Thailand's first marine insurance Bill based on a UK law has received the green light from regulators and will be sent to the Cabinet for consideration.
The Office of Insurance Commission said that the proposed law, when passed, would bolster the local insurance industry’s competitiveness, as well as investors’ confidence.
If approved, the Bill, which took six months to draft, will be forwarded to the National Legislative Assembly for enactment, reported The Bangkok Post.
OIC Secretary-General Suthiphon Thaveechaiyagarn said marine insurance was worth THB5.3 billion (US$160 million) in 2016, or 0.03% of trade value. “Once the law takes effect, the value should gradually increase,” he said.
In the absence of a marine insurance law, Thai courts have been applying the UK’s 1906 Marine Insurance Act in principle in cases involving marine insurance disputes. Most disputes involve damaged goods on which owners demand compensation from insurance companies.