RUSSIA: Amicable report claims procedure may be admitted up to a higher threshold

14 November 2011 — Vlad BOLDIJAR
RUSSIA: Amicable report claims procedure may be admitted up to a higher threshold
accident-20In Russia, the form of amicable report of damages due to road accidents is in use since 2009. At the moment, only crashes where the damage does not exceed RUB 25,000 rubles can be recorded without the presence of the police. In order to ease the car crashes recording procedures, Vladislav REZNIK, head of the State Duma Committee on Financial Markets, introduced a bill to raise the maximum amount of damage to RUB 50,000 rubles, KOMMERSANT reported last week.

At the same time, according to insurance companies, this method is not very popular for drivers, because they say it is "complicated": "There is a problem of mentality - people are afraid that they will be conned", said Igor IVANOV, Deputy Director of the RESO-GARANTIA, quoted by KOMMERSANT.

"People are afraid to use the Report because they know that if they do not fill out the accident notice form properly, it would be reason for insurers to refuse the claim payment. And this document is extremely inconvenient to fill in, as you have to write in small boxes and answer lots of questions", stated the president of the Moscow Bar of Legal Protection of Car Owners, Victor TRAVIN.

According to The Moscow News, the procedure for registration of accidents did not become popular in Russia, with only 4 percent of car owners choosing to use it after an accident. At the same time, 80 percent of insurance payments do not exceed the limit of RUB 25,000.

More news and statistics about Russian insurance market.

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