Automobile Club Luxembourg (ACL) today released an open letter sent by the company to Luxembourg's Minister for Home Affairs, Dan Kersch, regarding an announced taxation of car insurance premiums.
In his letter, ACL President Yves Wagner requested the Minister offer further explanation of the reasons behind the suggested 3% extra tax following the reorganisation of the country's response services.
Mr. Wagner continued by citing a recent STATEC report which found that transport represented the second highest expense for Luxembourg households in 2013. Wagner stated that a significant part of this expense was created by various acquisition, use and maintenance taxes for motorists, as well as numerous legal obligations that accompany this such as technical tests and civil liability insurance.
Mr. Wagner went on to claim that unless the proposed reform in some way benefitted the motorists who would be forced to financially contribute to it, the additional tax would be wholly unfair. The ACL president stated that, on behalf of the more than 170,000 members of the association he was heading, the government needed to offer further details on the proposed reorganisation and reformulated costs and the reasons which had instigated them.
The ACL announced that it would state its position on the issue upon reception and subsequent analysis of a response from the Minister.