A discussion is underway about expanding car liability coverage. For an additional payment, Russian car owners could extend their MTPL policy to include Belarus. This change is being considered as part of ongoing reforms in the insurance sector, with officials outlining the potential option that would let drivers voluntarily add Belarusian coverage when desired.
Under the proposed arrangement, extending MTPL to Belarus would be initiated at the policyholder’s request. It would not be automatically included in existing contracts, meaning customers must actively choose to add Belarus coverage rather than receiving it by default.
Once the proposal advances into law, the tariff for the additional coverage would be set following parliamentary approval. The price structure would be defined by upcoming legislative changes, reflecting the new cross-border policy option and any accompanying regulatory guidelines.
Earlier discussions at the highest levels of government indicated that officials are preparing a bill to empower vehicle owners to extend MTPL protection to Belarus if they wish. This legislation contemplates a mechanism by which drivers can access broader coverage without departing from the current MTPL framework, aligning with broader efforts to offer flexible insurance choices while maintaining core protections.
If the changes take effect, they could become operational in the near term, with potential implementation anticipated as early as the start of October. The aim is to provide convenience for drivers who travel or reside near the border, enabling them to secure extended coverage without incurring unnecessary additional charges for the entire policy period.
There is a broader discussion about the future of compulsory motor liability insurance. Officials have signaled a willingness to reconsider pricing models in the medium term, potentially moving toward more liberal terms that reflect real-time risk assessments. Yet there are substantial considerations and obstacles to overcome before any major reforms can be adopted, including regulatory, consumer protection, and market stability concerns.
In the near term, a representative of the central banking authority indicated that short-term MTPL policies with flexible tariff structures have begun to be piloted as of March 2024. While this experimental pricing model shows promise, the central bank cautions that it is premature to extend such pricing to annual MTPL policies. The absence of consumer complaints about these flexible practices could bolster arguments for broader adoption, but the authorities emphasize the need for careful evaluation and incremental steps to ensure market resilience.
Previous legislative activity has touched on related topics, including proposals to adjust the car repair period under the MTPL rule set. These discussions reflect a broader agenda of aligning policy frameworks with practical needs of drivers and insurers, ensuring that coverage remains relevant and responsive to current driving patterns and repair timelines.