60,000 Iranian Transit Trucks Grounded Due to Insurance Issues

Reza Rostami, head of the Transport, Transit, and Logistics Commission of the Iran Chamber of Commerce, states that the suspension of the 'Green Insurance for Iranian Drivers' has led to the grounding and unemployment of 60,000 Iranian trucks operating in transit routes. Mr. Rostami mentioned on Sunday, June 6, that in the nearly six months of 2024, the Central Insurance of Iran has not taken any action to resolve this issue and has not provided a solution in response to the communications from the Transport Commission of the Iran Chamber. This situation has forced Iranian drivers to purchase their green insurance from foreign countries, increasing transportation costs. According to Mr. Rostami, cargo owners prefer to use foreign trucks and drivers in countries like Turkey and Georgia for transportation because these drivers come under green insurance to Iran, imposing lower costs on the cargo owner, but the consequence is the unemployment of Iranian truck drivers. This official emphasized that Iran has been a member of the global insurance convention since 1975 and must adhere to its requirements to lift this suspension, but so far, there have been no signs from the Central Insurance indicating compliance with the convention's obligations. The Green Card is an international certificate for third-party insurance issued to drivers intending to temporarily transit through specific countries within the geographical area of the Green Convention member states. In the event of an accident, they can benefit from this insurance, but without this card, trucks are not allowed to enter this geographical area. This card can also be obtained through a third country, but the cost is very high and affects the export of goods. The Central Insurance of the Islamic Republic of Iran is the main authority for the Green Card in the country and follows up on all necessary correspondence in this regard. Alongside the six-month suspension of the Green Insurance, the issue of visa issuance for Iranian drivers has also raised concerns about the exclusion of Iranian trucks from international road transport. According to Reza Rostami, visa issuance problems still exist for Iranian drivers, and among European countries, only Italy, to a limited extent, issues visas to Iranian drivers. In December 2023, reports emerged of Iranian trucks being delayed for a week behind the Belarus border in sub-zero temperatures due to the lack of visa issuance. A month later, Ali Mahmoudi, head of the board of the Iranian Federation of Transport and Logistics, reported the grounding of Iranian transit trucks at the entrances to European countries due to insurance and visa issues. He stated that this problem has allowed Turkish trucks to replace Iranian trucks on European routes, and transit cargo to Europe is being moved by Turkish trucks.