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Federation says ministry ‘playing judge, jury’ by forcing insurers to cover snow damage

By JT - Jan 18,2015 - Last updated at Jan 18,2015

AMMAN — The Jordan Insurance Federation (JIF) on Sunday criticised the Ministry of Industry, Trade and Supply for "trying to force" insurers to cover damages caused to persons and vehicles during the snowstorm that hit the Kingdom earlier this month. 

In a statement e-mailed to The Jordan Times, the JIF expressed "surprise" over a letter it received from Trade Minister Hatem Halawani, in which he said insurance companies should cover damages caused by vehicles with compulsory auto third-party liability (TPL) insurance during the blizzard. 

JIF Director General Maher Hussein said the federation was also shocked by the ministry's statement to the media, in which it said insurance firms should pay compensation to people and vehicles that were damaged by automobiles with TPL insurance. 

Last week, the Trade Ministry said damage caused to persons and vehicles during the blizzard by cars with TPL insurance will be covered under the compulsory auto insurance by-law. 

In a statement carried by the Jordan News Agency, Petra, Trade Ministry Spokesperson Yanal Barmawi said insurance firms are obligated to pay compensation, as accidents caused by snow are not listed in the exceptions of the compulsory auto insurance by-law. 

The JIF said the ministry has made "judiciary verdicts in advance" to obligate companies to pay compensation to people and cars damaged during the storm. 

"The ministry has made itself the judge and jury against insurance firms without taking into account the constitutional right for litigation at courts," Hussein said in the statement, adding that only the judiciary can decide whether insurance firms are obligated to pay compensation for such accidents. 

The JIF said the ministry statement and position in this case have negatively affected the public image of the federation, making it seem that insurance companies are evading their obligations and responsibilities. 

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