Application for early termination of the MTPL agreement and refund of money

• Application form for termination of compulsory motor liability insurance: features
• Filling rules
• Free-form writing
• List of applications
• How to apply
• Refund period
• Let's sum it up
• Sample documents for downloading

Situations when it is necessary to terminate a compulsory car insurance contract do not occur so often. Therefore, most drivers do not know how to return money for an unused period and whether this can be done. Let's consider how an application for termination of a compulsory motor liability insurance contract is drawn up, the procedure for submitting it to the insurer, the time frame for consideration and other features of canceling a mandatory policy.

Application form for termination of compulsory motor liability insurance: features

Early cancellation of compulsory motor liability insurance may be necessary for various reasons. Most often, this is necessary when selling a car, when the insurance object ceases to belong to the policy owner. The agreement may also be terminated due to:

• loss or destruction of a car;
• death of the owner or policyholder (if this is not the same person);
• liquidation of a legal entity on whose balance sheet the insured car was located;
• loss of license by the insurer.

In addition, the driver may decide to terminate the relationship with the insurance company if the latter:

• does not provide sufficient quality service;
• delays payments or unreasonably refuses them;
• treats customers disrespectfully, etc.

Thus, there are many reasons for canceling a policy, but it is important to understand that all of them must be justified.

Insurance companies usually provide a form that you simply need to fill out to refuse the service. The application for early termination of the MTPL agreement consists of 2 parts, one of which is filled out by the driver, and the second by the insurance agent.

The policyholder section, in turn, consists of 3 standard parts:

• introductory;
• basic;
• final.

In the first (introductory) you need to indicate the details of the parties:

• insurance company: name, name of the employee receiving applications and legal address;
• policyholder: full name, policy and passport details, car details.

This also includes:

• document's name;
• introduction (repetition of full name and requirement to terminate the contract).

Next comes the main part, which states:

• reason for cancellation of the agreement;
• request for a refund for the unused period;
• details for transferring the balance of the insurance amount (if it is not issued in cash).

Note! It is not enough to indicate the card number in the bank information field. It is necessary to provide full details with the name of the bank, BIC, INN, correspondent, current and personal accounts.

The final part of the application for cancellation of the MTPL policy states:

• confirmation of the accuracy and completeness of the provided data;
• date and signature of the applicant.

The other part of the document is filled out by an employee of the insurance company, who puts:

• date of acceptance of the application for early termination of the insurance contract;
• amount to be paid;
• your data (full name);
• signature.

An example application can be viewed here.

What data is needed

In order to receive a refund after and terminate the contract under compulsory motor liability insurance, you should provide the insurer with information that you have legal grounds for this.

Direct evidence is considered to be the provision of the necessary documents that confirm the fact of sale of the vehicle or disposal, liquidation of a legal entity or death of the owner of the insured vehicle.

Moreover, all documents must be notarized, which indicates the authenticity of the events.

Please note that it will not be easy to prove this, and it is better to seek help from a specialized and experienced auto lawyer.

Filling rules

When filling out an application for cancellation of a mandatory “vehicle license”, you should adhere to the standard rules of business correspondence:

• eliminate errors and corrections;
• check with the policyholder whether handwritten applications are accepted (if not, print the application);
• Use standard blue or black ink.

Before sending an application to the insurance company, it is worth finding out whether there are any additional requirements that need to be taken into account when drawing up the document.

Procedure for terminating the contract

Termination of compulsory motor liability insurance occurs on the basis of an application for termination of the contract . The remainder of the policy is calculated at the time it is received by employees of the insurer. Accordingly, the earlier the application is submitted, the greater the amount the policyholder will receive back.

Below is a sample of a paper with a request to terminate an insurance contract early:

statements

The company's employees have a two-week period to consider the application received and make a decision. If payment of the balance of funds is refused, the client is given an official notification of this. Based on this paper, he will be able to appeal the insurer’s decision in the RSA or in court.

Free-form writing

The law does not establish a mandatory application form for early cancellation of insurance. Therefore, drawing up a document at your own discretion will not constitute a violation. However, it is advisable to check with the insurance company in advance about the availability of an approved standard form in order to avoid disputes and delays in payment.

If the driver still wants to fill out the application on his own, you need to take into account that it must contain:

• details of the insurance company and the employee receiving the document;
• personal information about the applicant, including passport details;
• information about the insured car;
• details of the policy that will be cancelled;
• Bank details;
• requirement to terminate the contract indicating the reason;
• other information required by a specific insurer;
• date and signature of the applicant.

If you wish, you can always use a sample, which, as a rule, is available in any insurance company.

Note! If the reason for termination of the agreement is the sale of a car, which is transferred to the buyer along with the policy, it is necessary to indicate that non-payment is required, but re-issuance of compulsory motor liability insurance.

Will money be returned for the unused period if there were payments?

We asked this question to our head of the legal department, Anton Alferov. He shared his wisdom:

“In case of early termination of the MTPL agreement in cases provided for by the MTPL Rules, the insurer returns to the policyholder part of the insurance premium in the amount of the share of the insurance premium intended for making insurance payments and falling on the unexpired term of the MTPL agreement. Consequently, since nothing else is established either in the MTPL rules or in Bank of Russia Directive No. 5000-U, payments made are not taken into account when determining the amount of the insurance premium refund.”

So you have the right to receive the rest of your insurance premium, even if you have already caused an accident during the used insurance period.

List of applications

When filing an application for early termination of a contract with an insurance company, it is necessary to prove that the grounds for such a request are legal. To do this, please attach to your application:

• a copy of your personal passport (page with basic information and registration);
• original vehicle license;
• receipt for payment of the insurance contract;
• a document confirming the specified basis for termination of the insurance relationship.

The last document listed may be:

• a copy of the purchase and sale agreement;
• a copy of the disposal certificate;
• certificate of deregistration of the vehicle;
• certificate of liquidation of a legal entity;
• a copy of the death certificate of the car owner. In this case, you will additionally need documentary evidence of inheritance certified by a notary. It should be borne in mind that cancellation of the contract and receipt of payment is possible only after the entry into rights (usually six months after the death of a person, if there are no property disputes).

Depending on the requirements of a particular insurance company, you may additionally need:

• a copy of the title indicating the new owner of the car;
• a copy of the card to which the transfer will be made, etc.

The final list must be clarified with representatives of the insurance company.

Termination of the contract by the policyholder

Early termination of the contract can only be carried out if you are the person indicated in the insurance policy document as the “Policyholder”. The basis for termination may be a statement from the policyholder himself in the following cases:

• car sales;
• impossibility of restoring the car after an accident or disposal;
• deprivation of an insurance company's license and other cases provided for by law.

The date of receipt of a written application with a package of required documents is the date of early termination of insurance for the insurance company.

How to apply

The procedure for submitting an application is standard - in person or by mail. The first option is preferable, since the employee receiving the package of documents will immediately check the presence of all papers and their compliance with the requirements. This will reduce the time it takes to receive funds.

So, the algorithm of actions for canceling a compulsory motor vehicle license is as follows.

1. Writing an application and collecting the necessary documents.
2. Handing over a package of papers to an insurance company employee.
3. Verification of documents and their acceptance.
4. Verifying the authenticity of the information provided (for example, a certificate of liquidation of a legal entity).
5. Payment at the IC cash desk if payment is made in cash.
6. Receiving money on a card or through a bank cash desk if a transfer is made.

Payment terms

Do you want your money back? Ask us how! Photo: pixabay.com

The return period is always the same - 14 calendar days

. They are counted either from the day when the insurer received your application, or from the day when the insurer received information about the death of the policyholder, the owner or the car itself.

Refund period

In accordance with current legislation, the insurer is obliged to make payment within 14 days after accepting the application for termination of the contract. If there is a cash payment, the money can be received immediately on the day of application (if document verification does not take much time).

It is important to consider that funds are returned only for the unused period, minus the costs of services provided.

• If the policy is canceled at the request of the driver (for example, when selling a car), then the starting date will be the day the application was accepted.
• If the basis is the events specified in clause 33 of the Law on Compulsory Motor Liability Insurance (death of the owner, theft, theft), then the countdown date will be the day when this event occurred.

Reasons for termination of the contract

According to the Civil Code of the Russian Federation, if the contract is terminated unilaterally, the policyholder has the right to demand a refund of money for the unused period of time. But this is possible if the reason for early termination of the policy is valid. Thus, terminating the MTPL agreement at the unilateral initiative of the policyholder with a partial refund of funds is allowed in the following situations:

1. Failure of the insurer to comply with the terms of the concluded contract.
2. Late payment of compensation in case of an accident.
3. Wrongful refusal to compensate for damage caused by the insured person.
4. Other violations of the provisions of Federal Law No. 40 “On Compulsory Motor Liability Insurance”.

Refunds to the insured person are also provided for in the event of automatic termination of compulsory motor liability insurance. This is possible under the following circumstances:

• Death of the car owner or policyholder, if these are different people.
• Vehicle disposal.
• A car cannot be restored after an accident.
• The insurance company lost its license or went bankrupt.
• The insured car changed its owner - it was sold, donated, or inherited.

Let's sum it up

The driver can terminate the agreement with the insurance company and return funds for the unused period if the grounds for cancellation are legal.

Features of early termination of the MTPL agreement:

• carried out on the basis of an application submitted by the driver;
• the application form is not established by law, but the insurer may have its own approved form;
• the petition consists of an introduction, main part and conclusion;
• the application must contain comprehensive information about the applicant, the policy being cancelled, the insured car, the basis for termination of the contract and the amount of payment;
• the application can be filled out in free form if this is allowed by the insurer (but taking into account the content requirements);
• The application must be accompanied by the original of the motor vehicle license and a receipt for its payment, a copy of the passport and a document justifying the termination of the contract;
• the application can be submitted in person or by mail;
• funds are returned for the unused period minus the costs of providing insurance services within 14 days from the date of acceptance of the application (if the initiative comes from the driver) or the day on which an event occurred requiring cancellation of the policy (the car was stolen, the owner died, etc.). d.).

Thus, early termination of the agreement with the insurance company is not difficult. The main thing is to fill out the application correctly and attach all the necessary documents. If the reason for termination of the contract is legitimate, and the insurer does not agree with this, you can file a claim in court and additionally receive compensation for each day of delay in payment.

How to terminate a compulsory motor liability insurance contract on your own initiative and return the money?

The most important thing to remember: you must have a good reason to refuse compulsory motor liability insurance. Unfortunately, simply changing your mind and returning the money will not work. Therefore, carefully read the next section, in which we talk about the legal reasons for terminating compulsory motor liability insurance.

The process of terminating relations with an insurer under compulsory motor liability insurance is quite simple: often one application is enough. But don’t expect that you will get a full refund of the cost of your insurance: there is a special formula for calculating the cost of a refund, and we’ll talk about it a little later.

Legislation

Civil Code of the Russian Federation in Art. 958 states that the policyholder may claim a refund of part of the money paid under the insurance contract for the corresponding unused period of time in the event that the likelihood of the occurrence of an insured event is lost. For example, the death of the insured object occurred due to reasons not related to the insured event or if the insurance company ceased its activities legally.

The Civil Code of the Russian Federation also allows premature termination of an insurance contract at the request of the policyholder, but paid insurance premiums are not refunded.

The rules for terminating a contract as specified by law must be strictly observed, unless additional nuances of termination are specified in the contract itself.