New Law on Auto Insurance: What Will Change from January 1, 2025?
Starting in 2025, Ukraine will implement significant reforms in the system of mandatory civil liability insurance (OSCPV). The new law aims to make insurance simpler, more convenient, and more transparent for all road users.
Let’s take a closer look at the key innovations:
Electronic Format
From the new year, all OSCPV policies will be issued exclusively in electronic format.
This means:
- Speed: Document checks will become instantaneous, reducing queues and delays.
- Security: Paper documents will no longer be needed, and the risk of fraud and forgery will decrease.
Increased Insurance Payouts
The new law raises the payout limits:
- Up to 500,000 UAH for damage to life and health.
- Up to 250,000 UAH for material damage.
This is a significant increase compared to current limits. Furthermore, these amounts will rise even higher in 2026!
Policy Price Linked to Driving History
There’s great news for careful drivers: safe driving will now be rewarded with discounts. Drivers who frequently violate traffic rules will face higher premiums. This approach incentivizes adherence to traffic laws and enhances overall road safety.
Improved Support for Accident Victims
Customers will have the option to choose between:
- Vehicle repairs at a service station of their choice.
- Cash compensation for damages.
In cases of issues with a specific insurance company, the Motor (Transport) Insurance Bureau of Ukraine (MTIBU) will provide support and protection.
Aligning with European Standards
These changes bring Ukraine’s insurance system closer to European standards, ensuring greater comfort and security for all road users.
Get ready for a new level of insurance quality starting in 2025!
