Payment deadlines for compulsory motor liability insurance in 2021

What is the general deadline for payment after an accident in 2021?

It is 20 days and is counted from the date of filing the application for insurance compensation and all documents attached to it and is established by paragraph 21 of Article 12 of the Federal Law on Compulsory Motor Liability Insurance. But these are not just calendar days. As well as not workers, not banking and others.

Please note that the deadline for paying compensation for damages for an insured event in 2021 is 20 calendar days, not counting non-working holidays.

Thus, the simplest scenario for contacting an insurance company in standard cases looks like this.

Drivers get into an accident and file it accordingly.
Having received all the necessary documents, the victim applies to the insurance company for compensation for losses; In certain cases, the culprit also needs to be contacted.
The insurer has the right to inspect the damaged car, for which it sends a claim to the victim within 5 days.
And within 20 calendar days, excluding non-working holidays, he must make a payment or send you for repairs.
If the above-mentioned period of compensation under compulsory motor liability insurance is violated, then the insurance company pays (upon request) a penalty and a fine.

Another important subtlety: 20 days are given specifically for payment or issuing directions for repairs to the victim, and not for you to receive them. That is, if the transfer of the paid amount of money takes 3 days or more, or the direction is sent to you by mail, but the letter takes 2 weeks, then the insurer has fulfilled its obligations in full if it sent them within 20 days.

Now let's explain in more detail and with examples how to calculate this period of time, and you will understand when the deadline for compensation comes in your particular case.

Examples of calculating payment dates

We will start with the day from which we should start counting the 20-day period for payment under compulsory motor liability insurance. It is counted from the next day after submitting the application and documents about the accident. Please note that the auto insurance law does not explicitly state this rule. However, in this case it is customary to take into account the scope of related or simply different legislative acts. And they all establish exactly this procedure for calculating deadlines. For example, the very first part of Article 4.8 of the Code of Administrative Offenses prescribes the start of action from the next day.

For example, you were involved in an accident on February 1, 2021. We received all the documents about the accident on February 3, and 4 submitted them with a statement to the insurer. Then the start of the period should be considered from February 5. And the last day for payment is the 25th. From February 26, 2021, late fees begin to accrue.

But in the example above, we did not take into account holidays and non-working days. Well, let's complicate things: let's say that the period from the 20th to the 23rd is established by labor legislation as a weekend. At the same time, only 22 and 23 are holidays, since 20-21 fall on regular weekends. And they are taken into account during the period for compensation under OSAGO.

Then, taking into account non-working holidays, the payment period is extended by another 2 days - that is, the deadline for compensation for an insured event after an accident is February 27.

Let's look at a few more examples to consolidate our understanding of calculus - from the simplest to the complex.

Application submitted April 1, 2021. The last date for payment in this case is April 21 (the period begins on the 2nd, and from the 2nd to the 21st it is exactly 20 days). There were no official holidays during this period. Therefore, nothing is being extended anywhere.
Documents for compensation were submitted on March 1, 2021. But March 8 - International Women's Day - is considered a non-working holiday. Then the period for payment by the insurance company begins on March 2 and lasts until March 22 inclusive (21 days in this period, taking into account 1 non-working day).
You submitted your documents on April 28, 2021. May weekends are considered non-working, divided into 2 periods: from May 1 to May 3 and from May 7 to May 9 inclusive - that is, a total of 6 days. Then the last day for reimbursement will be May 22.

There is also an important point here. You must have confirmation of submitting your application to the insurer within the specified period. This could be an incoming number from the insurance company with a stamp on the second copy of the application, a receipt for its acceptance, or documents from the post office if you sent it through it: a list of attachments and notification of delivery of the letter. Deceptions by insurance companies that they allegedly did not see any documents from you in practice in 2021 are, of course, very rare, however, they are not formally excluded.

Please note that there is a slight subtlety in the case when the last day falls on the weekend. The Law on Compulsory Motor Liability Insurance does not solve this issue in any way. And this case is controversial, because related laws indicate that in this case, the last day of the deadline is shifted to the first working day. But in fact, the question here is not about the fact of payment, but about the fact of transferring money or sending a letter. After all, according to the law, if the insurer sent it within the deadline, then nothing was violated. And look at the state of affairs that results from this, depending on the method of compensation for harm:

if we are talking about payment, and the insurance company sent a payment order on its last day, which fell on the weekend, then nothing has been violated, just the payment will be executed on the first working (banking) day according to the general rule after that;
if they send you a repair order by mail, let the insurer try to find a post office that is open on weekends - of course, there are some; in this case, the post office will actually accept the letter, but will also actually send it later.

But this article would not exist if everything were so simple and only the period for payment of damages after an accident required clarification. Below we will look at a few more subtleties.

What about the European protocol?

How long does it take for the insurance company to pay the money if the notice is filled out? It doesn’t matter - all the same 20 calendar days, except for non-working holidays.

There is only one subtlety - the law obliges you to file a claim for compensation within 5 working days after the accident. However, this period is also unbreakable - if you apply for compensation for damage later, there will be no consequences.

Can the insurance company set its own terms by law?

No. This is why the law exists, to establish uniform rules for observing the rights and freedoms of citizens for everyone without exception.

Therefore, it does not matter which insurance company we are talking about: Rosgosstrakh, Ingosstrakh, Alfastrakhovanie, RESO or others - 20 days are the same for everyone, and all insurers are required to adhere to this period for payment.

General payment procedure

Insurance payments under compulsory motor third party liability insurance mean compensation in cash and other forms directed to the benefit of persons injured but not involved in a car accident.

These payments should be made as follows:

the driver involved in the accident submits a claim and calls a representative of the insurer;
the insurer's representative assesses losses caused to third parties;
The accident case is assessed for recognition as insurable in accordance with the rules of the insurer;
The insurance company makes compensation for damage (payment).

It is important to take into account that in 2021, the insurer may offer, instead of paying compensation, repairs of third-party cars in auto repair shops; payment to such workshops is made from the insurance company by bank transfer and this payment is counted as a payment.

What is the deadline for payment in practice in 2021?

Most often, the situation is as we indicated a little higher - insurance companies send payments or letters with a referral for repairs on one of the last days of the term. But this, of course, does not always happen. Insurers often meet the deadline within 10 days.

You should also take into account the fact that 5 days after receiving the application, the insurance company is given to submit a request to inspect the damage to the car from an accident, and the same period is given to provide the victim’s car to the insurer. Therefore, the most likely and most common period for receiving payments in 2021 is from the 10th to the 20th day. But delays in reimbursement, unfortunately, are not uncommon today.

Can they refuse?

The insurance company may refuse to compensate the client for damages if the following circumstances exist:

The case is not considered insured. This is possible if at the time of the accident the driver was intoxicated or the car was driven by a person not included in the compulsory motor liability insurance policy.
The applicant submitted an incomplete package of documents.
During the inspection, violations were identified.
The policyholder did not provide the car for inspection at the specified time.
The insurer of the culprit does not have a license to carry out insurance activities.
Administrative proceedings have been initiated into the accident and an investigation is underway. The insurance company has the right to postpone consideration of the application until the end of the process.
The culprit fled the crime scene and the case was brought to court.

Will there be a payment or a referral for repairs?

In general, this is a separate big topic for conversation. And we wrote about this in as much detail as possible. Unfortunately, it is impossible to determine this 100% reliably while waiting for insurance compensation under compulsory motor liability insurance.

However, the following circumstances should be taken into account:

by default, repairs are the responsibility of the insurer (it is a myth that the insurance company has the right to choose this itself - read 15.3 of Article 12 of the Federal Law on Compulsory Motor Liability Insurance),
but payment may be made if at the stage of submitting the application (or after) you entered into a written agreement with the insurer about this (clause 16.1, as well as other conditions in this clause),
but if the company does not have a single car service center that meets the requirements of the law on organizing repairs, then payment is also due (clause 15.2).

Responsibility for late payments

Violation of the terms of compensation by the insurer is fraught with the imposition of penalties. The fine is imposed by the RSA or the Central Bank of the Russian Federation and is 1% of the amount of payments for each day of delay. Since the amount of debt is growing rapidly, most insurance companies strive to pay the client within a couple of weeks.

Often the insurance amount is underestimated due to the fact that at the time of the accident the client’s car was very worn out. By ordering an independent examination, a citizen will be able to challenge such statements in court and recover a penalty from the insurer.

Will they refuse me?

While waiting for the allotted time for the insurance payment, you may not receive the money not only for the reason that you will receive a letter in response with a referral for repairs. The fact is that the letter will arrive, but it will not contain the treasured “prescription for a car pharmacy”, but will be a refusal. By law, he must be motivated.

But, in fact, insurance companies have very few legal grounds for refusals. For example, these may include:

if you refused to provide the car for inspection or examination,
the damage clearly does not correspond to the circumstances of the accident,
the culprit did not have MTPL insurance (this does not include cases where an unregistered driver was driving)
and some others.

We reviewed the full list of reasons for refusal of payment, as well as what to do in this case, with all claims and lawsuits in court in a special article about this.

How to file a complaint?

Even if the insurance is overdue, you need to understand where to go for advice and help in order to receive payment under compulsory motor liability insurance. If the application for payment has not been accepted, you can challenge the refusal in court. However, the legislation provides for pre-trial settlement of the dispute. An official complaint is submitted to the manager, indicating:

The essence of the complaint.
Accurate personal data.
Insurance contract number.
Details for transferring insurance compensation.

Example of a complaint against the insurance company:

You can download this sample in word format here.

When considering a complaint, special attention is paid to the reasons for the applicant’s appeal. All amounts claimed by the insured person must be justified and confirmed by an expert opinion.

Pre-trial settlement is a mandatory stage, which proves that the person took action and tried to independently resolve the issue with the insurance company. When filing a claim in court, the plaintiff has the right to demand compensation in the following areas:

Compensation for material damage associated with an insured event.
Payment of the penalty.
Moral compensation associated with the incompetence of company employees.

A full package of documents is attached to the lawsuit, including correspondence or pre-trial settlement documents. It is important to consider that legislation regulates the rights and obligations of insurers and policyholders. Therefore, when an insured event occurs, all conditions must be met, deadlines must not be missed, and an application must be submitted in a timely manner to receive the amount due.

In what time frame must the insurance company pay for damage to health and/or life?

It doesn't matter either. The Law on Compulsory Motor Liability Insurance establishes a single requirement for what period of time for payment of insurance compensation after an accident should be in all cases (to be more precise, in almost all, but this does not include the type of harm caused). And it is 20 days, excluding non-working holidays.

To make sure of this, read carefully again paragraph 21 of Article 12 of the law - it does not distinguish between the type of damage: whether it is only caused to property, or also to health or even life. Still the same 20 days.

When can the 20 days for insurance compensation under compulsory motor liability insurance be extended?

We mentioned above that not everything is so simple in our case. Indeed, the specified 20 days can be extended for an unlimited time, if this is established by law, or does not depend on the capabilities of the insurer and/or if this was the fault of the victim himself.

Let's look at all these cases.

When is the deadline 30 days?

When receiving compensation in the form of repairs, you have the right to have the car repaired not in the service with which the insurer has an agreement, but in the one you have chosen. But only under one condition - you, in fact, have received the consent of the insurance company to pay the bill for repairs at the selected service station.

And this is precisely the exception when the insurer has the right to issue a referral to this car service within a period of not 20, but 30 days - similarly, except for the same non-working holidays. This is regulated by paragraph 21, which refers to paragraph 15.3 of Article 12 of the law.

Thus, repairs at your chosen car service with the consent of the insurance company are the only case when the period for consideration of an application by law can be 30 days instead of 20.

Extension of deadline if documents are missing

Please note that paragraph 21 of Article 12 speaks of 2 conditions for the start of 20 days:

if you have submitted an insurance claim,
and if you have attached the necessary set of documents to it.

So there you go! If some papers are missing from the list, then the deadline begins to count from the day following the day when you deliver the missing ones. But this does not mean that the insurer can sit and remain silent about the lack of documents in order not to pay you for longer until you ask about it. The penultimate paragraph of paragraph 1 of Article 12 of the Federal Law on Compulsory Motor Liability Insurance obliges the insurer to report a shortage of papers, and sets 2 deadlines for this:

3 working days, if documents from you were received by mail,
on the day of application, if you brought them personally to the insurance company’s office.

The same rule was enshrined by the Supreme Court in Resolution of the Plenum No. 58 of December 26, 2017 in paragraph 24.

In addition, please note that the insurer does not have the right to demand documents that are not in the official list from the Insurance Rules (last paragraph of paragraph 1 of Article 12 of the law).

But the essence still remains the same: 20 days for payment is not an unconditional period. It may be extended if you did not provide all the documents along with the application.

By the way, you can generally submit documents, knowing in advance that this is not a complete list. This often happens in road accidents with victims - here documents on harm to health can wait up to a year or more in exceptional cases. Therefore, you can bring part of them to the insurer, and provide the rest later.

But these are not all cases where the law allows for an extension of 20 days for payment.

If the victim does not provide a car after an accident

There are deadlines for inspection and/or examination of the insurance company after an incident:

within 5 working days you are obliged to provide the car for inspection to the insurer - from the date of submission of the application (clause 10 of article 12),
the same period is established for the insurer (clause 11)
within 10 days, the insurance company has the right to inspect the culprit’s car (paragraph 2 of clause 10).

At the same time, if you, being the victim, did not provide the car for inspection to the insurance company within the prescribed period, then the period for payment of damage is extended for the period when you provide (but not more than 20 days) - paragraph 2 of paragraph 11 of Article 12 of the law.

Submit an application

To receive payment, a citizen must submit a corresponding application to the insurance company. The victim is required to report the accident on the day of the accident. He must submit documents to the insurer within three days from the date of the incident.

The sooner the victim applies for compensation, the better. It is advisable to submit the papers to the office within 24 hours after the accident. In this case, the insurance company will have more time to consider all the circumstances of the incident, assess the damage and determine the amount of compensation.

The procedure for receiving payment involves an inspection of the car by an insurance company expert. If the client is not satisfied with the results of the examination, he has the right to order an independent assessment from any licensed organization.

Is it possible to find out the payment amount before transferring money?

Yes, you can. This is indicated by paragraph 4.23 of the Insurance Rules approved by the Bank of Russia, indicating that such information is obtained using the so-called insured event report.

But there are also deadlines here: 3 calendar days, excluding non-working holidays, from the day you submit a written request requesting such an act. And only if the corresponding act is already ready.

We discussed this issue in as much detail as possible in the article on requesting a calculation of the payment amount.

I suspect that they will pay little - is it worth doing an examination before reimbursement?

Definitely not worth it. Simply because changes occurred not so long ago, and in claims disputes between victims and insurers, another “intermediary” was introduced in the form of a financial ombudsman.

This means that the issue of insufficient funds for payment should now be resolved at the stage when a relevant problem appears. And this examination is carried out by the specified financial ombudsman.

Simply put, an independent examination done by you yourself may not be accepted at the stage of considering a dispute about the insufficient amount of compensation for damage from an accident.