Calculation of MTPL refund when selling a car

Refund of MTPL when selling a car

Good afternoon, dear reader.

Not all drivers know that it is possible to return part of the cost of compulsory motor insurance after selling the car.

For example, this fact is confirmed by the fact that many sellers simply give the insurance policy to the new owner, although he does not need it at all.

This article addresses the following issues:

In what cases can you terminate the MTPL agreement and return the money?

The possibility of terminating the MTPL agreement is provided for in paragraph 4 of Article 10 of the Federal Law “On compulsory insurance of civil liability of vehicle owners”:

4. In case of early termination of a compulsory insurance contract in cases provided for by the rules of compulsory insurance, the insurer returns to the policyholder part of the insurance premium in the amount of the share of the insurance premium intended for insurance compensation and falling on the unexpired term of the compulsory insurance contract or the unexpired period of seasonal use of the vehicle.

Please note that refunds are not possible in all cases .

There is a list of situations in which you can get a refund, and it will be discussed further. However, it should immediately be noted that if the driver decides to terminate the MTPL contract for no apparent reason, then the money will definitely not be returned to him.

So, the situations in which the MTPL agreement can be terminated are discussed in detail in paragraphs 1.13 - 1.16 of the Rules for compulsory civil liability insurance of vehicle owners. These paragraphs provide both situations in which you can return money for unused policy time, and situations in which the cost of the policy is not returned.

Within the framework of this article, situations in which a refund of the cost of compulsory motor liability insurance is possible :

• death of a citizen - policyholder or owner;
• liquidation of an insurance company;
• revocation of the insurance company's license;
• destruction (loss) of a vehicle;
• changing the owner of the vehicle (sale of the car).

How to get money back for unused MTPL insurance?

Getting a refund for unused insurance when selling a car in 2019 is a no-brainer. The driver needs to contact the insurance company where the MTPL policy was purchased and fill out a refund application there.

documents will be required for return :

• Passport;
• OSAGO policy;
• Car purchase and sale agreement confirming the sale;
• Bank account details where the money will be transferred.

The return procedure usually goes smoothly. As for questions and disputes, they most often arise regarding the amount of the refund.

How to calculate the refund amount under compulsory motor liability insurance?

4. In case of early termination of a compulsory insurance contract in cases provided for by the rules of compulsory insurance, the insurer returns to the policyholder part of the insurance premium in the amount of the share of the insurance premium intended for insurance payments and falling on the unexpired term of the compulsory insurance contract or the unexpired period of seasonal use of the vehicle.

There are 2 conditions in this paragraph:

• Only the portion of the premium intended for insurance payments is returned.
• Only the amount proportional to the remaining validity period of the compulsory motor liability insurance policy is returned.

Let's look at each of them in turn.

1. Let's consider the requirements for the structure of insurance tariffs established by the Bank of Russia. 77 percent of the policy value is intended to ensure current insurance compensation under compulsory insurance contracts .

The remaining 23 percent are intended for other purposes and will not be returned in any case.

2. Calculation of the amount proportional to the remaining period of validity of the compulsory motor liability insurance policy.

First of all, you need to calculate the date of early termination of the insurance policy. It is calculated as follows:

• in case of death of a citizen - date of death;
• in case of liquidation of the insurer - the date of liquidation;
• in case of destruction (loss) of the car - the date of destruction (loss);
• when revoking the insurer's license - the date the insurer received the application;
• when selling a car - the date the insurer received the application.

Please note that the amount of refund under compulsory motor liability insurance when selling a car depends on how quickly the former owner of the car contacted the insurance company.

It is in your best interest to do this as soon as possible. Ideally, you need to go to the insurance company on the same day that you sell the car.

After the termination date of the contract is calculated, you need to calculate how many unused days are left .

For example, if OSAGO is concluded for a year and 100 days remain unused, the driver will be able to receive 100 / 365 = 27.3% of the original policy amount. In addition, do not forget that the 23% discussed above is also non-refundable. Those. as a result, the driver will receive 0.273 * 0.77 = 0.21, i.e. 21% of the policy cost.

It should be borne in mind that if the policy was not concluded for a whole year, then the cost will be calculated taking this into account.

For example, if 100 days remained unused, and the policy was concluded for 4 months (from May to August), then the driver will be refunded 100 / (31 + 30 + 31 + 31) = 81.3% of the amount. Taking into account the 23% discussed above, the final payment will be 62.6% of the policy value.

I recommend that you independently calculate the refund amount before contacting the insurance company. If you are returned less and the amount turns out to be significant, then the arrears can be recovered through the court. Naturally, it doesn’t make much sense to engage in legal proceedings for 100 rubles.

In conclusion, I would like to note that the return of compulsory motor liability insurance when selling a car is a fairly simple procedure and I recommend using it.

Refund of the cost of the MTPL policy when selling a car

When concluding a purchase and sale agreement, the car owner often has an unexpired validity period of the MTPL insurance policy. And there is a reasonable desire to return the money that was invested but not used. Next, we will consider in detail the procedure for reimbursement of money for early termination of a contract with an insurance company under compulsory motor liability insurance.

When is it possible to return OSAGO when selling a car?

For better or worse, today OSAGO is a type of insurance, the rules for obtaining which are strictly regulated by law. Therefore, answers to all questions should be sought in regulatory legal acts.

There is a possibility of terminating the MTPL contract, and it is stipulated in the special law on compulsory vehicle insurance. According to this law, the money will be returned in the amount of unpaid contributions. In other words, how much money remains until the end of the insurance, so much money will be returned to you in the end.

The legislation contains a very important phrase: “termination of the contract in the case provided for by the rules of compulsory insurance.” A refund of the deposit is not always possible. To do this, you will have to prove that you have valid reasons for committing such an action. It is hardly possible to return money for an MTPL policy without significant evidence.

The list of situations when the return of payments is justified is fixed in the rules of compulsory insurance. It also discusses cases in which money should not be compensated.

Payments under compulsory motor liability insurance can be returned if:

1. the person for whom the policy was issued died;
2. the owner of the car has died (in such cases, the car can be inherited by other family members, and they will take out new insurance and register the car in their name);
3. termination of existence or loss of the license of the insurance company that issued the MTPL policy;
4. car theft or it burned down;
5. re-registration to another name.

One of the special cases in this situation is a change in the owner of the car. This can be either a donation agreement or a sale.

Re-registration of a car is a good enough reason to force the insurance company to return the remaining cost of compulsory motor liability insurance.

Calculation of the refund amount of MTPL insurance when selling a car

The procedure for calculating the refundable amount of the MTPL policy is also prescribed in the law on compulsory vehicle insurance. The final amount of money will depend on the number of days remaining until the insurance expires. At the same time, it is unlikely that you will be able to return the full cost of insurance for these days.

The refund amount for compulsory motor liability insurance when selling a car is calculated using a special tariff system, and refund rates are described in reference books regulating this part of the activity. So, according to the requirements for insurance rates, you can only get back 77% of the amount remaining before the expiration of the insurance period. The remaining interest is not intended for return and is directed to other needs. 3% goes to the Russian Union of Auto Insurers, the remaining 20% ​​pays for the costs of running the business (preparation of documentation, salaries to employees, and so on).

Some drivers do not agree that the insurance company has the right to withhold 23%, and file a claim in court with the intention of returning the full cost of the remaining days. There are often cases when they win the case. The law does not stipulate anywhere the need to withhold 23%, so very often, with the help of the court, you can return the full cost of compulsory motor liability insurance when selling a car.

There are also some nuances when calculating the number of days for which insurance payments will be made. First, you need to correctly determine the date that will be officially considered the day of termination of the contract. It will be different for different cases.

For example, if the owner dies, the money will accrue from the date of death. If the insurance company ceases to exist - from the date of official liquidation. In other words, these are factors beyond the control of the person seeking compensation.

When selling a car, the situation is completely different. Recalculation occurs from the day the policyholder submitted an application to terminate the contract. Therefore, the faster you act, the more money you will be able to get back. Since the application can only be submitted after the purchase and sale agreement has been signed, insurers must be contacted on the same day. Then the refund amount under compulsory motor liability insurance will be maximum.

In order to calculate the number of days for which the residual value of the insurance policy will be calculated, you count the number of calendar days between the date of filing the application and the date of termination of the MTPL policy. Divide this number by the sum of calendar days in a year.

Let's say that after selling your car you still have 57 days left to use your MTPL insurance policy. Then the payment amount will be:

However, do not forget that you will not be able to get even this 15%. You need to calculate 77% of this amount, and this is the final amount of money you will receive. With additional calculations you get:

That is, in the end, you will be able to return only 11% of the entire cost of the MTPL policy.

However, do not forget that the validity period of the insurance policy may not be 365 days. In this case, the calculation formula will change slightly. Let's say you have 57 unused days left of the 6 months of your policy. Then you can return:

And taking into account the interest that will remain with the company in any case, you will receive:

Before contacting insurers for a refund of the cost of compulsory motor liability insurance when selling a car, it is better to independently calculate the amount you expect to receive. If, as a result, you are returned less, there is a reason to go to court and recover the missing amount. Of course, if there is a small shortage, there is no point in making a fuss, but if the amount turns out to be impressive, then there is a reason to contact special authorities.

Documents for returning MTPL insurance when selling a car

In order to successfully terminate the MTPL agreement and receive compensation when selling a car for unused policy days, you must provide the company with some documents:

• copy of passport pages;
• policy and a receipt confirming that the policy has been paid.

Next, you need to prove that you are terminating the MTPL agreement for a good reason and have the right to receive the money. In our case, this document will be a copy of the purchase and sale agreement. To be on the safe side, you can bring the original.

If you are unable to attend the application yourself, you can send someone on your behalf. In this case, a notarized power of attorney is added to the above documents.

Already on the spot, you write an application, a sample of which is available in every company, after which the employee accepts the documents and sends the case for consideration. The money must be returned to you within the period established by law.

Application for insurance compensation

As a rule, each insurance company has its own application form for termination of the contract and refund of money for unused time of MTPL insurance. However, there are no strict rules for writing such a statement; it can be drawn up in free form.

However, there is a list of information that must be indicated in your application for a refund of the cost of compulsory motor insurance when selling a car:

• FULL NAME;
• the name of the insurance company you are interacting with;
• number and date of conclusion of the MTPL agreement that you are going to terminate;
• the reasons why the statement is written (in our case, the need to terminate the contract)
• reasons for terminating the MTPL policy (transferring the car into ownership of another person)
• also indicate the need to receive monetary compensation for the number of unused days of insurance;
• You can specify the bank details to which the money will be transferred after the successful consideration of the case.

Make sure that at the bottom of the application there is confirmation from an insurance service employee that the application has been accepted by the company. If you have problems with the company in the future, this will play into your hands in court.

You can play it safe and ask for the application registration number. This should be done if you already have some suspicions about the insurance company. In this case, you will be able to prove that the application was submitted on a certain day.

An application for a refund of the cost of compulsory motor liability insurance when selling a car can be written manually, or you can print out a ready-made form and fill in the missing information. It is better to look at examples of statements on the website of the insurance company with which you entered into an agreement.

Step-by-step instructions for refunding the cost of OSAGO

Before you go to the insurance company with a bunch of documents, make sure that all formalities with the purchase and sale agreement are settled. Until you transfer the ownership of the car to another person, you do not have sufficient grounds to receive compensation for the cost of compulsory motor liability insurance.

You can terminate the contract with the insurance company at any time. To do this, you don’t even need to explain the reasons for your decision. Motives in the form of re-registration of a car are needed precisely in order to receive monetary compensation in the future.

Next, you need to collect all the documents from the list above. Most of them should already be in your hands, so you shouldn’t spend a lot of time collecting papers.

The next step is to write an application for a refund of the cost of compulsory motor insurance when selling a car. This can be done either at the insurance company or in advance.

After all the documents have been collected, you go to the insurance company. There you explain to the employee the essence of your visit and give him the documents. He double-checks everything and says what needs to be conveyed if necessary. The employee will accept your application, register it (you can rewrite the registration number), and then send the application for consideration.

After some time, you should receive an answer in the form of transferred money or a written refusal to pay compensation for the MTPL policy. If the money is transferred, then the procedure ends. If the insurer refuses to pay compensation for the cost of insurance when selling a car, then you have the right to file a lawsuit. As a rule, if there is sufficient evidence, the case is resolved in favor of the policyholder.

Terms for returning the cost of compulsory motor liability insurance

Knowing the legal terms for the return of the cost of compulsory motor liability insurance when selling a car is very important, since if they are violated, you have the right to demand additional compensation from the company for the waiting time.

The money is returned not from the moment the contract for the sale of the car is concluded, but from the moment the application is submitted to the insurance company. So try to do this as quickly as possible. Also, keep track of what registration date the employee will set when accepting your application.

The insurance company is obliged to return the money under compulsory motor liability insurance within two weeks after submitting the application. This is usually done through the bank account that you indicate when purchasing a policy or submitting an application.

Some companies return the amount immediately after the policyholder applies. In this case, money can be issued not through a bank, but in cash at the cash desk.

If the company does not respond to the application within 14 days, you have the right to write a complaint addressed to the head of the company. When this does not help to return the cost of compulsory motor liability insurance after selling the car, then you need to go to court. Preliminary submission of a written complaint is mandatory to apply to a judicial authority.

What to do in case of refusal?

The main reasons for refusing to refund the cost of compulsory motor liability insurance when selling a car:

• insufficiently compelling reasons for return;
• late deadlines for contacting insurers.

Firstly , the insurance company may consider the reasons for termination of the MTPL agreement to be inappropriate for cases of receiving compensation. It’s difficult to do this when selling a car, but it all comes down to formalities with documents. However, disputes over these issues most often arise in the event of liquidation of insurance firms.

Secondly , the company may refuse to return the money, explaining this by the late date for submitting the application. In other words, if you come to the insurer several months after concluding the purchase and sale agreement, then he may refuse to return it. Therefore, the sooner you submit your application, the greater your chances of avoiding problems.

Features of refund for compulsory motor liability insurance when selling a car

Reimbursement of the cost of compulsory motor liability insurance when selling a car has its own characteristics. First of all, this may not be advisable on the part of the car owner. If in the future you in any case have to take out new insurance, then it makes sense to simply wait until the old one expires. Especially if the final payout turns out to be not so large.

Sometimes insurance companies provide their clients with special bonuses for accident-free driving. They give you the right to purchase the next MTPL policy at a discount. However, this only applies if the policy purchase agreement has lasted for more than a year. If you terminate the contract early, you may lose the discount.

In any case, you should find out in advance about the availability of such incentives from an employee of the insurance company. It’s a good idea to consider which is the more profitable option: receiving a refund or purchasing a policy at a discount.

Often, receiving compensation for early termination of compulsory motor liability insurance from the insurance company does not cause problems. Especially if this is done due to the sale of a car. In any case, always remember that you have the right to get your money back, regardless of the wishes of the insurers.

Features of the OSAGO return procedure when selling a car - step-by-step instructions for calculation and necessary documents

Purchasing a compulsory civil liability insurance policy (MTPL) is a prerequisite for driving a car on the territory of the Russian Federation. The policy can be purchased for a period of three months, but it is most profitable to purchase it for a year. Thus, most policies issued in our country have an annual validity period.

How to terminate a contract with an insurance company if you need to sell or donate a vehicle? What documents are needed for this? This will be discussed in this article.

Dear readers! Our articles talk about typical ways to resolve legal issues, but each case is unique.

If you want to find out how to solve your particular problem, just call, it’s fast and free!

The law provides for the return of part of the insurance premium to the policyholder upon termination of the contract, but only in cases provided for by the rules. Situations in which the policy is no longer required and part of the amount can be returned include:

• sale of a car to a new owner when the MTPL policy has not expired;
• loss of the insurance company's license to operate;
• loss of a vehicle, for example, due to theft or theft;
• death of the policyholder or owner of the vehicle;

liquidation of the company that issued the insurance policy.

The starting point for the unused period when selling a vehicle is the date of filing the application for termination of the contract. The application form can be downloaded from the insurance company’s website, compiled yourself, or received in paper form from the insurance company manager.

Drawing up a notice of termination

An application for termination of the MTPL contract is filled out by the Insured addressed to the general director of the insurance company. The application must indicate the following information:

1. Full name of the policyholder;
2. number and date of the contract (MTPL policy number);
3. date of termination of the contract;
4. reason for termination of the contract;
5. a list of supporting documents attached to the application;
6. request to return part of the insurance premium for the unused period and indicate the details for transferring funds;
7. a note indicating receipt of the application from the insurer.

• Download the application form for termination of the MTPL agreement
• Download a sample application for termination of the MTPL agreement

An MTPL insurance policy and copies of documents confirming the right to a refund must be attached to the application for reimbursement of funds for the unused period. Copies must either be certified or the applicant must be prepared to produce the originals.

Required documents

To terminate the insurance contract and return part of the insurance premium, the following documents will be required:

• identification document of the applicant;
• a notarized power of attorney for the representative of the Insured, if the documents are submitted not personally, but by an authorized person;
• a copy of the vehicle registration certificate, which indicates the name of the new owner, in case of termination of the contract in connection with the sale of the object;
• vehicle purchase and sale agreement or other types of agreements confirming the transfer of ownership to the new owner;
• expert opinion on the impossibility of restoring the car in case of termination of the contract due to the destruction of the vehicle;
• resolution to suspend the criminal case of theft;
• a fire report issued by the Ministry of Emergency Situations or the State Fire Service in case of loss of a vehicle in a fire;
• act on the disposal of the vehicle, in case of termination of the compulsory motor liability insurance contract in connection with the disposal of the vehicle;
• death certificate of the Policyholder or the owner, if termination of the contract is due to this reason, as well as a document on entry into inheritance.

Step-by-step instruction

If you want to terminate the MTPL agreement in connection with the sale of a car, the car owner should carefully study the list of documents required for termination , submit an application with all supporting documents and expect payment.

However, before submitting an application, it is advisable for the policyholder to make a calculation to determine the amount of the future return. How to calculate the amount due when returning insurance?

Companies do not use as a basis the entire amount paid for the policy, but only 77% of it. The reason is that 23% of the cost of the policy in accordance with clause 1.16 of the OSAGO Rules and the structure of insurance tariffs approved by the Bank of Russia does not go towards insurance payments, but covers the costs of insurance companies for conducting business, issuing and issuing policies, and paying 3% in RSA (read more about insurance rates and tariffs here).

Thus, to calculate the due payment, you should:

• determine the cost of the MTPL policy, this amount is present both in the policy itself and in the receipt issued by the insurer upon registration;
• calculate 77% of the policy cost, this figure will be the basis for calculating the refund amount;

to calculate the payment due for an unused period, you need to multiply the base by the ratio of the days remaining until the end of the period to the total number of days in the year, that is, by 365 (if the policy was issued for a year).

The calculation can be represented as a formula:

• Refund - the amount of return for the unused period.
• SP - the cost of an MTPL policy (you can find out how the cost of an MTPL policy is calculated here).

N – number of days until the expiration of the policy.

Calculating the amount of the refund due will prevent the insurance company from attempting to underestimate the amount of payment, should such an attempt occur. There is also case law in which policyholders have challenged a 23% reduction in basis and received their full refund for the unused days. However, few people want to deal with the courts; most policyholders limit themselves to the standard method of obtaining a refund.

There are also alternative ways to get your funds back, for example, re-issuing an existing policy to the new owner of the vehicle. In such a situation, you can avoid a loss of 23% and agree with the buyer to pay for the remaining period of the policy personally to the seller. This method is not regulated by law; from the point of view of the insurance company, the seller, for personal gratuitous reasons, reissues the policy to the buyer. Here it is important to be sure of the buyer's integrity.

Refunds for unused periods are common and usually do not pose any obstacles from insurance companies. It is important to understand that in the case of selling a car, the start date of the unused period is the date of application.

Therefore, after selling the vehicle, you need to contact the insurance company as soon as possible. By law, the Insurer has 14 calendar days from the date the applicant submits a complete set of documents in order to make the payment. In practice, after checking the authenticity of documents, insurance companies can immediately send the Policyholder to the cash desk to receive the refund amount.

Is refusal possible?

Those wishing to terminate the civil liability insurance contract early may be denied payment. There are two types of reasons for refusal:

The package of documents provided by the policyholder contains errors or does not contain all the required supporting documents. In such a situation, the policyholder will have to provide a corrected or supplemented package of documents.

The policyholder will be denied a refund if the reason for the return does not fit any of the situations from the list: sale of the car, loss of the vehicle, death of the policyholder or revocation of the license from the insurance company.

If neither one nor the other reasons apply to your case, you should go to court. The court will order the insurance company to pay the amount for the unused period and reimburse you for legal costs.

In conclusion, it should be noted that returning part of the insurance premium for the unused period is not always a profitable solution for the car owner. Insurance companies assign each driver a coefficient for accident-free driving during the full insurance period (you can find out what coefficients are used when calculating the cost of compulsory motor liability insurance here).

Moreover, the coefficient is end-to-end for all Insurers. A high bonus-malus ratio allows you to conclude a contract for the next period with a significant discount (we talked about how the driver’s class affects the size of the discount when calculating compulsory motor liability insurance here).

Thus, the policyholder deprives himself of the opportunity to receive an increased coefficient for accident-free driving by prematurely terminating the MTPL agreement. This factor should be taken into account when calculating the refund amount and making a decision to terminate the contract.

How to get money back for MTPL insurance when selling a car

OSAGO is a compulsory type of insurance. All provisions relating to the registration and use of the policy, as well as the principles of operation of the “motor citizen”, its features are enshrined in No. 40-FZ of April 25, 2002. The specified regulatory legal act allows for the possibility of early termination of the contract after the sale of the car with payment to the client of the unused portion of the insurance premium.

In the article we will consider the procedure for returning funds paid for compulsory motor liability insurance, as well as the procedure for calculating such compensation.

Procedure for returning part of the insurance premium

The legislation allows you to return money for compulsory motor liability insurance after alienation of the car. This is possible if, after the sale of the vehicle, the previous owner still has a valid vehicle license. The right of the ex-owner of the vehicle to return part of the insurance is reflected in Art. 10 clause 4 No. 40-FZ and ch. 1 clause 1.13–1.17 of the Regulations “On the Rules of Compulsory Motor Liability Insurance”.

Early termination of the contract and the return of part of its cost occurs according to a certain algorithm:

preparation of necessary documents;

notification to the insurer of termination of the contract;

receiving funds.

What documents will be required

To cancel the contract early, the former owner of the car must provide the insurer with the following set of documents:

identification document;

car purchase and sale agreement;

a photocopy of the title with notes about the new owner;

details of the account to which the money must be transferred (if choosing a non-cash payment method);

receipt for payment of insurance premium (if available).

If a representative of the policyholder will handle the refund, then it is additionally necessary to issue a notarized power of attorney in his name.

To avoid mistakes, it is recommended to fill out the application directly at the company’s office using the sample provided by its employee.

Visit to the insurance company

After collecting all the necessary documents, you must submit them to the insurer. An application for a refund of compulsory motor liability insurance when selling a car is drawn up in two copies. One of them is transferred to the agent, the second is kept by the policy owner.

The insurance company employee must confirm acceptance of the documents with a stamp and date of transmission on the application and inventory of the submitted documentation, which remain with the policyholder.

After calculating the amount of compensation, funds can be paid to the client directly at the organization’s cash desk. If the applicant has chosen a non-cash method of returning insurance, the funds will be credited to the account with some delay.

Calculation procedure

According to clause 34 of the Rules “On Compulsory Motor Liability Insurance”, in case of early termination of an insurance contract, the policy holder is paid part of the premium for the unexpired period of validity of the document. Based on the specified regulatory act, when selling a car, this period begins to be calculated from the date of filing the corresponding application with the Investigative Committee.

The process of calculating compensation does not take much time, since such calculations have clear algorithms and are automated. The policyholder can independently determine the amount of payment to check the honesty of the company.

Calculation rules

The amount to be paid upon early termination of the contract is calculated using the formula:

K – amount of compensation;

SP – the amount of the insurance premium paid when purchasing compulsory motor liability insurance;

D – number of unused months of insurance.

The amount of deductions withheld when calculating the return of part of the cost of insurance is determined by Decree of the Central Bank No. 3384-U of 2014. It is 23% of the price of the MTPL policy. These costs are distributed as follows: 20% - payment for the work of the insurer, 3% are transferred to the RSA fund.

Calculation example

Let's say the policyholder sold the car 2 months before the termination of the compulsory motor liability insurance policy. When concluding an agreement with the insurance company, he paid a premium in the amount of 9,602 rubles. To calculate how much money the company will return to him, you need to substitute the available data into the formula:

(9602 – 23%)*(2/12)=1232.25 rubles.

If the calculation made by the motorist does not coincide with the results of the insurer's calculations, then the policy holder can go to court to resolve the dispute.

Other cases when you can get your money back for compulsory motor liability insurance

Based on clause 33 of the rules “On OSAGO”, part of the insurance premium can be returned not only when selling a vehicle. Other reasons for compensation have been identified:

death of the policy holder or vehicle owner;

loss of a car (theft, total loss);

revocation of the insurer's license.

The rules for returning part of the insurance premium in case of early termination of the contract for the reasons described above do not differ from the procedure given in the article.

Let's sum it up

Refunds for compulsory motor liability insurance do not cause any particular difficulties and are most often approved by insurers. To avoid mistakes and save personal time, it is recommended to carefully check the completeness of the collected set of documents and transfer them to the company representative. Subsequent payment depends on the speed of work and integrity of the insurer.

Refund of MTPL when selling a car

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Within the framework of Federal Law 40, all drivers who plan to drive their “iron friend” must buy compulsory motor liability insurance. But what to do if the car is sold, but the insurance under the contract is still valid? Is it possible to refund OSAGO when selling a car? As a result of the fact that not all vehicle owners know about the return procedure, we will look at what is needed for this and how much you should expect.

In what cases can you terminate the contract and return the money?

If you carefully study the law, it will become clear that within the framework of the law you can terminate the contract form and receive money for the unused period of insurance.

The rules clearly state that a refund is only allowed in certain cases:

• when the vehicle is sold
• if the car is scrapped
• in case of death of the car owner

Also, the financial institution is obliged to pay part of the money for the remaining period in the event of bankruptcy or liquidation. But as practice shows, it is extremely difficult or impossible to withdraw part of your money in this case.

In what cases is it not advisable to terminate a contract?

It should be noted that there are cases when it is inappropriate for the policyholder to contact the insurer for the purpose of termination. Let's consider the main cases:

How to get money back for unused electronic insurance

Since car enthusiasts are actively purchasing an electronic contract, we will consider how to return funds under the contract if the financial institution is located in another city.

In this case you will need:

• make a copy of your passport
• attach a copy of the purchase and sale agreement
• attach the contract form with the original signature
• write an application addressed to the manager or director (data can be found by calling the toll-free customer support line)
• attach the details to which you want to send funds

The application is filled out in free form; all you need to indicate in it is:

• last name, first name and patronymic
• passport data
• contract number and date of issue
• the reason for the termination
• details to which to transfer the amount
• the entire list of documents that you send along with the application

All documents should be sent by mail, registered mail with notification.

How to calculate the refund amount

Before visiting the insurer's office, you can independently find out the amount to be refunded. In fact, the calculation is formed quickly and simply. According to the law, a special formula has been approved into which you should substitute your values ​​and make a small calculation.

Formula for calculation:

Refund = (Insurance premium -23%)*((365-number of days of contract validity)/365)

In the formula, 23% is the RVD. This percentage is approved and fixed at the legislative level. All organizations charge it, even if the client terminates protection on the day of registration.

RVD is the work of the manager, his salary and payment for issuing the form.

Termination procedure

Every driver should know how the termination procedure occurs, what is necessary for this and what documents must be presented.

Collection of documents

When contacting the insurer's office, be prepared to present the following documents:

If you personally cannot contact, then you should entrust it to another person. In this case, you will need to make a notarized power of attorney.

Even the owner will be refused to accept documents if he is not the policyholder and does not have a notarized power of attorney.

It is important to consider that the account or card must be opened in the name of the policyholder.

It is not recommended to transmit data written by hand on a piece of paper, since the accountant, when making a payment, may misunderstand your handwriting and send the funds to another person’s account.

Contacting an insurance company - office visit

Many drivers are confident that after selling their car, they can visit the insurance company’s office at any time and receive their money. Know that this opinion is wrong. If you carefully study the insurance rules, it will become clear that the refund is calculated not from the date of sale of the car, but when the car owner contacted the office.

Thus, it turns out that every day is real money, which disappears every day. Conclusion - after selling a vehicle, you should immediately contact the insurer's office.

In the office you will need:

• provide documents
• find out the refund amount
• get a copy of the application

In this case, on the copy of the document the employee must put:

• date of receipt of all documents
• your position
• Full name
• registration number (optional)

In addition to the data, the insurance company employee must affix his signature with a seal.

Insurance premium refund calculations

Above in the article we indicated a formula according to which you can independently calculate the insurance premium. For clarity, we offer several examples of calculations so that you can understand the principle of the formula.

For example, you paid 10,000 rubles for compulsory motor insurance. The contract period is from December 15, 2018 to December 14, 2019. Refund calculation from 02/21/2019. It turns out that the insurance was valid for 69 days, from December 15, 2018 to February 21, 2019.

Payment upon termination = (10,000 – 23%)*((365-69)/365):

1. 10,000 – 23% = 7,700 rubles
2. 365-69 = 296
3. 296/365 = 0,8109589
4. 7 700 * 0,8109589 = 6 244,38

It turns out that you will receive 6,244.38 rubles.

For example, you paid 13,045.28 rubles. The contract period is from 03/14/2018 to 03/13/2019. The car has been sold and the return calculation is from 02/25/2019. The insurance policy was valid for 349 days, from 03/14/2018 to 02/25/2019.

Payment upon termination = (13,045.28-23%)/((365-349)/365):

• 13 045,28-23% = 10 044,8271
• 365-349 = 16
• 16/365 = 0,04383562
• 10,044.8271 * 0.04383562 = 440.32 rubles

As you can see, for the 16 remaining days you will receive 440.32 rubles.

Some drivers have slightly changed the formula and consider the return differently:

• divide the insurance amount by the total number of days to find out how much a day costs
• count how many days are left until the end of the term
• the resulting number of days is multiplied by the amount of the contract day
• 23% is subtracted from the received cost

If we calculate the conditions according to the second example, we get:

• 13,045.28 / 365 = 35.74 (per day of insurance)
• until the end of the term 16 days
• 35,74 * 16 = 571,84
• 571.84 - 23% = 440.32 rubles

As you can see, it turns out to be a similar amount. Therefore, you can use the official formula or a simple one to form the remainder of the refund.

Payment of funds

If you carefully study the rules of compulsory insurance, it becomes clear that the insurer is given 14 days to pay the money to its client.

If the insurer fails to fulfill its obligations, you can:

• contact the office again to clarify the reason for the delay in payment
• write a complaint and go to court

If refusal, then why?

It would seem that all the documents have been submitted, but the company refuses to pay. Why does this happen? In fact, there are several reasons for refusal: