OSAGO may be terminated early with fair compensation

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They want to give Russian motorists the opportunity to cancel OSAGO contracts early with compensation in an amount that is proportional to the remaining term of the policy. The LDPR faction sent a relevant bill to the Cabinet of Ministers, said Yaroslav Nilov, deputy chairman of the faction.

He noted that the contract is now set up in such a way that the insurer is the winner, as compensation to the driver is calculated according to a certain formula.

*This material was created by a person who has the status of a foreign agent in the Russian Federation.

We believe the ratio should work: if a motorist does not use a vehicle for half the term and is willing to terminate the OSAGO agreement, half of the amount should be reimbursed to him, the MP explained.

Nilov added that after the conclusion of the OSAGO agreement, the circumstances of the car owner may change, for example, he was deprived of his rights, began to use the car only for a certain period of time, cannot repair the car due to lack of spare parts, or was called up for SVO.

  • Earlier it became known that the government’s approval was obtained through another initiative of the faction – shortening the minimum duration of the OSAGO contract to one month.
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Source: Izvestia

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