Turkey's mandatory traffic insurance reforms take effect on July 1

Turkey's Insurance and Private Pension Regulation and Supervision Authority (SEDDK) issued new mandatory traffic insurance rules that were published in the Official Gazette and will become effective on 1 July 2026. The reforms introduce several changes: a central system will automatically assign an expert to assess vehicle damage and calculate both the repair cost and the value‑loss compensation, eliminating the need for separate loss‑assessment reports. Insurance companies must inform claimants of the calculated compensation the day after receiving the expert report. For health expenses, all treatment costs for injured parties are covered by the social security system (SGK), while temporary and permanent disability benefits will be paid from the traffic insurance's disability coverage. Repairs must use original parts unless the vehicle owner consents to alternatives. These changes affect millions of vehicle owners across Turkey and aim to streamline claims processing and improve compensation fairness.