In the Russian Federation, to drive a vehicle you must have civil liability insurance. If you drive a vehicle without a policy, you will be subject to administrative liability in the form of a fine.
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Compulsory insurance was introduced in order to protect the health and property of citizens. In other words, a certain amount is paid under the policy in the event of an accident. Let's consider the features of compulsory insurance, and in particular the maximum payment indicator.
The concept of maximum payment under compulsory motor liability insurance
A fairly common question is what is the maximum amount of payments provided in the event of an accident and an issued insurance policy.
When considering the concept of maximum payment under compulsory motor liability insurance, attention should be paid to the following points:
- If the driver enters into an agreement with an insurance company, upon the occurrence of an insured event, the insurer is obliged to pay compensation. The guarantee in question is valid for the period for which the contract was drawn up. In other words, it does not matter how many times the vehicle gets into an accident during the term of the contract. If the car was driven legally, then the likelihood of receiving compensation for an insured event is high.
- The maximum payment amount depends on the expert assessment. In this case, you can use the services of independent experts, but often the insurance company insists on the work of its employee.
When considering the maximum payment indicator, it should be taken into account that it is the same for all insurance companies.
Is it possible to recover the difference from the person at fault for an accident?
You can convince the second participant in the accident to arrange everything through the traffic police by describing to him the second option for the development of events - collecting the difference directly from him.
The fact that you filed an accident under the MTPL Law according to the established rules does not exempt the culprit from full compensation for damage under civil law.
The culprit will be obliged to compensate you for the difference between the payment under compulsory motor liability insurance and the market cost of repairs, even though the accident was registered under the European protocol.
That is why the culprit, more than anyone else, is interested in the correct calculation of the approximate damage when choosing a method for reporting the incident and further increasing the insurer’s limit, if necessary.
If you have just such a situation when the damage exceeds the limit of the European protocol under the compulsory motor liability insurance policy, then here is an example of judicial practice from the Armed Forces of the Russian Federation with an analysis of such a situation and recovery of the difference from the tortfeasor.
What determines the maximum payment under the policy?
The maximum payout amount for a policy depends on a variety of factors. Moreover, almost immediately after contacting the insurance company, its employees begin to look for ways to reduce insurance compensation, since the insurer’s expenses depend on this.
Each driver is a kind of client of a company that provides insurance services. However, consumer protection is provided in all areas, including in the insurance sector. If the insurer tries to avoid costs by illegal methods, there is a penalty, which may include revocation of the license.
An independent examination becomes the basis for determining the payment amount. The following points may affect the amount of payments:
- The actual value of the property at the time of its damage. If the car was damaged, the vehicle’s inspection report becomes proof of its technical condition. In other cases, significant problems may arise in determining this indicator.
- Additional expenses are also taken into account, as is the value of the property. An example is a situation where a car needs to be transported to a parking lot or service station - the tow truck service will also be included in the costs.
- In cases where insurance compensation is carried out due to injury to health, the doctor's opinion is the main factor. At the same time, additional expenses include the purchase of necessary medications, payments to clinic staff for the provision of care services, and so on.
To ensure that the insurance company does not have the opportunity to significantly reduce the amount of compensation, you should confirm all your expenses with checks, contracts and other documents. If the reason for payments is witness testimony, the process can be significantly delayed and turn into a protracted trial.
Deposit insurance conditions
Refund for individuals to persons who had finances in the financial institution in relation to which the insured event occurred, is paid in full. However, the maximum refund amount is 1.4 million rubles. Moreover, the refund is carried out immediately for all deposits placed in one or more banks.
If the money was placed in any foreign currency, then it will be possible to receive it only in rubles relative to the exchange rate set by the Central Bank of the Russian Federation.
The following events may be considered as an insured event:
- revocation of the license authorizing the bank's activities;
- introduction of a moratorium from the Central Bank of the Russian Federation , which makes it possible to satisfy the demands of depositors.
For escrow bank accounts that are created for the purpose of making payments for the purchase or sale of real estate, payment in full is intended. But at the same time, the maximum paid amount is 10 million rubles. Moreover, money from escrow accounts is paid separately from payments on other deposits.
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Maximum payout amount this year
Of course, the maximum amount depends on the specific situation, but the maximum values are established at the legislative level by Article 7 40-F3.
Considering the information regarding compulsory civil liability insurance, we note the following points:
- In the event that the driver, passengers or others suffer in an accident, the maximum insurance payment is 500,000 rubles.
- In the case where only property was damaged, the maximum payment is 400,000 rubles.
Also, the established rules for registration of compulsory motor liability insurance indicate that in the event of a death, the injured party may be paid 135,000 rubles 25,000 rubles are allocated for reimbursement of expenses for funeral services .
Another interesting point is that if damage is caused to the victim’s health during an accident, from the moment the insured event occurs, when calculating the maximum amount of payments, treatment costs, the purchase of medicines and other expenses can be taken into account.
To do this, it is enough to provide various receipts and documents to prove expenses due to injuries during an accident.
Changing the limit under the Europrotocol
Important innovations of MTPL are valid from 09/25/2017.
They relate to compensation for losses, repairs, the procedure for issuing insurance forms, the timing of inspection of a damaged car and the financial side of compensatory payments from compulsory motor liability insurance and the cost of the policy itself. A new option for in-kind compensation - repairs - is already applied for insurance after April 28, 2021. Regardless of the term of the contract, the new rules provide for payment of damage in the event of a collision of several (two or more) vehicles.
In 2021, MTPL forms will be equipped with a security QR code, which makes information about the policyholder available online: you can check the authenticity of the insurance via the Internet from anywhere. According to the new legislation, car owners can expect not only increased rates for insurance services, but also a multiple increase in the amount of coverage.
The amendments suggest a possible change in the price category of the vehicle user and the calculation of the coefficient determined by the number of accidents during previous driving periods and their severity, which ultimately leads to an increase in tariff rates.
The introduction of changes affects the price category of the MTPL policy and the calculation of the bonus-malus coefficient (BMC), which determines the cost formation. A driver who does not have an accident in a year receives a discount, or otherwise, he will face an increase in the price of contributions for the next year. The new calculation for compulsory motor liability insurance depends on the number and severity of accidents during the previous driving time and is formed from:
- region of registration of transport;
- age and length of service of the policyholder;
- machine power;
- the number of persons with insured liability under compulsory motor liability insurance;
- insurance validity period;
- owner status (individual, legal entity).
The damage caused to the car and its owner as a result of an accident can actually cost the insurer a multi-million dollar amount, therefore the maximum amount of payments under compulsory motor liability insurance in case of an accident is limited at the legislative level.
The payment limit in force this year 2021 was approved back in 2015. Thus, the 2021 compulsory motor liability insurance payment and the maximum amount are calculated as follows:
- the property payment should not exceed 400,000 rubles;
- in terms of damage to health and life should not exceed half a million rubles.
Procedure for considering situations
After it became known what the maximum amount of payments under compulsory motor liability insurance is, many people want to know the exact amounts that they will receive as a result of a particular case.
The amount of maximum insurance payments is fixed in the Federal Law “On Compulsory Motor Vehicle Liability Insurance” No. 40-FZ. The law was initially adopted on April 25, 2002, and then was amended several times. The current version of the law partially came into force on July 1, 2016, and finally came into force on October 1, 2016.
This point must be taken into account. Today, when applying to an insurance company for payments, the limit on the amount of compensation depends on the date of conclusion of the insurance contract under the MTPL system.
READ MORE: Dependence of compulsory motor insurance on length of service and age
If the car owner entered into an insurance contract before October 2016, the insurer will pay at the rates established by law at the time of registration of the contract.
What is the maximum amount of compensation under compulsory motor liability insurance?
According to Art. 7 of the Law on Compulsory Motor Liability Insurance, as amended, the maximum payment for damage to a car in an accident is 400 thousand rubles, and for causing harm to life or health - 500 thousand rubles.
It should be remembered that the insurer, when calculating the amount of compensation for a specific insured event, takes into account many factors. For example, the nature of the damage received, the degree of wear and tear of the car, etc. Therefore, the final insurance amount will be less than the maximum limit established by law.
Payments have also been increased in the event of the death of a victim in an accident. The insurance company will pay the maximum compensation to the dependent of the deceased driver, who was the injured party in the car accident, in the amount of 475 thousand rubles.
If the burial of a motorist who died in a traffic accident is handled by other people, and not the dependent who received compensation, then they will be able to contact the insurance company and receive 25 thousand rubles under the OSAGO policy of the deceased.
The insurance limit under the European Protocol has been doubled since 08/02/2014. Today, the maximum amount of compensation under the Euro Protocol is 50 thousand rubles.
With the increase in the number of appeals from motorists to the courts about non-payment by insurance companies of compensation for damage received in an accident, the legislator adopted new rules on September 1, 2015. Insurers are required to compensate for damage within 20 working days from the moment the injured driver submits a package of documents.
This norm is fixed in Part 21 of Art. 12 of the Law on Compulsory Motor Liability Insurance. The clause states that the insurer can not only make a compensation insurance payment, but also issue a referral for car repairs indicating the repair period. When an insurance company enters into an agreement with a service station and offers victims to have their car repaired there, such actions by insurers are called compensation for damage in kind.
If the insurance company has decided to refuse insurance payments, then a letter of such refusal must be sent no later than the same 20 calendar days. Delaying payments or sending a refusal letter after the deadline is punishable by severe sanctions.
READ MORE: Refund of insurance premium upon termination of the insurance contract
For each day of delay in payments, a penalty of 1% of the amount of compensation is charged. If the decision to refuse payment is delayed, the penalty for each day will be 0.5% of the amount of insurance possible for this case.
When an insurance company unreasonably underestimates the amount of damage suffered by a victim in a car accident and accordingly calculates a lower amount of compensation, then a significant fine may be imposed on it for such actions. The maximum fine for the insurer is 50% of the amount that had to be paid.
According to current practice, if the insurance company has paid little or delays compensation for damage, it is necessary to contact an auto lawyer to prepare and file a pre-trial claim. If such actions do not lead to the expected result, then it is necessary to file a claim in court. It is the court that will determine the amount of compensation and the amount of the fine for each day of delay.
The requirements for the deadlines for victims to submit documents to the insurance company and for reporting an accident have become more stringent. Thus, when drawing up a Europrotocol, each driver must call his insurer as soon as possible to record the accident.
It is necessary to report the time, place, circumstances of the collision and briefly describe the damage received. The package of required documents, including an application for payments, must be submitted no later than 5 working days.
How can you get the maximum amount of compensation after an accident?
There are several points that you can take into account to increase your chances of receiving maximum payouts. It is worth remembering that it is the wrong actions of victims, participants and perpetrators of an accident that become the reason why the insurance company can avoid expenses.
Driver actions after an accident
- You should turn off the engine and turn on the hazard warning light.
- The first steps after the driver has regained consciousness are to assess his physical condition. If everything is in order, then you need to assess the condition of other participants in the accident. If necessary, an ambulance is immediately called. If people are on the roadway, then in some situations it is necessary to pull them to the side in order to prevent a collision. Before the ambulance arrives, you must provide medical assistance yourself.
- You need to call the traffic police and tell them about the accident and where it happened.
- An emergency stop sign should be posted.
- You can avoid problems with insurance payments by calling a specialist from the insurance company with which the contract was concluded. The telephone number is indicated in the policy.
- It is forbidden to move vehicles or other objects before the arrival of traffic police officers.
- Witnesses to an accident will help you avoid most problems. Therefore, if there are passersby around, you should ask whether they witnessed the incident.
- You should take photographs of the current situation at the scene of the accident yourself.
- You need to familiarize yourself with the protocol drawn up and, if the inspector has stated everything correctly, sign it.
Necessary documents to receive insurance payment
- Fill out a statement about the accident.
- Based on the fact of the incident and the investigation, a certificate of innocence is taken from the traffic police officers. There is no point in contacting the insurance company until the proceedings are completed.
- When applying, you will be provided with a passport, driver's license and the insurance policy itself.
- The examination by the insurer must be carried out within 5 working days.
If you do not agree with the expert assessment of the insurer and the specified amount that will be reimbursed, you cannot sign the contract.
Payment terms
After 5 days have passed from the date of the proceedings, from the moment the application is submitted, the insurance company has 20 working days to fulfill its obligations to the client. These deadlines are established at the legislative level and there is no reason to exceed them.
What to do in case of refusal?
What if the insurance company refuses to pay compensation or significantly underestimates the amount of compensation?
The ways to solve this problem are as follows:
- You can contact an independent expert to assess the damaged property.
- All problems that arise between the insurer and its clients are resolved through the courts.
It is best to go to court with a lawyer who has experience, since insurance companies are represented by experienced lawyers.
Is it worth filling out a notification in case of an accident?
If we write that a European protocol will have to be drawn up in case of any accident, many drivers will be surprised and think that we are writing some kind of nonsense. But in fact, it is so... Let's explain why!
The Europrotocol is not the official name of the document, but only a “popular” definition of how to register an accident without the participation of the traffic police. In reality, the victim or both drivers will have to fill out an accident report. This is the name of the self-copying form that is issued by insurers when concluding an MTPL contract.
And we can say that this very notice must always be filled out, in case of any incident - at least for the victim who intends to apply for compensation under compulsory motor liability insurance due to an insured event. Why is that?
- In December 2021, changes were made to clause 2.6.1 of the traffic rules, after which, even if drivers decide to pay on the spot and not file an accident under compulsory motor liability insurance, they will have to fill out a notification of an accident in order to leave the scene of the accident.
- If drivers decide to file an incident under compulsory motor liability insurance without calling traffic police inspectors, they will have to jointly fill out a European protocol.
- But even if the accident is registered with the participation of employees, and the victim decides to apply to the insurance company for compensation under compulsory motor liability insurance, the set of documents for payment includes a notification of the accident, which the victim will have to fill out one way or another.
Thus, we can say that there is no escape from filling out a notification in case of an accident.
Methods of insurance companies to reduce the amount of payments
As previously noted, insurance companies seek to reduce their costs through various tricks.
The most common points are the following:
- Conclusion of a civil insurance contract on unfavorable terms.
- Some insurance company employees arrive when called before the road accident employees and supposedly help fill out documents. In practice, they make sure that the documents will lead to a significant reduction in compensation.
- Some companies offer a certain amount immediately, without waiting for the results of the examination. It is much less than what should be paid. In other cases, the employee takes the documents and deliberately stalls for time to carry out the assessment - the owner cannot stand this and begins to restore the car, after which the assessment is carried out.
If the amount of damage in an accident is large, then it is best to hire a lawyer - he will help you avoid all the tricks on the part of the insurance company or another participant in the accident.
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Didn't find the answer to your question? Find out how to solve exactly your problem - call right now: +7 (Moscow) +7 (812) 309-53-42 (St. Petersburg) It's fast and free!
