Motor vehicle dual-purpose body rating rules

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IC CIRCULAR LETTER NO. 6-2004: Motor vehicle dual-purpose body rating rules

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Title Source: Supreme Court: Motor vehicle dual-purpose body rating rules

Law: Ic Circular Letter No. 6-2004

Decision Date: Mar 18, 2004

Vehicles primarily designed for passenger transport but equipped for goods carrying, such as SUVs and AUVs, must be rated under the Private Car Tariff unless converted for fare-paying services or used commercially.

Law Summary

Definition and Examples of Covered Vehicles

Vehicles with dual purpose bodies include Asian Utility Vehicles (AUV), Sports Utility Vehicles (SUV), Pajero, Toyota Revo, Mitsubishi L-300, Mitsubishi Adventure, Starex, Isuzu Hi-Lander, Nissan Terrano, Tamaraw FX, Strada, Vans, and similar models.
The classification applies to such vehicles when they are not converted to carry fare-paying passengers and are primarily used as private cars.

Rating Guidelines and Policy Usage

These vehicles shall be rated under the Private Car Tariff.
A Private Car Policy must be used for insurance purposes when rating these vehicles.

Conditions for Classification under Private Car Tariff

The vehicle must not have been converted into a public utility vehicle classified as Land Transportation Operator (LTO) vehicles.
The insured must be able to prove that the vehicle is used in a business involving the transport of commodities or goods rather than for public passenger transport.

Enforcement and Compliance

The circular emphasizes strict compliance with these guidelines.
Issued by the Insurance Commission for effective implementation starting 18 March 2004.

END