RUSSIA: RAMI: combating unfair insurance practices and the institution of the financial ombudsman drastically reduced court payments in MTPL

23 March 2021 — Marina MAGNAVAL
In 2020, court payments in MTPL decreased by 64% to RUB 3.98 billion (~EUR 43.89 million*), and the insurers' overhead expenses dropped by 62% to RUB 5.7 billion, according to Igor YURGENS, President of the Russian Association of Motor Insurers (RAMI).

As the president of the RAMI noted, payments imposed on insurers under the consumer protection law at the end of 2020 amounted to RUB 3.93 billion rubles (-62% y-o-y), other legal costs decreased by 61% to RUB 1.77 billion.

"The campaign being conducted by ARIA (All-Russian Insurance Association), aimed at combating unfair insurance practices, as well as the institution of a financial ombudsman, has led both to a sharp decrease in the number of litigations on disputes in MTPL, "unloading" of courts, and to a decrease in the insurers' expenses for court costs and fines", explained Igor YURGENS.

* at the following exchange rate:

1 EUR = 90.6824 RUB (December 31st, 2020)

Share |