How to get money instead of repairs for OSAGO

At present, the rules of insurance for «auto civil liability» establish the priority of repairs in the direction of the insurance company over the payment of funds by it. However, often drivers, for one reason or another, ask themselves the question: is it possible to refuse to be sent for repairs to a car service and just get monetary compensation? In fact, this is possible, although not always. We will analyze who and how can refuse to repair and receive money from the insurance company.

The owner of the damaged vehicle may choose to receive a cash payment for various reasons. Usually, this is due to distrust of the car service, to which the insurer sends the car for repair. Occasionally it happens that a motorist just wants to get some money and spend it at his own discretion, and postpone the repair of the car.

It should be borne in mind that receiving compensation in cash is not always beneficial for the car owner. It may happen that the amount paid for car repairs will not be enough, while the repairs sent by the insurance company would have been carried out without any problems.

The legislation clearly defines in which cases the insurance company is obliged to make a payment instead of sending the car to a service. These include:

Let’s consider each of these cases in more detail.

If moderate or serious harm was caused to human health, then it is compensated by the insurance company in cash.

In this case, the insurer makes a cash payment under OSAGO to certain persons. The legislation uses the wording “disabled persons who were dependent on the deceased or had the right to receive maintenance from the deceased”. These may include the spouse, children and parents of the victim in the accident.

Not every person with disabilities can claim a monetary compensation from the insurance company, but only those who use the vehicle precisely for medical reasons.

If the car cannot be restored after the accident, then there will be no question of any repair, respectively. The owner of the deceased vehicle will receive compensation in cash.

In the case of a «mutual» calculation of the amount of compensation for CMTPL to the participants in the accident depends on the degree of their fault in the incident. The insurance company here has the right to offer a referral for repairs with a small surcharge on the part of the road accident participant, but he, in turn, has every right to refuse it.

Sometimes in road traffic accidents, damage is caused not only to vehicles, but also to other objects: from the property in the car’s interior to building structures. It is clear that the insurance company will not be able to send the damaged thing or structure to a car service for repairs, therefore, in such a situation, the victim is paid in cash.

At the moment, the limit on the amount of compensation for «car insurance» is 400,000 rubles. If the incident was registered according to the European protocol and without the use of specialized applications, then the maximum payment amount is even less: only 100,000 rubles.

When the actual cost of repairing a vehicle exceeds these amounts, the victim may demand payment of money from the insurer.

If the car service to which the injured car was sent by the insurance company believes that an additional payment must be made for repairs, the owner of the car can also apply for funds.

The car service is given no more than 30 days to carry out repairs directed by the insurance company. If for some reason this period is not enough for the repair, the car owner has the right to receive payment.

The legislation obliges the insurer to choose a car service, which is located within 50 km, to be sent for repairs under OSAGO. There are two important nuances here.

Firstly, we are not talking about the distance to the service in a straight line, but about the length of the real route.

Secondly, the starting point of the distance to the service station can be both the place of residence (more precisely, the place of registration) of the victim, and the place of the accident. In this case, the choice is entirely given to the injured motorist.

If the damaged car is not yet two years old, the insurance company is obliged to send such a car for repair strictly to an official dealer (distributor) of the corresponding brand. This applies to all cars for which the warranty period established by their manufacturer has not yet expired (even if it is, for example, 5 years, which sometimes occurs). However, as already noted, the distance to the car service should still not exceed 50 km. If there is no official dealer of this brand within this range, this is a reason to demand monetary compensation from the insurance company.

Regardless of other factors, if a vehicle registered to a legal entity is damaged in an accident, the owner may demand a cash payment from the insurer, and not a referral to a car service.

Nobody forbids the insurer to make a monetary payment to the victim, if both agree to this. No explanation is required here. However, in practice this happens very rarely.

Let’s clarify right away: this method is complex and risky. In such a situation, no one can guarantee the success of receiving payments for «car insurance». There is a chance that this will have to sue the insurance company.

The insurer has the right to refuse any compensation to the victim if he has not provided the damaged car for inspection. This is a completely logical requirement, which serves to counteract fraudulent schemes with the registration of road accidents, which in fact did not occur — with the subsequent demand from the insurer for payment.

However, in some situations, the victim has to wait for a court decision on the accident for some time. It is known that such proceedings can take a long time. Accordingly, all this time, a person cannot apply to the insurance company for compensation for damage, and, therefore, provide a car for inspection. And the car will not be repaired all this time. To avoid such situations, it is possible to use the following scheme.

The injured driver gives his car for an independent examination (required by a licensed expert) to assess the cost of car repairs. Then he repairs the car at his own expense. At the end of all the proceedings, the victim contacts the insurance company, informs that the car has already been repaired, and provides the insurer with an expert opinion on the cost of the repair.

Given the risks, such a scheme should be used only when necessary — that is, in the case of precisely lengthy proceedings.

To require the insurer to make a payment in cash, you need to contact him with a corresponding application, which can be submitted at the company’s office or sent by registered mail. In the first case, be sure to receive confirmation that your application has been accepted. This can be done, for example, by providing a copy of the document, on which the employee of the insurance company will make a corresponding note. In the second, use sending by registered mail with a description of the attachment, in which you indicate that you are sending an application for payment. These measures will confirm the fact of the appeal if the insurer refuses the claim and you have to go to court.

As such, there is no strict form for such a statement. To draw up it, you can contact a professional lawyer or simply use a ready-made application from the Internet as a sample.

If the insurer, after receiving the application, does not want to make a payment, the car owner can go to court. You will need to file a claim with the requirement to oblige the insurance company to comply with legal requirements and recover the required amount from it. In addition to the claim, a copy of the application filed with the UK with a mark of acceptance or an inventory of the certified letter through which the application was sent should be provided to the court.

Of course, you should only go to court if the refusal of the claim is really unlawful.

Thus, in some cases, the driver, instead of being sent for repairs, can actually receive compensation for damage from the insurer in the form of a certain amount of money. But the list of these cases is not long. In addition, there is always a risk that the insurance company will refuse to comply with the requirement and will have to go to court.

Photos are taken from open sources.

It is interesting: