Out of the insurance services range offered, motor insurance enjoys the greatest demand among the population and organizations.
Just as well as household insurance, motor insurance is comprehensive and consists of several interests insured.
The first interest insured of motor insurance is the vehicle itself (a car, a motorcycle, etc.). This type of insurance is designated by the “
CASCO” term.
The second interest insured of motor insurance is the
liability risk for causing damage to property or harm to the life and health of other road users as a result of a road traffic accident (RTA) through the fault of the driver (vehicle owner). There are two liability types - compulsory (
CMTPL) and voluntary (
VMTPL) insurance.
CASCO means “protection” in Italian.
Motor insurance includes payment for damage, destruction or loss of a vehicle as a result of: a traffic accident, natural disaster, fire, damage from a rebound or falling object (for example, a stone bouncing away from under the wheels of another car), illegal actions of third parties (for example, hooliganism) and misappropriation.
Compulsory Motor Third Party Liability (
CMTPL) is provided for by law. The law establishes the same insurance amounts for everyone - the limits of insurance claim payments made by insurance companies - and provides for unified insurance premiums (irrespective of the insurance company), which are approved by a decree of the Government of the Russian Federation. In accordance with the Law “Concerning the Compulsory Insurance of the Civil Liability of Vehicle Owners”, the valid limits are established as follows: 160 thousand RUB - for causing damage to property; 120 thousand RUB - for causing harm to the life and health of third parties (per each victim).
Voluntary Motor Third Party Liability (
VMTPL) may be obtained by insureds by way of concluding relevant agreements with insurance companies, if they believe that the limits provided by the CMTPL policy may not suffice to fully compensate for damage caused to third parties in the event of an accident arising through their fault.
The insurance agreement establishes
exclusions - those events in which the insurance company is not obliged to pay insurance compensation.
