Cameras will follow OSAGO
Efforts to check the availability of mandatory motor insurance may begin to operate automatically at the start of 2024. Evgeny Ufimtsev, president of the Russian Association of Automobile Insurers, shared the update at the end of November.
“An important step is the recording of compulsory insurance policy existence through cameras, which is hoped to start in 2024. A working group has ironed out the methodological and organizational details. This system could be active in the first quarter of 2024,” Ufimtsev indicated in comments to Rossiyskaya Gazeta.
Originally, the MTPL inspection via cameras was planned for 2023, Ufimtsev noted.
Penalties for drivers lacking a valid policy would be issued once daily. The system would verify policy presence only for those who break traffic rules, with RSA estimating up to 70,000 violators detected daily nationwide. [Citation: RSA statements and regional press coverage]
Reduction in sentence
Starting September 1, 2024, a law will reduce penalties for non-payment of tolls on pay roads, according to TASS. The bill received approval from the State Duma in mid-2023.
The grace period for paying half of the fine will be twenty days.
The relief also covers fines for violations on regional, intermunicipal, and local roads, as well as on private roads open to public use. An amendment to Article 32.2 of the Administrative Code is part of the change.
Unified OSAGO system
The unified MTPL system for Russia and the Union State of Belarus is planned for rollout by October 2024, according to the parliamentary assembly’s press service.
Under the draft model law, residents will choose between contracts covering the entire Union State or contracts valid only in the country where the vehicle is registered.
Insurance coverage will align with the jurisdiction where an accident occurs. A move toward a unified compulsory motor liability insurance system involves transferring the duties of the automatic information system operator from the Russian Association of Automobile Insurers to the state bank’s oversight, explained Sergei Babich, head of the Bank of Russia department regulating property insurance. [Citation: Bank of Russia release and parliamentary commentary]
average speed
In 2024, new traffic rules may prohibit exceeding average speed. A relevant bill was expected to be introduced by the Russian Ministry of Transport in August 2023.
The explanatory note states that point-by-point instantaneous speed checks miss violations on long highway stretches, where the typical braking and acceleration pattern emerges in photo-video coverage.
The Ministry of Transport described average speed as the distance of a road section divided by the time a car spends traversing that section. The bill’s anticipated enactment date was March 1, 2024, and changes to traffic rules, the Administrative Offenses Code, and road camera placement rules were to follow. [Citation: Kommersant and ministry notes]
New rules for traffic cameras
From September 2024, a law restricting the use of video recording systems is set to take effect. The law outlines ten reasons for camera installation, including emergency road sections after certain fatal or multiple incidents. Cameras may also be placed in areas of road work, near stopping or parking prohibitions, bus lanes, intersections, pedestrian crossings, and other zones designated by traffic police.
Cameras may be installed at intersections where there have been four minor crashes without injuries previously.
Mobile cameras may be moved to address situations that prompted installation, such as the completion of road works or a drop in accidents. Removal decisions involve road owners, local authorities, and traffic police.
Local authorities will be required to provide the Ministry of Internal Affairs with accurate data on camera installations and recorded violations, with regions bearing the cost of maintenance.
Vehicle registration will be simplified
In early November, the State Duma approved in the first reading a bill to remove the MTPL policy from the list of documents required for vehicle registration when the owner changes. The law could come into force in 2024.
The initiative also allows vehicle owners to deregister if the vehicle is stolen or searched, helping drivers avoid notifying authorities about non-existent cars.
Short for “car”
From March 2, 2024, Russian drivers will be able to obtain MTPL policies for periods ranging from one day to three months. The State Duma explains that short-term policies will appeal to those who use their cars sporadically. Currently, policies can be issued for at least three months per year.
The Bank of Russia discussed plans to set a price ceiling for short-term policies in November 2023.
The central bank notes that the annual ordinary policy price should not be exceeded. Insurers will apply a discount factor based on contract length, and factors such as driver age, experience, and region will influence the price. The one-day policy is estimated at about one-fifth of the annual cost, with the average annual MTPL cost around 7,830 rubles and a one-day policy near 1,560 rubles, per a rate cited by Alexey Fomichev of socialbites.ca. [Citation: Bank of Russia and industry sources]
Tightening requirements for SIM
The government is tightening requirements for users of personal mobility devices in 2024. Signs will be added to traffic rules indicating stopping and parking rules for SIMs, and information about the vehicle may be recorded in a special registry similar to car registration.
Accidents involving electric scooters will be included in official reports by the traffic safety authority and Rosstat. A new penalties framework for SIM users is under consideration, including fines up to 30 thousand rubles for drunk driving and up to 5 thousand for speeding, carrying a child on a scooter, or leaving the scene of an accident. [Citation: Kommersant coverage and related regulatory notes]
Change of rights
Amendments to the federal Road Safety law will take effect on April 1, 2024. Those gaining residence permits or Russian citizenship must exchange their foreign licenses for Russian ones within a year. Foreign license holders entering Russia for the first time after obtaining local rights also have a one-year window to renew. Belarusian licenses are an exception. For driving a moped, motorcycle, or passenger car under foreign credentials, theory testing and a medical certificate are required; trucks and buses demand formal driving courses and testing.
Cars will be more expensive
Industry experts predict higher prices for new cars starting in 2024, with a potential increase of up to 10 percent across most segments. Factoring in exchange rates, dealer incentives, and discounts, manufacturers aim to balance pricing and consumer demand.
Used car prices depend on currency dynamics and ongoing logistics constraints that affect spare parts supply. A forecast suggests 2024 could see a 10 to 20 percent rise in new car sales. If the ruble slides further, a surge in demand for cheaper imports could push sales toward 1.4 to 1.5 million units annually.
Some industry voices expect only a modest 2 to 3 percent rise if the ruble stays stable. Market dynamics point to stronger dealer consolidation and a decline in gray-market activity, with buyers gravitating toward official dealers.
[Citation: industry analyses and market forecasts]