INSURANCE ARBITRATION BOARD DECISION

ANALYSIS OF INSURANCE ARBITRATION BOARD DECISIONS

DECISIONS REGARDING DISPUTES ARISING FROM MANDATORY MOTOR VEHICLE LIABILITY (TRAFFIC) INSURANCE POLICIES

Arbitration Decision No. K – 2021 \ 71599 dated 04.06.2021

EVENT AND REQUEST

The dispute referred to the arbitration board concerns a traffic accident on July 1, 2020, involving a vehicle whose liability was covered by a Compulsory Motor Vehicle Liability (Traffic) Insurance policy issued by the defendant company, resulting in material damage and fatality.

Accordingly, the applicant's attorney stated that the deceased was a supporter of their client in a traffic accident that occurred on July 1, 2020, and that their client's spouse was deprived of this support. The attorney further stated that although a support compensation claim was made against the traffic insurance company of the vehicle that caused the accident, this claim was not fulfilled, and therefore requested that the defendant company, the insurer of the vehicle that caused the accident, pay 5,000 Turkish Lira in support compensation, along with advance interest, on behalf of their client.

CLAIMS AND EVIDENCE PRESENTED BY THE PARTIES

APPLICANT'S:

The applicant's representative stated in their application to the Insurance Arbitration Commission:

• On July 1, 2020, the applicants claimed that the vehicle that caused the accident was defective and that it resulted in the death of the person they were supporting
• The vehicle involved in the accident was insured under policy number x with the defendant insurance company
• It was stated that an application was made to claim compensation after a traffic accident, but the requested compensation was not fulfilled, and that due to the non-fulfillment of the compensation obligation despite the request, it became necessary to apply to the Insurance Arbitration Commission
• The applicant requests that, provisionally, a decision be made to award 5,000 Turkish Lira in compensation, along with advance interest, court costs, and attorney fees.

The power of attorney, traffic accident report, insurance policy, inheritance certificate, and other documents were submitted to the Insurance Arbitration Commission as supporting evidence for the plaintiff's claims and demands.

THE INSURANCE COMPANY:

According to a written statement by the insurance company:

• The vehicle in question is insured with a Traffic Insurance Policy within the client company
• The insurance company's liability is limited to the limits stated in the policy and proportional to the insured person's fault
• The applicants who filed an application with the Insurance Arbitration Commission requested compensation from the client organization for loss of support due to the death of the person they were supporting
• A report from the Forensic Medicine Institute is required to determine the degree of fault
• The court should investigate whether the plaintiffs have any income paid by the Social Security Institution (SGK), and if so, this income should be deducted from the requested compensation
• The methods and principles set forth in the general terms and conditions must be taken into consideration when calculating compensation
• The client is not responsible for interest, attorney fees, or expenses
• It should be ruled that legal interest should be awarded, without implying acceptance of the offer
• It was stated that the attorney's fees to be awarded against them should be calculated at a rate of one-fifth, and it was requested that the case be dismissed and all costs be left to them.

The power of attorney and the mandatory financial liability insurance policy were submitted by the defendant insurance company as evidence in their defense.

EVALUATION AND REASONED DECISION

The insurance company provides coverage of 410.00 Turkish Lira per person in the event of death, as stipulated in the Motor Insurance Policy for the insured vehicle.

After examining all the documents in the file, it was determined that the applicant is the spouse of the person who died in the traffic accident on July 1, 2020, and that the insurance company against which the claim was filed was the compulsory financial liability insurer of the vehicle allegedly causing the damage under the Highway Traffic Law as of the same date. Therefore, it was understood that there is no deficiency that would prevent the case from being heard in terms of the conditions for litigation, and thus the merits of the dispute have been considered.

The traffic accident in question occurred on July 1, 2020. According to the official accident report, the insured vehicle was involved in the accident, and the Forensic Medicine Institute's report determined that the insured vehicle driver was 25% at fault, while the other driver was 75% at fault.

The insurance company stated that it reached a settlement with the applicant and made a payment of 56,155.00 TL on April 26, 2021, including interest, court costs, and attorney fees, and submitted two receipts for this payment to the file.

The applicant's representative, in a statement submitted to the file, stated that a settlement had been reached with the insurance company and that all claims had been paid, and requested that the application be rejected.

Following the evaluation, it was unanimously decided to reject the application due to waiver and to rule on the matter of attorney fees and court costs as neither party requested them.