Vietnam has connected to the ASEAN Compulsory Motor Insurance system

(Hanoi, November 15, 2023) - On November 15, 2023, Vietnam National Bureau implementing Protocol No. 5 on the ASEAN Compulsory Motor Insurance program (VINABAI in short) officially announced Vietnam’s successful connection to the ACMI (ASEAN Compulsory Motor Insurance) system.

“ASEAN motor vehicles transiting into Vietnam need to buy compulsory owners’ civil liability insurance. This connection will help effectively promote the transportation of vehicles and goods among ASEAN member states, including Vietnam.” said Mr. Nguyen Anh Tuan, Chairman of VINABAI at the press conference.

ACMI – the ASEAN compulsory motor insurance database system – is used as a data hub for member states participating in the system to issue insurance policies. This system is officially used in 10 ASEAN countries, implementing the Protocol No. 5 on ASEAN's compulsory motor insurance program. This paves the way for vehicles and goods transportation among ASEAN border gates. In addition, ACMI will then be connected with the ASEAN Customs Transit System (ACTS) to create an electronic one-stop mechanism for goods in transit procedures, promoting the implementation of the ASEAN Framework Agreement on the Facilitation of Goods in Transit (AFAFGIT).

Vietnam is one of three countries that have successfully connected to the ACMI system together with Thailand and Singapore.

Motor vehicle users can access this ACMI system to register for a blue card – a proof that a motor vehicle has been issued an insurance policy that meets the minimum insurance requirements according to the regulation of civil liability insurance of motor vehicle owners in transit/destination countries in ASEAN.

Image from https://baotintuc.vn/ 

In Vietnam, connecting to the ACMI system is an important premise for motor vehicles in implementing Decree 67/2023/ND-CP regulating the compulsory civil liability insurance of motor vehicle owners. This Decree issued by the Government on September 6, 2023 (replacing Decree 03/2021/ND-CP). Specifically, motor vehicle owners participating in traffic in the territory of the Socialist Republic of Vietnam must buy compulsory owners’ civil liability insurance for bodily injury and loss of or damage to property to third party. This is also a common practice in many countries in the region and around the world to protect the benefits (both personal and property) of victims in traffic accidents caused by motor vehicles, and on the other hand help minimize the financial burdens on motor vehicle owners.