UKRAINE: the number of complaints about delays in MTPL claim payments decreased by 75% in the past 5 years

10 June 2020 — Marina MAGNAVAL
From 2015 to 2019, the claims volume paid by local MTPL insurers to the victims of road accidents amounted to almost UAH 9 billion (~EUR 0.34 billion), according to MTIBU's (Motor Transport Insurance Bureau of Ukraine) analysis of the MTPL market dynamics.

The number of MTPL contracts increased over the course of the past 5 years - from 6.8 million units in 2015 to 8 million units in 2019, while the related GWP grew by 1.7 times - from UAH 3 billion to UAH 5.1 billion.

The number of MTPL claims for the past 5 years reached almost 600 thousand cases, for which about UAH 9 billion were paid to victims of traffic accidents. Additionally, MTIBU paid UAH 623 million from the fund for protection of the road accidents victims. The average amount of claim payments increased 1.7 times in the past 5 years.

Also, in recent years, the number of paid claims under the European Accident Statement increased drastically, almost 4 times - from 12.5 thousand in 2015 to 47.5 thousand in 2019. On average, every third claim payment is now made based on the European Accident Statement.

Besides, MTPL insured limits increased over time by 2.6 times - from UAH 50 thousand for property damage and UAH 100 thousand for damage to life and health to UAH 130 thousand and UAH 260 thousand, respectively. The average claim settlement period reduced almost by half and continues to follow the reduction trend - in 2019 it was 88 days, and by the end of 1Q2020 it reached 66 days.

For the past 5 years, the number of complaints against MTPL insurers decreased 1.5 times. Moreover, insureds now complain less about delays in claim payments, which is the main reason for complaints - over the last 5 years this number dropped by 75%.

Among the implemented solutions that improved the quality of service for clients, MTIBU noted e-policy and electronic European Accident Statement, a system of voluntary direct claim settlement, ability to verify a policy on MTIBU website, electronic account for tracking claim payment status, quarterly publication of MTIBU evaluation of the insurers' quality of work.


*EUR 1 = UAH 26.22 (31 December 2015)
EUR 1 = UAH 26.42 (31 December 2019)



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