The updated bonus-malus insurance rate coefficient (BMF) for OSAGO policies goes into effect on April 1, 2022, applying to contracts signed through March 31, 2023. This once-a-year adjustment is tied to the annual MSC assessment for every driver and is designed to reward careful, accident-free behavior while penalizing those who are frequently at fault. In practice, drivers who avoid collisions can look forward to more substantial discounts, whereas those with a track record of at-fault incidents may face higher costs on their OSAGO coverage.
From this update, the minimum coefficient used to calculate the insurance premium decreases—from 0.5 to 0.46—while the cap on the maximum discount for accident-free driving rises by four percentage points to 54% (up from 50%). The ceiling for the CMP, or the coefficient for drivers with risky histories, also increases to 3.92 (up from 2.45). These shifts are illustrated clearly in the accompanying infographic.
The adjustment aims to create a fairer OSAGO pricing model, a point highlighted by the public information initiative “OSAGO: public expertise.” The intended effect is to better align premiums with individual driving behavior, reinforcing the incentive to drive more safely and avoid accidents altogether.
Accident-free driving should translate into tangible savings for road users, as reflected in the recalibrated MSC framework. For instance, in the first half of 2021, the number of drivers who did not cause accidents grew by about 3.3 million compared with the same period in 2020. This trend demonstrates that responsible driving not only reduces risk but also yields meaningful financial benefits over time.
Commenting on the impact, Evgeny Ufimtsev, executive director of the Russian Union of Auto Insurers (RSA), noted that more than 94% of drivers received a discount of at least 5% on their OSAGO policies. He pointed out that many motorists who remain accident-free experience the savings firsthand, validating the long-standing belief that careful, responsible driving pays off when it comes time to renew or adjust coverage for the next term.
Ultimately, the update to the bonus-malus system is positioned as a practical mechanism to encourage safer road behavior and to reflect ongoing risk more accurately in insurance pricing. With the formulas adjusted, policyholders who maintain clean driving records can expect to see consistent benefits, while those with less favorable driving histories may encounter higher base charges that better reflect the costs borne by insurers.
In summary, the revised BMF framework reinforces the principle that safer driving yields lower insurance costs, and it provides a clearer, more progressive structure for recognizing responsible behavior across the driving population. The changes are designed to reward prudence, support fair pricing, and promote a safer driving environment for all road users.