OSAGO for a day: another “divorce” or a very good offer
- August 15, 2023
- 0
Under the new law, an OSAGO policy can be issued for a period of one day. How it works? Who will benefit? And how much will insurers charge
Under the new law, an OSAGO policy can be issued for a period of one day. How it works? Who will benefit? And how much will insurers charge for short-term “car citizenship”? The answers to these and other questions are contained in the material of the AvtoVzglyad portal.
At the beginning of August, on the proposal of a group of deputies of the Liberal Democratic Party, the State Duma passed in its final third reading amendments to the law “On OSAGO”, allowing the conclusion of civil liability insurance contracts for car owners of two types – short and long term . The scope of the first – from 1 day to 3 months, the second – from 3 months to a year. The new provisions will enter into force on March 1, 2024. This will make it possible in the spring to issue a “car citizenship” for a minimum period.
Indeed, the current contract is rather clumsy, even if we do not take into account the question of pricing and the application of coefficients. Today, an OSAGO policy can usually be purchased for one year. And only within this period to choose the term of validity of the contract. There are few options: 3, 6, 9 or 12 months. And since OSAGO is a forced case, the insurers don’t seem to notice our dissatisfaction with the rates. Where should they go?
Yes, we do not buy anywhere and hardly grumble. In addition, the cost of short-action policies resembles market trading by some principles. The more days you pay, the cheaper each of them becomes. An agreement with a restriction of “autocitizenship” within three months appears to be the most disadvantageous for the client. And no arithmetic ratios, as one might think, work here.
However, the current law still has some flexibility in reserve. The insurance contract can be terminated at any time. Then the insurer is obliged to return the money for unused days. But even in this case you will not get a fair mathematical price. Insurance businessmen are always covered in tricky words – “rates” and “coefficients”.
True, today it is possible to insure the driver of a newly purchased car so that he can get on it from the seller to the place of registration. Such an OSAGO policy can be issued for a period of five days. Or, to travel around Russia in a car with foreign numbers, you can buy a transit OSAGO for a period of up to 20 days. But these are already specialized specifics, the prices of which, however, also seem unfair to many.
Maybe everything. There are currently no other legal options. So it turns out that for those who use the car for a limited time, it turns out to be more profitable than buying an expensive policy to refuse insurance altogether, leaving the risk of an accident on their own conscience and wallet. In the context of general expenses, a fine of 800 rubles for the absence of a “car citizen” is now not such a severe punishment. If they get caught…
It is curious that the new provisions in the law were developed from purely practical considerations, filled, since the deputies themselves – the authors of the initiative, are full of a sense of justice. Lawmakers believed that the current restrictions on OSAGO only increase the cost of policies. After all, there is a practice for life or health insurance, for example, with which you can even conclude a contract for 1 day. Why is “car burger” worse?
But it turned out what happened. In the spring, when the law comes into force, we will have to see where the insurers have laid the straws for themselves. And how much of that straw will be. In rubles. For now, we know little. The start of the “auto-citizenship” in the short term will be delayed: the OSAGO policy will not take effect until three days after the purchase, unless stated otherwise in a specific contract. This standard is necessary to prevent fraud – so that OSAGO does not buy immediately after an accident and does not prepare compensation for it.
It will not be possible to extend the OSAGO to the annual OSAGO in the short term. The same applies to the reverse: an annual contract cannot be converted into a short-term contract. The thought of different approaches to pricing creeps right in, which we haven’t been told about yet. The exact mechanism has not been established. However, it is already clear that a reduction factor will be used in the calculation, the value of which is again a great mystery. Insurers will think about it, coordinate it with the Central Bank of the Russian Federation and only then will they disclose it to us. In any case, 1/365 of the annual cost is not charged for a policy for a day, and 1/12 for a month. The calculation becomes more complicated and the policy is of course more expensive.
There may be many interested in innovations. Short-term OSAGO is beneficial for those who only use the car in a certain season. For example, summer residents-pensioners who only travel in the summer. Insurers themselves often call self-employed taxi drivers – those who seasonally use their own car as a taxi. “Short term” may suit those who will soon be selling the vehicle. In short, it is suitable for anyone who uses a car for three months a year or less.
One can also see a number of other points through which those who now prefer a penalty over a policy will be much more willing to buy “short-term” loans. First, these are traffic cameras, which are about to send out “luck cards” en masse for the lack of an OSAGO policy. And secondly, the authorities are considering the possibility of double fines. So if an uninsured driver is caught speeding, he gets two decisions at once: one for a major violation and the second for driving without a policy. The discussion of the punitive initiative is taking place with the participation of the Ministry of the Interior and the Russian Union of Motor Vehicle Insurers, and the Central Bank is coordinating the process. So you probably know how it all ends…
Photo: freepik.com
Photo: freepik.com
Photo: freepik.com
At the beginning of August, on the proposal of a group of deputies of the Liberal Democratic Party, the State Duma passed in its final third reading amendments to the law “On OSAGO”, allowing the conclusion of civil liability insurance contracts for car owners of two types – short and long term . The scope of the first – from 1 day to 3 months, the second – from 3 months to a year. The new provisions will enter into force on March 1, 2024. This will make it possible in the spring to issue a “car citizenship” for a minimum period.
Indeed, the current contract is rather clumsy, even if we do not take into account the question of pricing and the application of coefficients. Today, an OSAGO policy can usually be purchased for one year. And only within this period to choose the term of validity of the contract. There are few options: 3, 6, 9 or 12 months. And since OSAGO is a forced case, the insurers don’t seem to notice our dissatisfaction with the rates. Where should they go?
Yes, we do not buy anywhere and hardly grumble. In addition, the cost of short-action policies resembles market trading by some principles. The more days you pay, the cheaper each of them becomes. An agreement with a restriction of “autocitizenship” within three months appears to be the most disadvantageous for the client. And no arithmetic ratios, as one might think, work here.
However, the current law still has some flexibility in reserve. The insurance contract can be terminated at any time. Then the insurer is obliged to return the money for unused days. But even in this case you will not get a fair mathematical price. Insurance businessmen are always covered in tricky words – “rates” and “coefficients”.
True, today it is possible to insure the driver of a newly purchased car so that he can get on it from the seller to the place of registration. Such an OSAGO policy can be issued for a period of five days. Or, to travel around Russia in a car with foreign numbers, you can buy a transit OSAGO for a period of up to 20 days. But these are already specialized specifics, the prices of which, however, also seem unfair to many.
Maybe everything. There are currently no other legal options. So it turns out that for those who use the car for a limited time, it turns out to be more profitable than buying an expensive policy to refuse insurance altogether, leaving the risk of an accident on their own conscience and wallet. In the context of general expenses, a fine of 800 rubles for the absence of a “car citizen” is now not such a severe punishment. If they get caught…
It is curious that the new provisions in the law were developed from purely practical considerations, filled, since the deputies themselves – the authors of the initiative, are full of a sense of justice. Lawmakers believed that the current restrictions on OSAGO only increase the cost of policies. After all, there is a practice for life or health insurance, for example, with which you can even conclude a contract for 1 day. Why is “car burger” worse?
But it turned out what happened. In the spring, when the law comes into force, we will have to see where the insurers have laid the straws for themselves. And how much of that straw will be. In rubles. For now, we know little. The start of the “auto-citizenship” in the short term will be delayed: the OSAGO policy will not take effect until three days after the purchase, unless stated otherwise in a specific contract. This standard is necessary to prevent fraud – so that OSAGO does not buy immediately after an accident and does not prepare compensation for it.
It will not be possible to extend the OSAGO to the annual OSAGO in the short term. The same applies to the opposite: an annual contract cannot be converted into a short-term contract. The thought of different approaches to pricing creeps right in, which we haven’t been told about yet. The exact mechanism has not been established. However, it is already clear that a reduction factor will be used in the calculation, the value of which is again a great mystery. Insurers will think about it, coordinate it with the Central Bank of the Russian Federation and only then will they disclose it to us. In any case, 1/365 of the annual cost is not charged for a policy for a day, and 1/12 for a month. The calculation becomes more complicated and the policy is of course more expensive.
There may be many interested in innovations. Short-term OSAGO is beneficial for those who only use the car in a certain season. For example, summer residents-pensioners who only travel in the summer. Insurers themselves often call self-employed taxi drivers – those who seasonally use their own car as a taxi. “Short term” may suit those who will soon be selling the vehicle. In short, it is suitable for anyone who uses a car for three months a year or less.
One can also see a number of other points through which those who now prefer a penalty over a policy will be much more willing to purchase “short-term” loans. First, these are traffic cameras, which are about to send out “luck cards” en masse for the lack of an OSAGO policy. And secondly, the authorities are considering the possibility of double fines. So if an uninsured driver is caught speeding, he gets two decisions at once: one for a major violation and the second for driving without a policy. The discussion of the punitive initiative is taking place with the participation of the Ministry of the Interior and the Russian Union of Motor Vehicle Insurers, and the Central Bank is coordinating the process. So you probably know how it all ends…
Source: Avto Vzglyad
Donald Salinas is an experienced automobile journalist and writer for Div Bracket. He brings his readers the latest news and developments from the world of automobiles, offering a unique and knowledgeable perspective on the latest trends and innovations in the automotive industry.
