Regulator explains making changes to OSAGO policy
Insurance organisations are required to make changes to OSAGO (compulsory motor third-party liability) policies, including electronic ones, if the policyholder informs that the data specified in the application for signing the contract has changed. The Bank of Russia sent the relevant information letter to all insurance companies.
For example, if the documents for the car were lost or stolen and the owner received duplicates, he has the right to change the series and number in the documents for the vehicle in the OSAGO contract, and the insurer is obliged to do this on his application.
In addition, on the policyholder’s application insurance companies must correct the information with an error made during policy registration regardless of whether it was made by the insurer or the policyholder.
In some cases, insurance companies refuse to make changes to the current OSAGO policy and offer the customer to purchase a new one. The Bank of Russia reiterates that this violates the current legislation of the Russian Federation.
At the same time, the Bank of Russia draws attention to the inadmissibility of changing the names of policyholders and vehicles in the policy under the guise of updating individual data.
A number of insurance companies that the Bank of Russia has interacted with in the framework of conduct supervision have already adjusted their business processes. However, given the social significance of OSAGO insurance, the regulator considers it important to prevent possible risks associated with changes to the insurance policy.