In Russia, many drivers have started to avoid purchasing mandatory motor third party liability insurance, known as OSAGO, even when facing penalties. The move stems from concerns about the efficiency of the OSAGO system and a steady climb in policy costs. This perspective has been echoed by Anton Shaparin, the vice president of the National Automobile Association, as reported by News.ru.
Shaparin noted that several insurers had already raised prices this year. He described the increase as part of a trend that goes beyond simple rate changes. The term widening the tariff corridor has entered the conversation, yet there is little evidence of insurers offering cheaper products. He suggested that the phrase expands the tariff corridor is used as a euphemism that masks higher costs for drivers.
According to his assessment, the planned 26 percent expansion of the tariff corridor, which was scheduled to take effect on September 13, represents a real price increase for insurance policies. While insurance companies would have the option to set cheaper or more expensive premiums, the practical impact would likely skew toward higher prices and greater profit margins for providers.
On September 2, the Central Bank announced that the base rate corridor for OSAGO would be widened by 26 percent in both directions for most vehicle owners, with the change taking effect on the 13th of the month. For passenger cars owned by individuals, the base OSAGO rate would fall within a range determined by insurers from 1,646 to 7,535 rubles per driver. Meanwhile, the tariff corridor for public transportation would see a bidirectional expansion of 17.8 percent. This broad adjustment signals a shift in how insurers price policies and how much drivers might pay in the near term.
Analysts have observed that such tariff dynamics can affect consumer behavior. When price bands widen, some drivers reassess the value of OSAGO, weighing the necessity of coverage against the outlay required to maintain it. At the same time, insurers argue that the broader corridor allows greater flexibility to tailor premiums based on risk, driving history, and vehicle type. The central authority overseeing financial stability argues that these changes aim to balance market competitiveness with adequate coverage for road users. Observers will watch in the coming months to determine how these adjustments influence affordability, accessibility, and overall road safety outcomes. (Source: News.ru attribution)