KAWIT, Cavite — The municipal government of Kawit, Cavite failed to insure 21 government-owned motor vehicles valued at P22,465,455.00 in 2023, exposing them to financial risk in case of damage or loss, the Commission on Audit (COA) reported.
In its latest audit findings, COA said the vehicles were not covered by property insurance under the Government Service Insurance System (GSIS), violating Section 5 of Republic Act No. 656, or the Property Insurance Law.
The law requires first-class municipalities, such as Kawit, to insure their properties against risks like fire, earthquake, and storms.
“The non-insurance of the government motor vehicles exposed government properties to risk of damage or loss due to fire, earthquake, storm, or other casualty without adequate and reliable financial protection,” COA said in its report.
Under the administration of Kawit Mayor Angelo Aguinaldo, the Kawit municipal government allocated P707,495.52 for insuring its buildings and motor vehicles in 2023.
However, COA’s audit of disbursement vouchers and the Report on the Physical Count of Property, Plant, and Equipment (RPCPPE) revealed that the 21 vehicles were left uninsured.
COA urged the municipal mayor Aguinaldo to ensure compliance with the law and protect public assets through proper insurance coverage.
The municipal government has yet to release a statement regarding the audit findings.
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