New fees on car insurance applied in Azerbaijan

Azerbaijan has introduced differentiated rates on automobile insurance, whereas earlier the payments were the same for all automobile owners, the Bureau of compulsory insurance reported on Monday.

"Rates will vary depending on car (engine size, number of passenger seats), and depending on the history of accidents," the statement said. Tariff changes are made in accordance with the law On mandatory types of insurance, the practical execution of which insurance companies have started from Dec. 16.

The maximum amount paid for compulsory insurance of civil liability of vehicle owners by law is 55,000 manat, while previously it was six thousand manat. Previously, the maximum payout for car repairs of third parties amounted to 1,000 manat, while now it is five thousand manat. Insurance payout is implemented in all cases, except of intentional. The maximum amount paid for health damage has been increased five times, up to five thousand manat. In some cases, insurance payment may be made, even without a reference of state traffic police in the contrast of previous law.


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