Insurers have started to raise prices for CTP

Insurance companies have started to slightly increase the cost of the CTP policy. This was reported to Izvestia on July 2 by the Russian Union of Motor Insurers (RSA). This is due to the high level of the average payout, the organization noted.

Changes to the methodology for calculating the cost of spare parts in price guides approved by the Central Bank will come into force on July 11. According to the RSA forecast, the expected increase in the average cost of parts in the whole country will be 8-10%, and, accordingly, an increase in the average amount of payments may be about 8%.

"They [insurance companies] have begun to prepare for these innovations, they have already begun to take them into account in their activities so that the tariff is sufficient to cover such payments," the Russian Union of Motor Insurers told Izvestia.

The RSA emphasized that CTP is becoming more expensive primarily for those drivers who are often responsible for accidents, and the insurance company pays insurance compensation. At the same time, the current competitive environment allows insurers to maintain a good level of insurance premiums for accident-free drivers, the union noted.

Read more about the impact of the new methodology of the Central Bank of the Russian Federation on the amount of payments and the cost of a car insurance policy in the exclusive Izvestia article:

Rise in insurance: how the instructions of the Central Bank will affect payments and the cost of CTP