19 November 1999
This Administrative Direction applies to third party liability motor vehicle insurance.
UNMIK shall require proof of valid third party liability motor vehicle insurance in order to issue temporary registration of a motor vehicle under Regulation No. 1999/15 of 21 October 1999, failing which temporary registration will be denied.
3.1 No person or entity shall sell or cause to be sold any third party liability motor vehicle insurance policy unless such person or entity possesses a valid provisional authorization issued by the United Nations Interim Administration Mission in Kosovo (UNMIK).
3.2 Only third party liability motor vehicle insurance policies issued by insurance issuers authorized by UNMIK shall be valid.
4.1 Insurance issuers wishing to sell third party liability motor vehicle insurance policies in Kosovo must apply to UNMIK for provisional authorization, on the forms to be obtained from UNMIK.
4.2 An application for provisional authorization may be made to UNMIK by:
(a) An insurance issuer which has established its head office in Kosovo; or
(b) An insurance issuer whose head office is situated outside Kosovo and which has appointed an agent or set up a branch in Kosovo.
5.1 An insurance issuer having its head office in Kosovo and applying for an authorization shall comply with the following conditions:
(a) It shall limit its business activities to insurance and operations directly arising therefrom, to the exclusion of all other commercial business;
(b) It shall submit to UNMIK all original contracts entered into by its founders for the purpose of its creation;
(c) It shall possess a minimum security guarantee in the form of liquid, unencumbered and inalienable assets or irrevocable letters of credit, in a minimum amount of 5,000,000 DM issued by a duly licensed financial institution recognized by UNMIK.
5.2 The applicant shall furnish UNMIK the following particulars or proofs concerning:
(a) The general and special policy conditions which it proposes to use;
(b) The guiding principles as to reinsurance;
(c) Proof of the constitution of the minimum security guarantee referred to in section 5.1(c) above.
An insurance issuer having its head office outside Kosovo and applying for an authorization shall comply with the following conditions:
(a) It shall produce evidence that it is entitled to undertake insurance business under the law of the State where its head office is situated;
(b) It shall produce a certified copy of its financial statements for each of the three years preceding the year of the application for provisional authorization;
(c) It shall appoint an agent or set up a branch in Kosovo;
(d) It shall supply its agent or its branch with a minimum security guarantee in Kosovo in the form of liquid, unencumbered and inalienable assets or irrevocable letters of credit, in a minimum amount of 5,000,000 DM issued by a duly licensed financial institution recognized by UNMIK;
(e) It shall undertake to maintain at the place of establishment of the agent or of management of the branch in Kosovo accounts specific to the business conducted in Kosovo, and to keep at that place all the records relating to that business;
(f) It shall submit to UNMIK all original contracts entered into with the agent or for the purpose of establishing the branch.
Where UNMIK is satisfied that an insurance issuer applying for temporary authorization complies with the relevant provisions of this administrative direction, it may in its discretion grant that issuer a provisional authorization, which shall be valid for a maximum period of twelve months from the date of issuance.
UNMIK reserves the right to define minimum applicable third party liability motor vehicle insurance tariffs which shall be obligatory for all insurance issuers possessing a provisional authorization.
A provisional authorization may be revoked by UNMIK if the holder:
(a) No longer fulfils the conditions required by this administrative direction for the granting of an authorization;
(b) Violates the provisions of this administrative direction; or
(c) Any other legitimate reason deemed sufficient by UNMIK.
UNMIK shall be the final authority with respect to the interpretation of this administrative direction and any actions or determinations undertaken hereunder.
Principal Deputy Special Representative of the Secretary General