The insurance market is rich in diverse programs. However, each has its advantages and disadvantages, which affect the possibilities of the policy and the quality of services provided. Having bought an expensive car, it is natural to want to protect it and yourself from force majeure that often happens on the roads.
What insurance to arrange for a car
In Ukraine, there are two main insurance policies that interest drivers – OSAGO and CASCO. The first is mandatory for all owners of ground vehicles and is regulated by law. Auto liability (OSAGO) compensates for damage to victims as a result of an accident within the limits:
- 130,000 UAH for property
- 260,000 UAH for treatment
If you become the culprit of an accident, your insurance company covers the repair of the victims’ transport and their treatment (if there are casualties in the accident) within the specified financial limits. However, it is important to understand that the contract does not cover your personal car. Repairs will have to be paid out of your pocket. It is recommended to purchase an additional DGO policy with OSAGO, which will extend the limits of the main contract up to 1 million UAH. DGO works only in tandem with auto liability but is not dependent on it.
CASCO is a voluntary policy that is issued specifically for the car and protects the interests of its owner. The essence is that the insurer will make a payment for any road incident, regardless of who is guilty and who is right. CASCO covers: car repairs after an accident, damage caused by illegal actions of third parties, natural disasters, fire, falling objects on the vehicle, and more. Because CASCO covers a wide range of risks, the price of the policy is much higher than OSAGO.
Conclusion: in the case of OSAGO, drivers do not have to choose – having a policy is unconditional. Otherwise, the car owner faces a fine of up to 850 UAH. But auto liability will not save the driver, it will only help to avoid compensating the victims. Although without DGO, there is a possibility that part of the funds will still have to be reimbursed in a significant accident, since today OSAGO limits are not enough. But in tandem, OSAGO and CASCO give a chance to get guaranteed vehicle protection under any circumstances.
Electronic Insurance – Advantages and Disadvantages
Since 2018, Ukrainian drivers have access to online OSAGO insurance. A driver can buy a policy without visiting the insurance company’s office. The obvious advantages include the following:
- Fast processing. Auto liability can be purchased in just 5 minutes. All that is required: a smartphone and Internet access. Once the contract is formed, it is sent to the client’s email in PDF format.
- Convenience of storage. The e-contract does not need to be printed. It automatically syncs with the “Diya” application. Document availability can be confirmed from the mobile device’s screen.
- Reduced price. Online means without the intervention of an insurance agent, whose commission is included in the paper version of the policy. That is, the electronic contract is at least 10% cheaper. If you approach the policy selection consciously, you can save up to 40%.
- Security of purchase. The digital contract cannot be forged, as it is recorded in the database of the Motor Transport Bureau of Ukraine. Falsification of a paper form still occurs.
Unfortunately, CASCO sales in electronic format are not yet available. Since many factors affecting the insurance price cannot be checked remotely as of now. But the market is gradually moving towards this.
As for pitfalls when purchasing a policy online, there are none. The electronic policy has the same legal force as the paper form. The differences are only in the registration procedure: with the help of an insurance company employee or independently.