Sample of the new motor vehicle insurance disc
* Clients to buy motor vehicle insurance through online from any local general insurance company of their choice under one platform
* The manual discs will be issued concurrently with the new CoverIT system up to December 31, 2021
* From January 2022, the MalTIS will start the automatic validation of the validity of insurance discs
By Duncan Mlanjira
The Insurance Association of Malawi has rolled out an automated motor vehicle insurance system which is linked to the Malawi Traffic Information System (MalTIS) in order to service clients efficiently without being troubled to fill too much details on manual forms.
A statement from Ministry of Transport & Public Works issued on August 23 by Director of Road Traffic and Safety Services, Andrew Sandula, said the change from manual system has been made in reference to Section 141 of the Road Traffic Act, 1997.
Sandula said, among other things, the new system will allow the general insurance companies to improve on security features on the new motor disc paper and also other digital verification features.
It will also enable clients to buy motor vehicle insurance through online from any local general insurance company of their choice under one platform.
The insurers and other partners will be able to issue motor discs online 24hrs everyday remotely wherever the client is based in Malawi and that clients will be able to pay their premiums through digital channels.
“In compliance to the new system, there are changes to the motor vehicle insurance discs both in appearance, shape and nature of paper used as well as its security features,” Sandula said.
“As part of the transition process, the manual motor vehicle insurance discs will be issued concurrently with the new CoverIT system discs up to 31st December, 2021 in order to clear out old stock of insurance discs.
“This means that both documents — old and new — will be valid until their expiry.”
Sandula added that the output documents from the old system will thus be treated as genuine until utmost, December 2022.
“You may wish to further note that come January 2022, the MalTIS will start the automatic validation of the validity of insurance discs and will thus not issue Certificate of Fitness if the motor vehicle insurance is not valid/expired.
The Insurance Association’s president, Bywell Chiwoni said they initiated the system as part of their digital innovation strategy to demonstrates their commitment and effort to offer best services for their insuring public.
“The issuing of disks remains with insurance companies but we deliberately chose to work with the MalTIS for system integration with the DRTSS.
“We wanted to make sure that we have correct information of the vehicle at boarding stage. After developing it, we engaged DRTSS on integration of the two systems.”
He added that the integration will enable insurance companies accessing correct vehicle information sitting at DRTSS and the bar codes on the certificate will be able to differentiate valid disks from fake one by the traffic officers both from Malawi police or DRTSS.
He added credence to Sandula’s statement that the arrangement came about to offer connivence for the general public to access insurance online without the clients being troubled to fill too much details on boarding.
It has also been designed in response to today’s demands of doing business through the internet to mitigate fraudulent claims coming about due to fake certificates.
And also to ensure that motorists are protected and ably compensated “by ensuring that only valid insurance covers are plying the roads of Malawi. We are very comfortable with this — it’s our initiative and nobody forced us on this.”