The European Union is tightening regulations on end-of-life vehicles (ELVs) as part of its broader push for a circular economy and stronger environmental protection. While the German Insurance Association (GDV) supports the overarching goals, it has raised concerns about the potential impact on insurers.

According to the proposed legislation, insurers - or the experts they commission - would be required to determine whether a damaged vehicle qualifies as an ELV. The GDV warns that this obligation goes beyond the traditional role of insurers, which is to assess damages for claims settlement purposes, not to make legal or technical classifications about a vehicle's eligibility for de - registration and recycling.

In GDV’s view, the responsibility for such decisions should remain with vehicle owners, public authorities, and certified dismantling facilities. Shifting this burden to insurers, they argue, could create legal uncertainties and operational inefficiencies.

At the same time, the GDV emphasizes its support for the EU’s aim to reduce illegal vehicle exports and promote proper disposal. However, the association urges that each stakeholder's role be clearly defined to ensure both compliance and efficiency within the system.

Source: German Insurance Association (GDV) – Altfahrzeuge in der EU: Was die Neuregelung für die Versicherer bedeutet