The draft was submitted to the Financial Supervision Commission of Bulgaria (FSC), the Ministry of Health and the Ministry of Labor and Social Policy - institutions responsible for assisting and overseeing the preparation process of the upcoming Ordinance.
A team of consultants selected by the Board of Guarantee Fund analyzed several similar projects in other European countries, including the United Kingdom, Germany, Greece, Spain, Italy, Romania and France. Technical elements from the French and Spanish models were considered the most suitable to be applied in the creation of Bulgarian guidelines.
At the current stage of the project, compensation is categorized in 2 main types, each with 2 subcategories, with the possibility of overlapping and adding up in real world scenarios, as follows:
- pecuniary compensation:
- compensation for property repairs, medical expenses of the victims, food and special funds, etc.
- compensation for the resulted loss of the victim - loss of income, loss of sustenance of the family in case of death, etc.
- non-pecuniary compensation:
- compensation for physical trauma of the victim, based on a system which uses points to rate the level of pain and suffering of the injured;
- compensation for special losses (loss of a parent, single surviving relative quality, death of a pregnant woman, fetal death, and others) and exceptional losses (under unusual circumstances).
"Introducing structured criteria for determining benefits will bring objectivity to the relationship between the involved parties, providing more predictability for all - insurers, injured parties and the court. I am convinced that this law will overcome the current imbalances by applying clear rules, bringing significant benefits not only to the aforementioned involved parties, but to the whole society as well," declared Konstantin VELEV, Chairman of the Association of Bulgarian Insurers (ABI).
The Insurance Code set a one-year term for the law to be drawn up and adopted, meaning that by December 7th, 2019, the project deadline, the law should be in force.