Sample application for refusal of repairs under compulsory insurance and return

Previously, legislation established the possibility of receiving monetary compensation through insurance instead of repairs. Now the insurance organization provides the car owner with a referral for repair work. The client no longer has the right to choose.

Under what circumstances does an insurance company client have the right to choose monetary compensation or repairs?

To understand how realistic it is to receive monetary compensation, the victim should pay attention to the policy of the person responsible for the traffic accident. If the policy was drawn up before the adoption of the law on the impossibility of cash payments, there is a possibility that the right to choose will remain with the victim.

Service station: direction and choice

Any insurance organization according to the rules is obliged to issue the client a referral to a service station. In most cases, the driver does not have the right to influence the choice of a service station; the company directs it to the institution with which it has a contract. The only exception is the situation if the accident was registered by the accident commissioner.

However, there is also a point here: on the official website of each insurance organization there is a complete list of service stations that cooperate with it, and the driver retains the formal right to choose exclusively from the list of services offered.

What is a referral for repairs to OSAGO?

A referral for repairs under OSAGO is a document that allows a driver whose car was damaged in an accident to have it repaired at the expense of the insurance agency. The paper clearly establishes the lines for assessing the damage caused and completely repairing the vehicle. Particular attention should be paid to the fact that when issuing a referral, it is implied that the damage received must be completely, not partially, eliminated.

Expert opinion

Maria Mirnaya

Insurance expert

OSAGO calculator

In fact, referral is an alternative to monetary compensation . It was introduced to simplify the entire process. Instead of cash payments, the car owner receives a certificate to a specific car service that cooperates with the insurance company. As a negative point, it is noted that the owner does not have a choice in which service station to repair his car.

How to get money under compulsory motor liability insurance instead of repairs: legal grounds

The possibility of compensation for damage as repairs appeared not so long ago. If the policy was issued after April 28, 2014, the company itself chooses which method of compensation is convenient for it. The new law provides for a lot of nuances that allow for some exceptions when compensation for damages in money takes place.

If repairs cannot be completed within 30 days

The law sets a period within which compensation must occur. Car repairs should not last longer than 30 days. The period is calculated from the moment the car arrives at the service station.

Often, in order to repair a car, parts are required, the delivery of which takes a long time. In this case, the insurer offers to extend the period of repair work.

If the driver does not agree, the company will have no choice, and it will pay the damages in money so as not to violate the provisions of the current legislation.

If the nearest partner’s car service is more than 50 km away

The repair service must be located no further than 50 km from the driver’s place of residence. If the service station is located further away, the citizen can refuse the service and demand monetary compensation.

There is one subtle point here - the insurance company has the right to offer delivery of the car to the selected service station, then payment will become impossible.

If there is no official dealer in the city

Those cars that are less than two years old are required by law to be serviced only by authorized dealers. If there is no such organization in the city, the insurer must offer car transportation or travel payment. Sometimes such services cost the insurance company a hefty sum, so the driver will have a loophole to demand monetary compensation.

If it's not your car that needs to be repaired

If, at the time of filing a request for compensation, the matter concerns not only damage to the car, but, for example, health, then payment in cash is guaranteed. These cases may also concern the citizen’s personal belongings that were damaged as a result of the collision: laptops, mobile phones, clothes, etc.

If after an accident the victim died or received moderate or severe harm

This situation provides for full monetary compensation. Insurers for medium and severe harm to the victim pay funds in accordance with established compensation standards.

Also, the victim has the right to demand monetary compensation for loss of ability to work, sick leave and disability in the appropriate case. In the event of the death of the victim, members of his family, young children, and dependents have the right to compensation for the period prescribed in the rules of compulsory motor liability insurance.

Total car loss

Sometimes a car can no longer be repaired after an accident. Insurance companies have a concept - total loss of a vehicle. In this case, the injured driver has the right to receive monetary compensation under compulsory motor liability insurance in the amount of 400,000 rubles.

If the victim has a disability

If there are documents that confirm the fact of a citizen’s disability, monetary compensation is due from the organization that issued the policy. Here we are not talking about car repairs, but about paying compensation for health damage.

If the guilt is mutual

If guilt was found to be mutual, compensation depends on the degree of guilt and is calculated as a percentage.
The organization has the right to offer a referral for repairs for a small additional payment, because there is no need to pay off the damage in full. If this option is not suitable for the injured party, the company must pay him a certain amount.

If the vehicle is a truck

When a truck driver, who acts as a victim, was involved in an accident, he has the right to make his own decision on the method of compensation for damage.

Just offer to pay

This option is obvious, but not every organization agrees to the request of an injured citizen to pay him damages in money.

During the application process, you must indicate your desire to receive financial assistance or try to negotiate with the insurer.

Don't agree to extra payment

There are situations in which the insurance company refuses to pay, explaining its refusal by the fact that allegedly little money was transferred to the insurance company for repairs, and in order to receive payment in money, the victim needs to pay extra for something. Such actions by the insurance company are unlawful, therefore the client of the insurance company must be required to present the arguments for refusal exclusively in writing.

The victim should not agree to any “deals” with the insurance agent, manager or even director of the company. The company is obliged to fulfill its obligations, be it payment in money or a full repair of the car using new parts.

How to understand poor-quality repairs in the context of compulsory motor liability insurance?

So, for several years now, the prerogative of choice: to pay in money or send the car for repairs belongs to insurance companies. In 2021, many of them, including such popular ones as Rosgosstrakh, Alfastrakhovanie, RESO, Ingosstrakh - almost all insurers have agreements with car services to carry out restoration repairs. And they often let you choose your preferred service station - find the one that’s suitable not for your location, but best of all based on reviews on the Internet about the service.

We have already found out in the previous article how to correctly and within what time frame to receive a referral for repairs. What documents you signed before the restoration of the car began plays the most important role, and we will talk about this below.

Repairs are considered to be of poor quality, according to the Federal Law on Compulsory Motor Liability Insurance and the Unified Calculation Methodology, if the following details are violated:

• all the gaps between parts, including body parts, have not been verified - they are different or have different dimensions than they were before the accident,
• the quality of the paint is poor: it was applied unevenly, the car service did not match the main color of the body, the paint is peeling off and others,
• the repair period exceeded 30 days from the date of delivery of the vehicle, confirmed by documents,
• the car operates differently than before the repair - it has extraneous sounds, decreased traction and other technical shortcomings,
• the restored parts were poorly repaired - unevenness, chips are visible, the element is not painted,
• the car was repaired under compulsory motor liability insurance with used spare parts - this is quite difficult to determine, but an examination will show (we will describe below how to make a claim for this); non-new spare parts and body parts are prohibited from using clause 15.1 of Article 12 of the Federal Law-40,
• According to the law, nothing prohibits a service station from using non-original parts, but they must be of decent quality.

In general, the quality of MTPL repairs should be the same as if you were restoring the car with your own funds. Judicial practice also believes this - the Supreme Court in one of its rulings indicated that the amount of damages should be calculated subject to the condition of bringing the car to the state in which it was before the accident (Determination of the Armed Forces of the Russian Federation No. 4-KG17-4 of March 27, 2021) .

By virtue of paragraph 18 of Article 12 of the Law on Compulsory Motor Liability Insurance, the amount of losses subject to compensation by the insurer in the event of damage to the property of the victim is determined:

• A) ….
• b) in case of damage to the property of the victim - in the amount of expenses necessary to bring the property to the condition in which it was before the occurrence of the insured event.

This means that repairs using such funds should be carried out as well as possible! But if this did not happen, then before answering the question “what to do?” and write a claim, you need to understand to whom and how to do this - and this already depends on what documents you signed before the repair.

Guarantee

It should be:

• at least six months for metalwork, mechanical, slipway and other main types of work,
• at least 1 year for painting and body work.

The same terms apply to the spare parts themselves. The warranty period must be indicated in the acceptance certificate upon completion of the car repair (clause 5.3 of the Insurance Rules).

Is it necessary to pay a deficiency for repair work and will wear and tear on the machine be taken into account?

Expert opinion

Mironova Anna Sergeevna

Lawyer and lawyer for automobile law. Specializes in administrative and civil law, insurance.

Previously, wear and tear of parts was taken into account in the payment, while craftsmen could install used parts on the vehicle being repaired. Now car repairs under the MTPL policy involve replacing damaged parts with new high-quality analogues. The use of used spare parts is prohibited. In other words, the wear and tear of the car will not be taken into account during the repair work.

The culprit of the accident is obliged to make an additional payment if the policy was issued according to the old standards, and also when the insured amount does not fully cover all the damage to the victim.

The process of receiving payment under an insurance contract

To receive monetary compensation instead of repairs, the policyholder must provide documents confirming one of the following situations:

1. The vehicle cannot be restored. This fact can be proven with the help of an independent examination, which can be carried out by both the insurer and the policyholder.
2. The victim died, and his relatives are not interested in carrying out repairs. This fact can be confirmed by a death certificate issued by the civil registry office. To confirm family ties, you will need a birth or marriage certificate.
3. As a result of the accident, the victims suffered moderate or severe damage to their health. To confirm this, medical documents will be required, issued by a special commission based on the results of the examination.
4. The victim is disabled and uses a special vehicle to get around. According to clause 16.1 of Art. 12 of the Federal Law “On Compulsory Motor Liability Insurance”, these categories of citizens have the right to refuse repairs and receive payments. To do this, you will need to present a disability certificate.
5. For repairs, an amount of over 400 thousand rubles is required. This fact can be confirmed by conducting an independent assessment.
6. There is no possibility of car repair under warranty at an authorized dealer. This can be confirmed by a certificate from the manufacturer about the presence/absence of official workshops in the specified region.
7. The Central Bank prohibited compensation by repair work. Such a restriction is introduced for a period of up to one year if the authorized body detects gross violations of the rules for carrying out repair work or methods of payment by the insurer. In this case, the policyholder will not need to confirm his choice and monetary compensation will be paid to him by default.

To receive monetary compensation for any of the above options, you will need to contact the insurer and write an application demanding monetary payment. Attach supporting documents to the application, the results of the examination, papers on the insured event (traffic police report, European protocol), PTS and the identity card of the applicant. The insurer has 10 working days to review all submitted papers and make a decision.

If none of the above points apply, and the car owner is not able to provide supporting documents, then he has several more opportunities to receive money instead of repairs:

• enter into an agreement with an insurance company to compensate for damages in money. This must be done at the time of signing the main contract when purchasing a policy. Not every insurer will agree to such conditions. In order to fully count on monetary compensation, the contract must be unconditional and not imply exceptions;
• receive a penalty arising from violation of deadlines or poor quality of services. If the insurer does not meet the 30 days stipulated by law, the policyholder can count on penalties for each day of delay. The total amount of the penalty cannot exceed the amount of compensation. You can also count on compensation for delays in the case where the insurer did not provide a referral for repairs within 20 days from the date of submission of the full package of documents.

The current legislation in the field of compulsory civil liability insurance of car owners provides for several options for providing compensation: monetary and in the form of repairs. In 2021, preference is given to restoring the car at the expense of the insurer, but in some cases, the owner has the right to refuse repairs and receive the amount due to him.

Current repair periods for compulsory motor third party liability insurance

According to the current legislation of the Russian Federation, a service station is required to install exclusively new parts. On the other hand, if the car owner agrees, then aftermarket parts can be used. This option should be used only when it is impossible to obtain new parts in the required time frame.

The car service is obliged to provide a minimum guarantee for the work performed:

• Painting and body work – 1 year
• Other work – six months

Attention! The service station may, on its own initiative, increase the warranty period for repairs under MTPL. This is usually done to show confidence in the quality of the services provided.

If after repair the owner of the car notices shortcomings or shortcomings, the vehicle can be returned for repair. In addition, you can sign an agreement with the insurer, according to which the problems will be resolved differently. One of them could be a cash payment.

Features of the new OSAGO rules:

• When signing an insurance agreement, the client is offered a list of car services where repairs can be performed in the event of an insured event.
• The maximum period for restoration work is 30 days. In case of delay, for each day the insurer is obliged to pay half a percent of the amount of damage.
• The service station is located within 50 km from the place of residence or the accident.
• The owner of the car is provided with a guarantee for the work performed for a period of 6-12 months.

Can the insurance company refuse to make repairs under compulsory motor liability insurance?

Under the new rules, repairs are a priority, but in some situations the insurer may still pay out. This can be done in the following situations:

• After a traffic accident, vehicles cannot be restored. The owner of the car will not have the entire car replaced, he will receive a cash payment and will be able to purchase a new vehicle;
• a service station that cooperates with an insurance organization does not have the spare parts or components necessary for repair;
• the insurance company is not able to independently organize the transportation of the car to the service station;
• the car service is not able to carry out repairs within the time limits specified by law;
• the cost of repair work is higher than the maximum established payment. When the motorist agrees to pay the required amount, the car can be restored;
• the victim has an international policy;
• the car was not damaged, but the harm was caused to the insured and he needs to pay for services at a medical institution;
• the driver was seriously injured or killed.

Remember! Each insured event is considered individually. Therefore, insurance payment can be made not only in the cases described above.

As we have seen, sometimes service stations refuse to provide repairs under compulsory motor liability insurance, and they can do this legally. Know your rights and don't be afraid to defend them. Even if the insurance company tries to violate them, feel free to file a claim. And if this doesn’t help, seek justice through the courts.

Publication of information about service stations where repairs are carried out for compulsory motor liability insurance

A repair referral can be issued to a technical service that meets the following requirements:

• The car service should be located no more than 50 km away. The victim can choose whether the distance will be counted from the place of the accident or the place of registration. The distance does not matter if the insurance company organizes and pays for transportation of the damaged vehicle to the service center and back.
• Repairs will be completed within 30 days.
• Maintaining a warranty for a car no more than 24 months old. Repairs of such vehicles should be carried out exclusively by authorized dealers.

Remember! The warranty period for different models and brands is different. Some of them are available for 3 years or 5 years. In the event of an accident involving a car more than 2 years old, the insurer can send it to any service station. This will be done even if the vehicle loses its warranty. The countdown starts from the year the car was manufactured.

Compliance conditions are checked for each motorist who contacts the insurance organization. In other words, for some drivers all the requirements will be met, but for others they will not (the car must be repaired exclusively by an authorized dealer or its owner lives in a place where there is no service station within a 50 km radius).

If there is no agreement to compensate for the damage caused to the vehicle, it will be made in the form of an insurance payment.

Where can repairs be carried out under compulsory motor liability insurance?

Remember! Restoration work is not always carried out at the service center indicated by the insurer. In some cases, the insured can independently find a service station that best suits his needs. The insurance company does not always refuse such requests.

You can get your car repaired after a road accident through an insurance company in the following companies:

• Dealers who are official partners of the insurer
• Service stations from the proposed list
• Auto repair shop directly to the insurance company
• A car service that the insured asked to use

Important! The last option is very important to agree with the insurance company. A positive decision is usually made if other service stations are unable to carry out full repairs or do not have the necessary tools.

Repair under MTPL at an official dealer

If the insurer pays the victim money instead of sending him for restoration work, then the insurer can impose service at a certain service station of an official dealer. This usually happens for cars that are under warranty.

A good option is to receive funds to pay for repairs (if such a possibility is provided). This method is used infrequently. The usual practice is for the insurer to send it to a service station or provide a cash payment that the motorist can spend on restoring the car at any car service center he likes.