GOVERNMENT auditors have found 230 motor vehicles worth P110.28 million belonging in the service fleet of the Department of Justice (DOJ) not covered by insurance.
The uninsured vehicles comprise 67 percent of the 343 motor vehicles in the list of agency assets, including those used by the central office and various regional offices.
Of these, 59 units are assigned to the Witness Protection and Security Benefits Program (WPSBP) of the DOJ.
The Commission on Audit said insurance for government properties is mandatory under Section of RA 656 or the Property Insurance Law and Presidential Decree No. 245.
COA Circular No. 92-390, on the other hand, required that insurable assets be covered under the General Insurance Fund (GIF) of the Government Service Insurance System (GSIS).
“The non-compliance to the requirements to all insurable physical assets denies the government adequate and reliable protection against any damage to or loss of its properties or assets and interests due to fire or natural calamities, or other fortuitous and/or unforeseen events,” the audit team pointed out.
It recommended that all insurable motor vehicles be placed under the coverage of the General Insurance Fund to enable the agency to claim compensation in case of damage or loss.
Likewise, the COA required the submission of a status report on all uninsured motor vehicles to ensure compliance.
