President Marcos Orders Review of Insurance Claims Increase
A transport sector leader has expressed gratitude to President Marcos for instructing the Department of Transportation (DOTr) to reassess the proposal to raise insurance claims for private vehicles. This move has been welcomed by many advocates seeking a fair insurance system in the country.
Boy Vargas, head of the Alliance of Transport Operators and Drivers Association of the Philippines (Altodap), said, “Nagagalak po kami dahil for the first time ay may isang Pangulo ng ating bansa na pinakinggan ang matagal na naming ipinaglalaban. Maraming salamat po sa ating Pangulong BBM sa inyong tunay na malasakit sa ating mga kababayan, lalo na yung mga maliliit na tao na tulad namin.” He emphasized that this is the first time a sitting president has taken action on their long-standing concerns.
Transport Group’s Call for Fair Insurance
Altodap was the group that urged President Marcos to address the issues within the insurance system for private vehicles. Responding promptly, the President directed DOTr Secretary Vince Dizon to explore ways to enhance insurance coverage.
Although Vargas represents the public transport sector, he pointed out that his group regularly witnesses road accidents involving private cars. Often, passengers in these vehicles do not receive adequate compensation. He cited the Katipunan Flyover accident in Quezon City last December as a significant catalyst for renewing their push for fair insurance benefits for all road users.
Katipunan Flyover Incident Highlights Insurance Gaps
The tragic accident at Katipunan Flyover resulted in four deaths and 25 injuries. Despite the severity, the maximum insurance payout was only ₱200,000, which was divided among all 29 victims due to existing policies. Vargas described this as insufficient and unfair.
Similarly, a recent accident on the Subic-Clark-Tarlac Expressway (SCTEX) saw 10 fatalities with insurance payouts capped at ₱200,000 each, while injured bus passengers received ₱100,000 each. These incidents underscore the urgent need for an improved insurance system.
Learning from Existing Insurance Programs
Vargas suggested that the DOTr consider the Passenger Personal Accident Insurance (PPAI) program currently managed by the Land Transportation Franchising and Regulatory Board (LTFRB) and the Insurance Commission for public utility vehicles. Under this program, the maximum payout is ₱400,000 per fatality and ₱100,000 per injured victim.
He explained, “Ito po yung sinasabi namin na dapat ay patas. Ang DOTr po ang bahala kung anong klaseng diskarte ang gagawin nila kasama ang Insurance Commission pero kung meron namang sistema na at maayos na gumagana, bakit maghahanap pa ng iba eh tatagal ng tatagal na naman yan sa kakaaral eh.” In other words, if a fair and functioning system exists, it makes sense to adapt it rather than create a new one that could delay reforms.
Hope for Swift Change Under Current Leadership
Vargas expressed optimism about the current administration’s commitment to swift reforms. “May Presidente tayo ngayon na gusto ng mabilis na pagbabago na nararamdaman agad namin sa baba. Sana samantalahin na natin ito na baguhin na ang sistema para sa kapakanan ng nakakarami sa lalong madaling panahon,” he said.
He urged stakeholders to seize this opportunity to establish a just insurance system that protects all road users promptly and fairly.
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