On October 29, 2019, a new version of the law on OSAGO came into force in Russia, to which many amendments were made. First of all, it is worth noting the tightening of requirements for filling out policies.
So, if in the OSAGO were indicated inaccurate information that led to a decrease in the premium due to the insurer, then the latter has the right to use the recourse claim. In other words, he will compensate the victim in an accident, but after that he will recover the losses incurred directly from the perpetrator of the accident.
Previously, this was only relevant when buying OSAGO online, but now this rule has extended to ordinary “paper” policies. This was done in order to combat unscrupulous intermediaries who sell cheap insurance, while indicating in the papers deliberately false information regarding the power of the car, the place of its registration and the driver’s experience.
Note that all these factors directly affect the size of the insurance premium, and if they are indicated incorrectly, then you can achieve its reduction, while reducing the cost of the policy itself. This is what unscrupulous brokers use, who give a correctly completed policy to the motorist, but send slightly different data to the insurance company, while the difference in the price of the policy settles in their pocket.
Commenting on the new version of the law on OSAGO, the President of the Russian Union of Auto Insurers (RSA) Igor Yurgens urged motorists not to pursue savings by purchasing cheap policies, since the latter may be filled incorrectly, which, when an insured event occurs, is fraught with serious losses for the driver. He also recommended checking his current insurance coverage through special online services available on the PCA’s official website.
Note that from now on, insurers can use the right of recourse not only in case of incorrect filling of policies. So, the perpetrator of the accident will have to compensate for the damage from his own pocket, if at the time of the accident he was drunk or was under the influence of narcotic / psychotropic substances. Plus, a regressive requirement can be made for refusing to undergo a medical examination.
New amendments to the law on OSAGO also provide for a tougher policy registration process. Firstly, the contract itself is now concluded not by some abstract policyholder, but directly by the owner of the vehicle. When registering, he will need to provide a document confirming that the car is really in his ownership.
If insurance is issued for a tractor or any other self-propelled road-building equipment, then it will be required to present the passport of this self-propelled vehicle, a certificate of a tractor driver, as well as a certificate of technical inspection. All this is again intended to complicate the life of unscrupulous intermediaries.
If the owner of the vehicle does not provide all the documents or errors are found in the application, the insurer is obliged to inform him on the same day about the need to bring the missing papers and / or correct the errors. In the meantime, this will not be done – it is impossible to pay for the policy on the insurance website.
Some innovations also affected exclusively electronic OSAGO policies. For example, in the new version of the law, the need to issue an electronic contract on a form was abandoned, and now it can be printed simply on paper.
As for the verification, the electronic OSAGO policy can be provided both on paper and in the form of an electronic document (for example, from a smartphone screen). However, for the time being, car owners are still recommended to have a paper version with them, since the corresponding changes in the traffic rules have not yet been made.
See also: OSAGO is promised to be made cheaper: but it will not be easy to get a discount