Glossary of Insurance Terms

Loading fee is an increase in the premium charged to the insured for a specific period, for example, two years after the insurance policy becomes active. The main reason for this fee is the increased risk associated with the vehicle due to the aging engine.

The rules regarding loading fees are as follows:

• For all risk insurance products, a 5% annual premium increase is applied to vehicles over 5 years old.
• For TLO (Total Loss Only) insurance, a 5% annual premium increase applies to vehicles aged 5, 10, and 15 years, depending on the policies of each insurance company.