Pakistan's insurance regulato,r the Securities and Exchange Commission of Pakistan (SECP), has directed all registered non-life insurers, including general takaful operators, to participate in the Motor Insurance Repository (MIR).
The MIR is a centralised electronic database established under a Memorandum of Understanding signed by insurance companies, takaful operators, and the Central Depository Company (CDC). It enables the secure storage, validation, and accessibility of motor insurance policies and claims data.
Insurers underwriting motor vehicle insurance are now required to sign a Service Level Agreement (SLA) with the CDC within 60 days and share complete and accurate policy data in accordance with the terms of the SLA. This data may be shared with relevant federal and provincial authorities for policy validation, while maintaining strict confidentiality and security requirements.
SECP issued a circular in this regard earlier this month. This regulatory measure is an important step toward strengthening the enforcement of mandatory motor third-party insurance across the country.
A centralised and validated data repository will allow authorities to verify insurance coverage efficiently, addressing significant compliant gaps.