Compulsory Motor Insurance in Thailand

Compulsory Motor Insurance, also known as “Por Ror Bor” is a mandatory insurance required by law for all motor vehicles within Thailand. According to the Motor Victims Protection Act B.E. 1992, it came into effect on 5 April 1993 by requiring cars, including all types of motorcycles that are registered with the Department of Land Transport, and cars powered by electric engines or other energy to apply this “Compulsory Motor Insurance” to provide insurance coverage for everyone affected by car accidents, regardless of whether the person is a driver, a passenger, or a pedestrian. In the cases that involve a loss of life or body parts or health damage including the deceased person’s heir will also be covered, in the case of death.

The maximum amount of insurance coverage per person of compulsory insurance (Act) is limited, so car owners should buy voluntary car insurance in order to receive the maximum additional protection.

Compulsory car insurance coverage

  • Medical Expenses = up to ฿ 80,000 per person
  • Loss of Vital Organ = ฿ 200,000-500,000
  • Death and Permanent Disability = ฿ 500,000 per person
  • Daily Compensation (up to 20 days) = ฿ 200 baht

The person responsible for compulsory car insurance is the car owner, a car hire buyer, and the car owner who brings cars registered in foreign countries to use in Thailand.

All vehicles are required to have a compulsory insurance policy by law and must be renewed every year before paying the annual car tax. Any violation of compulsory insurance (Act) will be punished with a fine of not over ฿10,000.

The objectives of the law that require all vehicles to have compulsory insurance policy are as follows:

  1. To protect and help people who have been injured or died because of a car accident, with timely medical attention in the event of injuries or death
  2. As a guarantee to hospitals that they will receive payment of medical fees in the treatment of car accident victims
  3. It is welfare provided by the government to people who have suffered damage due from a car accident.
  4. Promote and support insurance participation that provides relief of suffering for the victims and their families