Traffic in Vietnam, especially in large cities during rush hours, is often very dense. Roads are crowded, smoke and dust are everywhere, and many vehicles move close together at the same time, collisions between vehicles are unavoidable situations.
In many cases, the incident only causes minor damage to the vehicle. However, when a collision occurs, the parties involved still need to determine responsibility, handle damages and carry out necessary procedures according to regulations.
These issues often involve vehicle repair costs, compensation for damage to people or property, and procedures to work with authorities. Without prior financial preparation, incurred costs can become a burden on vehicle operators.
In that context, compulsory civil liability insurance for motor vehicle owners acts as a financial support mechanism when traffic risks occur. According to Decree 67/2023/ND-CP on insurance limits, insurance companies will represent vehicle owners to compensate third parties for damages to people and property caused by vehicles participating in insurance.
Specifically, the compensation limit for human health and life is currently up to 150 million VND per person per case. Insurance liability for property damage is the limit of 100 million VND per case (for cars) or 50 million VND per case (for motorbikes).
This mechanism helps reduce financial pressure on the person causing the accident, while ensuring the rights of the injured party. Instead of having to pay all compensation costs themselves, traffic participants can use benefits from the insurance contract to handle arising damages.
Currently, most motor vehicles in Vietnam participate in compulsory civil liability insurance according to regulations. However, many people still do not clearly understand how to use insurance benefits when traffic incidents occur.
In case of collision, keeping calm and following the correct handling procedures will help ensure the rights of the parties involved. First of all, vehicle drivers need to stop the vehicle immediately and turn on the warning signal (urgent light or place a warning object) to ensure safety for the incident area.
After that, the parties should check the condition of the people and vehicles involved. If possible, they can contact the insurance company's hotline immediately to report the incident and receive handling instructions. 24/7 on-duty insurance switchboard operators will advise from how to protect the scene to the types of documents to be collected so that compensation will take place smoothly later.
In the process of waiting for support, recording the scene is an important step. Traffic participants should take photos or videos of the vehicle location, license plate and detailed damage marks. This information will support insurance companies and functional agencies in the process of verifying and resolving the case.
For serious accidents or when it is necessary to clearly define the responsibility between the parties, it is necessary to notify the traffic police force. The traffic accident settlement record of the police agency is an important legal basis for insurance companies to carry out compensation.
In cases where both vehicles participate in compulsory civil liability insurance, the settlement of damages is usually more convenient. Insurance companies can proactively coordinate with each other to determine the civil liability of each party and make direct compensation payments to the injured party as prescribed. Thanks to the increasingly standardized appraisal and compensation process, many procedures have been simplified, contributing to faster and more transparent incident resolution.
However, civil liability insurance does not apply to some cases such as intentionally causing an accident, running away after causing an accident, drivers who do not meet age conditions... These regulations aim to ensure that compensation is implemented in accordance with principles and encourage traffic participants to comply with the law.
Understanding insurance benefits and implementing the correct handling procedures when a collision occurs will help reduce financial pressure and shorten the time to resolve incidents. Compulsory civil liability insurance is therefore not only a legal regulation for motor vehicle owners, but also a financial support tool in traffic risk situations. When used properly, this type of insurance helps related parties handle incidents more clearly and conveniently.
