Law reforming car insurance signed by the President

The President has signed Bill No. 8300 on compulsory insurance of civil liability of owners of land vehicles.

The current Law of Ukraine "On Compulsory Insurance of Civil Liability of Owners of Land Vehicles" came into force almost 20 years ago and is outdated, says Danylo Hetmantsev, Chairman of the Verkhovna Rada Tax Committee.

The new draft law proposes:

► Gradually increase the amount of insurance amounts to the amounts established in EU countries;

*The current limit of the insurer's liability for damage to life and health is UAH 320,000 per victim, regardless of the number of victims, and for damage to property of victims - UAH 160,000 per victim, but not more than UAH 800,000 per insured event.
Within two years of the Law's entry into force, it is proposed to gradually increase these amounts for damage to life and health of injured persons to UAH 1 million per injured person and UAH 20 million per insured event, regardless of the number of injured persons, and for damage to property of injured persons to UAH 2 million per insured event, regardless of the number of injured persons.

► introduce fast guarantee payments to victims of bankrupt insurers before the Law comes into force (currently it takes years, but proposed to be up to 90 days);

► expand the use of the "Europrotocol" - filing a claim for insurance compensation in the event of an accident without the participation of the police;

► introduce a procedure for calculating the amount of insurance payment without taking into account wear and tear and making insurance payments in the amount necessary to restore the vehicle.