Rules for payments under compulsory motor liability insurance - how to choose money instead of repairs

In 2021, car repair under MTPL has changed the principle of operation. Now all payments have been completely replaced by repair processes. The rule has long gained legal force since the spring of last year and is popular among those people who took out a policy after the additions were made.

Until this point, people could choose whether to receive a financial equivalent payment or complete a restoration. Now there is only one option left. If the culprit took out a policy after April, then he may completely forget about the payment. And six months later, a new change came in, when a collision occurs with the participation of two or more participants. In addition, the assessment will be carried out without taking into account wear and tear.

What was the old law?

The expired rules were based on the fact that the owner could receive two ways to reimburse his funds:

1. All funds were transferred to the owner of the vehicle, after which he carried out restoration operations.

1. The money was transferred in full to the official account of the service station, and the difference was paid at the expense of the person. At the same time, the procedure was carried out without money.

The injured party could take all the money and refuse possible repairs. This was used by many lawyers who filed claims for large sums of money in order to return the difference to the injured party. This is what caused the emergence of many scammers who deliberately set up their cars for accidents. Now that the new regulation has come into effect, car owners have no choice. At the same time, they can only repair their cars at special stations.

Changes to MTPL rules in 2021

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).

What changes have you made?

If we talk about changes in the law, then first of all you need to look at the algorithm of actions of each car owner.

This may include:

1. The owner of his own car finds himself in some kind of accident.

1. The car is transported to the nearest place for repair and restoration processes.

1. Representatives of the insurance institution, after completing all the procedures, paid the bill for the restoration and the necessary spare parts. Reviews from customers after this became much worse.

However, cash payments have not been canceled for all existing categories of citizens. This includes only those owners who have been registered in our country and use cars right there.

What are the features of the law?

If we talk about the peculiarities of the law, there are a lot of them.

These include:

1. Who will pay the funds? If an incident occurs, then one of the members of the insurance team comes to the site, carries out a preliminary inspection, and also schedules dispatch for repair processes. When restoring the condition, the latest materials are always used. If the spare part has already been used, then a special report is drawn up with a representative of the organization. But according to the current legislation, he does not have the right to sign it and give his approval. This is not within the scope of the current legislation.

1. How are restoration costs reimbursed? The costs that are provided for during restoration are calculated using special formulas that take into account various coefficients. If funds were spent on painting parts, then according to the estimate they will not be included in the final amount. Payment will be calculated not based on a check from one station or another, but taking into account the information collected at all points for repairs. It can be found in special books. If the money allocated by the insurance company is not enough, then the difference is reimbursed from the funds of the injured party.

1. What is the time frame for the procedure?

ATTENTION !!! A document on referral for repair of the original condition is issued within 3 calendar weeks from the deadline for submitting the application.

If the work is carried out at a service station that is not included in the existing list, then the delay may be observed up to 1 calendar month. The same amount of time is also allocated for carrying out repair processes from the moment the transport arrives at the station for work. An increase in execution time is possible and foreseen. But it only happens when the repair is a complex procedure, and the injured citizen agrees to the procedure. If the period is delayed, the insurance company pays a penalty in the established amount.

1. What about the warranty? Many car owners have a question of this nature. It must be remembered that if the body is restored, the warranty is provided for 12 months. In all other situations, the period is reduced by half.

1. Where can I get my car repaired? The entire list of service stations will depend on one or another insurance company. Each representative has his own separate list of companies with which contractual relations have been concluded. There are many options, but the decision will be made for each person individually. In addition, according to legal requirements, the service must be located at a distance of up to fifty kilometers from the traffic accident or from the registration of a meter of the injured party. Perhaps the insurer will offer to pay for evacuation services, but a person may prefer completely different stations.

1. What to do when your personal vehicle is under warranty? According to current legislation, insurers have the right to send such vehicles to service stations where a certain brand can be serviced.

ATTENTION !!! If options for repair organizations are not offered or are not provided for, then restoration takes place in absolutely any automobile workshop. The owner of a personal vehicle must agree to the conditions provided. If the owner refuses, then he can take the money.

But, this is carried out only if the car is under 2 years old and was purchased from an official dealer. This is quite a big drawback because many dealerships provide a 3 to 5 year warranty on their cars.

1. How to choose a service station? When you first take out a policy, you can specify a specific service. This is where your car will be brought when an accident occurs. But, there is some derogation according to the agreement of Rosgosstrakh, when a person can choose another service station that is not on the lists. In addition, all contractual obligations must be indicated in applications. The permit must be in writing, and if any conditions are not met, the owner may demand monetary compensation.

1. What to do when renovation work does not meet expectations? If you are faced with a situation where the station takes a long time to make repairs or has done it poorly, then the owner can file a claim in writing. At the same time, he indicates a request to eliminate all deficiencies. If a person is dissatisfied with the repeated result, then he can demand compensation or go to a judicial authority for proceedings.

Repair under compulsory motor liability insurance and its features

As already mentioned, when insuring motor third party liability, the insurance company is obliged to compensate the losses of the injured party. At the same time, starting from 2014, the insurer can both pay out funds and issue a referral to the station.

Repair procedure at the station:

In what cases is compensation received?

You can receive monetary compensation if you know about the timing and nuances. But to do this you need to know the list of situations when this should be done.

These include:

1. The car cannot be restored at a particular station.
2. A regular customer died, and the victim’s relatives do not agree with the restoration.
3. There is an agreement between the two parties that will be presented for evidence.
4. The victim has serious health problems and travels in a specialized vehicle.
5. The payment is not enough to carry out the required repairs.
6. The injured party suffered greatly. The car owner prefers to receive a refund in money.
7. The insurer and the victim agreed that the refund would be made in the form of a cash payment.
8. The injured person, who has a car under warranty, did not find a suitable service station on the list.

For harm to health

Compulsory motor liability insurance is paid to citizens who were injured in an accident - this is the driver (not at fault in the incident), passengers, pedestrians, cyclists and other persons injured in the accident and, in the event of death, their heirs (including family members and citizens under a will) . For injured individuals, there is a wide range of expenses that the insurance company must take into account in payments, but if injuries can be treated under the compulsory health insurance system, the chances of receiving additional money are reduced.

Payments are made in proportion to the damage received. Reimbursable expenses are as follows:

• provision of first aid;
• diagnostic study;
• treatment and stay in a medical facility, including food, medications, medications and special materials;
• prosthetics;
• loss of earnings due to disability.

When determining the disability of the victim

If the accident causes damage to the life and health of the victim, a full examination is carried out. The amount of payment under compulsory motor liability insurance is determined by the damage caused on the basis of a medical report:

In the event of the death of the victim

In the event of the death of a participant in an accident, compensation for harm is received by persons entitled by civil law to compensation in the event of the death of the breadwinner (in their absence, these are the spouse, parents, children and persons who depended on the deceased). The family receives funeral funds of no more than 25,000 rubles and also compensation for damages of 475,000 rubles.

Why do you have to pay extra if you are not at fault?

It must be remembered that all payments are calculated only according to a special directory. It takes into account a large number of indicators that affect the final expenditure of funds. The owner cannot independently decide on the brand of oil that is poured into the car or the installation of spark plugs that he purchased and constantly installed. All indicators are written down in a special directory, and the insurance company itself decides what needs to be applied.

But, when you want to reduce costs, you can use old devices. This agreement is usually in writing and agreed upon with the insurance company. Even when you are not guilty, you must pay for all procedures. But, according to the law, you can demand payment from the culprit. All this is resolved either immediately after the accident, or in accordance with the established judicial procedure.

Rules of insurance payments

All issues related to “automobile civil liability” are regulated by Federal Law No. 40-FZ of April 25, 2002 “On OSAGO...”. On its basis, the company is obliged to compensate for damage caused by the policyholder:

• life or health of the victim;
• property (vehicle) of the person injured in the accident.

The legislator points out that the person found to be at fault for the accident is not entitled to compensation. The maximum payment limits are reflected in Federal Law No. 40 and are:

• 500,000 rubles for causing harm to the health of third parties;
• 400,000 rubles for compensation of property damage;
• 50,000 rubles for car repairs if the Europrotocol has been issued.

Important! If several people are injured as a result of an accident, each of them can claim the maximum amount of payment.

In 2021, compensation can be received in one of two ways:

• in kind (car repairs or payment for treatment of victims);
• in monetary terms.

When an insured event occurs, in order to receive payment under compulsory motor liability insurance, you must notify the company about the incident on the day of the incident. Additional time is allocated for collecting documents and submitting them to the office (usually 5 days).

Then there are two possible scenarios:

• after receiving a complete set of papers, the company must consider the victim’s application, decide on payment and compensate for damage within 20 working days;
• if the insurer intends to refuse compensation for losses, then it must provide its decision in writing within the same period.

If not all documents were transferred to the company, then the insurer is obliged to notify the victim about the missing papers. This is done within the time limits specified by law:

• within 3 days if the documents were sent by mail;
• on the day of submission of the application and documents, if the victim submits the papers in person.

In case of delay in the transfer of compensation, the insurer will have to pay a penalty to the victim. Its amount is 1% of the due amount for each day of delay.

If the insurer issues a referral for repair of a damaged car, then by law restoration work cannot take more than 1 month. If this deadline is not met, then for each extra day the car is at the service station, the company is obliged to pay compensation to the victim. The fine is 0.5% of the cost of repairs for each day of delay.

Important: if legal proceedings have been initiated regarding the accident, the company has the right to defer payment of insurance until the end of the process.

The insurance company may refuse compensation to the victim. There are several reasons for this decision:

• one of the participants in the accident left the scene before the traffic police arrived;
• the victim did not present the car to the insurer for inspection;
• an invalid MTPL policy was presented;
• the insurer's license has been revoked;
• the victim did not submit a complete set of documents to the Investigative Committee.

If the reason for the refusal to compensate for damage was the revocation of the license, then you must contact the RSA to receive compensation payments.

Important: if the policyholder disagrees with the decision made by the company, he has the right to appeal it in court. 10 days are allotted for filing claims after receiving a reasoned refusal.

If the policyholder does not agree with the amount of compensation that was determined by the insurance company, then he has the right to have the damage to the car assessed by an independent expert. If, based on the results of the inspection, the damage turned out to be greater, then the victim can also defend his rights in court.

Important! It is advisable to go to court only if the difference in the amount of compensation calculated by the Investigative Committee and an independent expert exceeds 10%.

What to do with a policy that was issued before the innovations?

If you took out a policy before major amendments were made, you can resort to a determination with a final method: cash reimbursement or full repayment of the repair bill. As soon as the documents are valid, you must carefully and very carefully approach the selection of a particular specialist.

IMPORTANT !!! You need to take a closer look at the list of all service stations with which insurers have entered into a cooperation agreement. You should take into account the location, duration of procedures, as well as transactions with certain brands.

In addition, you need to pay detailed attention to the collection of receipts for repair procedures. They may be needed for legal proceedings. When you have an accident, you need to ensure that all the paperwork is completed. This will help recover all losses with the help of the insurance company.

What to do when buying a car?

If you just want to buy a car and keep all warranty obligations, then ask the dealership for a list of all service stations. After this, select the option of the organization that will subsequently provide the opportunity for service at the selected service station. If the insurance company does not have a contract, then try to negotiate either a referral to this particular station or compensation in cash. If you are purchasing a used car, then ask for all receipts for purchased and installed spare parts. If you are purchasing an expensive car, then analyze whether you can pay off the difference during restoration with your own funds.

As you can see, the new changes in the law only brought a number of misunderstandings on the part of regular customers. And for honest people they have become a kind of problem, because if the repayment amount is exceeded, a person must pay a certain amount from his own financial resources. But in order to take advantage of the law and rights, you just need to study the information provided in detail and find several serious loopholes.