Sudan, substantial rise in compensation for vehicle-related deaths

The president of the Sudanese supreme court has reconsidered the maximum lump sum of the compensation ordered for the benefit of the relative of a victim who died following a car crash. This amount which, since 2009, did not exceed 40 000 SDG (17 400 USD), has now risen to 330 000 SDG (54 300 USD), a decision that had insurers scratching their heads.

According to them, an 800% increase will result in the downfall of the insurance business, thus inevitably triggering a considerable rise in the motor tariffs. The new amendment is due to come into force in 2017.

In the meantime, the secretary general of Sudan’s association of insurance and reinsurance companies is now conducting talks with the parties involved in order to reach a compromise.