medication for those who suffered serious injuries,” Mendoza emphasized.

Pasang Masda President Obet Martin revealed that they had already sent a request to the Insurance Commission last year, seeking an increase in CTPL benefits.

Mendoza also noted that many motorists fail to check the CTPL coverage in the event of accidents, leading to the misconception that it is ineffective.

“The common belief is that this CTPL is useless. We already came to the point that this is being taken for granted, which means motor vehicle owners are paying for it simply because it is a requirement for motor vehicle registration and renewal,” Mendoza stated.

In response, the LTO and the IC see the need to enhance the benefits provided under CTPL while ensuring that any increase in coverage does not significantly raise the cost of premiums to the point of being unaffordable for ordinary vehicle owners.

Senator Raffy Tulfo’s proposal to include property damage in the CTPL coverage was also part of the discussions. Another critical issue raised was the prolonged processing time for insurance claims under CTPL. Mendoza stressed the importance of immediate assistance from insurance providers, as timely medical intervention could be crucial in road accidents.

“When accidents happen, immediate assistance from the insurance provider is a huge help because timing is everything in an accident. It is important to get the victims to the hospital right away, so immediate assistance matters. This is a significant factor instead of having to worry about where to get the money for hospital expenses,” Mendoza explained.

For motorists who lack the financial means to cover emergency expenses, Mendoza highlighted that instant support from insurance providers is essential.

“So this is what we are trying to fix by reviewing the existing policies in order to further improve them, with the end goal of ensuring the immediate release of assistance from insurance providers,” he added.

Additionally, the LTO and IC are considering setting up a hotline that motorists can contact for insurance-related concerns in case of accidents.

The proposed reforms aim to enhance the efficiency and accessibility of insurance benefits, ultimately ensuring better financial protection for motorists and accident victims. (CEBU NEWS)