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New Plan Would Regulate Car Insurance for Casual Drivers for the First Time

A draft circular published today (Wednesday) by Israel’s Public Comments Authority regulates, for the first time, insurance contracts for ...

Jerusalem, 24 June, 2026 (TPS-IL) — A draft circular published today (Wednesday) by Israel’s Public Comments Authority regulates, for the First Time, insurance contracts for “casual” drivers in the property car insurance industry, with the aim of preventing situations of uncertainty among insurance companies and policyholders, and encouraging the use of innovative insurance products that reduce insurance costs for the public.

A casual driver is a driver who is not defined as the primary insured in the policy.

These products provide a flexible response to the changing needs of families, young people, soldiers, and students who do not drive a car regularly and allow for greater flexibility compared to traditional car insurance.

Following market growth and public inquiries received by the Authority, it explained, there was a need to regulate the conduct of insurance companies that market these products, in a way that would address their unique characteristics compared to the traditional annual policy and prevent information gaps.

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Gil Tanenbaum