Green Card System
The international compensation system of victims of road traffic accidents namely, the Green Card System, facilitates the flow of cross border road traffic in member countries of the system, and guarantees the compensation of domestic victims of accidents caused by foreign motorists. The system which started in 1949 has been in place for more than 60 years helping millions of motorists travel across border network of member countries' of the system.
The Green Card is equivalent to the national Motor Insurance Certificates of each and all of the Countries which a motorist visits. As such it is accepted without any obstacle or cost by the Authorities of all countries for which the individual Green Card is valid. It certifies that the visiting motorist has at least the minimum compulsory third party insurance cover required by the laws of the countries visited.
Any motorist with a Green Card is able to travel across the borders of the 45 member countries without the need to take out an insurance policy at each country’s border. The Green Card covers all liabilities and is accepted as evidence of insurance and meets with the law of the country being visited.
In each member countries of the system there exists a bureau, operating by the recognition and approval of their Governments, dealing with Green Card affairs.
Therefore, the network of Green Card bureaux helps claims arising from traffic accidents to be settled for all the third parties involved in an accident caused by a foreign motorist. Each nation’s bureau will work with the liable motorists’ insurer and its concerned bureau to effectively settle the claim according to the rules set out by that country. National bureaux cooperate on the basis of the Internal Regulations signed bilaterally between each of them.
According to the "Act of Adhesion of Iran Government to the International System of Civil Liability Insurance of Land Motor Vehicles against Third Party (Green Card), (Approved on 1356/03/05), Green Card Bureau of Iran commenced its activities in Tehran under the supervision of Bimeh Markazi Iran (Central Insurance of the Islamic Republic of Iran).
Moreover, on the basis of the said law, all Iranian insurance institutions authorized to perform compulsory insurance operations regarding civil liability of owners of land motor vehicles against third party, are obliged to accept the membership of the said Bureau. Presently, only Iran insurance company operating as its member, deals with issuing Green Cards and handling and settlement of Green Card claims.
Notably, the executive bylaw for "Act of Adhesion of Iran Government to the International System of Civil Liability Insurance of Land Motor Vehicles against Third Party (Green Card), was adopted by the Supreme Council of Insurance on its meeting of 27.04.1391, under the title of Executive bylaw Number 73, which then was notified to all insurance companies.
It is also worth mentioning the issue of membership of Islamic Republic of Iran in one of the permanent committees of Council of Bureaux- Internal Auditors Committee- for a three year term, which was approved on the 48th General Assembly Meeting of CoB, held in Belarus. In this regard, the Green Card Bureau of Iran along with other member countries of the said committee (Island, Malta and Albania) shall cooperate with CoB during the years of 2014-2017.
Moreover, an agreement under the title of "Protection of Visitors" (PoV), with the aim of enhancing the welfare of compatriots suffering property damage or personal injury in traffic accidents occurring in Turkey, has also been signed and concluded between Green Card Bureau of Iran and Motor Insurers' Bureau of Turkey. On the basis of this agreement, entered into force on 1th March 2014 (10.12.1391), the concerned parties of each country (Central Insurance of Islamic Republic of Iran and Motor Insurers' Bureau of Turkey) will support the injured of their country of origin suffered in traffic accidents occurring in the other country, through providing them with the required information.