By Raymond Carl Dela Cruz
MANILA – The Land Transportation Office (LTO) on Monday announced its crackdown against the illegal selling of Compulsory Third Party Liability (CPTL) insurance required for vehicle registration.
In a news release, LTO Chief, Assistant Secretary Vigor Mendoza II said CPTL sold by groups and businesses that are not accredited by the Insurance Commission is illegal.
“[Illegal CPTL agents] should stop. Otherwise, we will conduct operations and launch legal offensive against them,” Mendoza said.
“Bukod sa warning, we will also be deploying mystery customers para mahuli yung mga hindi authorized na magbenta ng insurance at kung sino man ang kakutsaba nila sa LTO (Aside from issuing a warning, we will be deploying mystery customers to catch these unauthorized insurance sellers and whoever are working with them at LTO),” he said.
The crackdown is part of Department of Transportation (DOTr) Secretary Vince Dizon’s directive to the LTO following a meeting with transport groups, insurance companies, and other stakeholders for the increase in insurance benefits.
The LTO will put up posters informing their customers if their CPTL insurance is valid or not and how to report illegal insurance sellers.
Mendoza also warned LTO personnel, especially those assigned in district offices and satellite offices, to accept all valid CPTL insurance presented by motorists renewing their vehicle registration.
“As long as the CTPL is availed from companies accredited by Insurance Commission, [it is] valid and I advise all motor vehicle owners to fight for it because I will be on your side,” he said.
These measures are in response to reports that some LTO personnel refuse to accept CPTL insurance that are not from their favored insurance providers.
“I also warn our personnel na kapag kayo ay inireklamo o nahuli namin kayo na tinatanggihan ang vehicle registration dahil ayaw ninyo ng CTPL, magiging malaki ang problema ninyo sa akin (if you’re reported or we catch you refusing to honor a valid CPTL as part of vehicle registration, you’ll have a big problem with me),” he said.
He also asked insurance agents to ensure they have the correct data for encoding in the LTO system to prevent delays and other problems in the insurance process. (PNA)
