AIDA The Israeli Compensation System in Respect of

AIDA The Israeli Compensation System in Respect of Road Accidents Ilan Kaner, Adv. AIDA Motor Insurance Working Party Athens, May 2014

Israeli Motor Vehicle System - No Fault Under the Israeli Law – compensation to any injured 2

Mandatory Insurance – Bodily Injury Insurance policy - mandatory 3

Limited Compensation - Loss of income – three times the average wage - Non-monetary damage – fixed amount 4

Exclusive Cause of Action No claim under general Tort Law 5

Regulated Mandatory Insurance Policy wording – dictated by Regulator 6

Highly Regulated Field (a) Full compensation (b) Terms of insurance set by the Regulator (c) Insurer cannot consider age, number of passengers, etc. 7

The POOL – for “unattractive” insureds 8

Motor Vehicle Reform - 2006 - High premium for 2 -wheel vehicles - Arrangement for allocation compensation between heavy and light vehicles 9

Profitable Results For Insurers 10

“Karnit” Fund for indemnification of injured by noninsured / stolen vehicle or hit-and-run accidents 11

Issues In Dispute - What is a motor vehicle? Electric bicycle? Electric buggy? Motorised mechanical engineering equipment? - What is a road accident? 12

Easy To Handle By Plaintiff - No medical opinion required - No need to prove liability - Regulated limited lawyer’s fees 13

Thank you Ilan Kaner, Adv.