Andrey Kutepov, the chair of the Committee on Economic Policy in the Federation Council, proposed lowering the price of OSAGO for Russian-made vehicles. This initiative was reported by TASS, referencing a copy of a letter addressed to the Deputy Prime Minister and Head of State Personnel Dmitry Grigorenko. The document states that for domestic cars with a localization level of components exceeding 600 points, the cost of compulsory motor insurance could be reduced. The aim is to create more affordable insurance for homegrown vehicles while encouraging the purchase of Russian-made cars.
The letter calls for a reduction in OSAGO costs specifically for cars with a localization level of at least 600 points to stimulate domestic production. It notes that today the localization degree is a factor in public procurement contracts, meaning every passenger car must reach a minimum point level to be eligible for government tenders. Since January 1, 2021, the minimum threshold stood at 3.2 thousand points, rising to 4.5 thousand points on January 1, 2024. This framework ensures that public purchases favor vehicles with higher localization, aligning insurance policies with broader industrial goals.
Earlier reports indicate that Andrey Kutepov has completed work on a draft law designed to extend the car repair period under OSAGO, increasing it from 30 days to 45 days. The rationale behind this change involves several practical realities, including shortages of spare parts and disruptions in supply chains that complicate timely repairs. Under the current rules in Russia, penalties are imposed when vehicle repairs exceed the 30-day limit, creating pressure on repair shops and extending downtime for drivers. The proposed extension seeks to provide a more realistic timeline while maintaining accountability and service standards, recognizing the evolving landscape of automotive maintenance and material availability.