Civil Liability Insurance Research Articles

Certain aspects of the implementation of imputed insurance of environmental risks in the Russian Federation

Purpose: of this article is to justify the implementation of insurance of environmental risks in the Russian Federation in the form of a pilot project based on imputed insurance with the definition of the main conditions of insurance coverage.Methods: the presented work uses statistical and predictive methods and the integrated approach for processing data on natural, climatic and human activity risks. Correlation-regression analysis and actuarial modeling were used to determine the conditions for insuring environmental risks and calculate tariff rates.Results: the paper substantiates the possibility of carrying out insurance of environmental risks in the form of a pilot project using an imputed form of insurance. Approaches to the calculation of the main parameters of business civil liability insurance for causing environmental damage as a result of an accident within the framework of a pilot project are proposed, including the determination of the minimum and maximum non-aggregate insurance limit, the minimum number of insurance companies, and the calculation of tariff rates. Due to the lack of Russian statistics on insurance coverage of environmental risks, statistical data on global insurance catastrophic losses from natural events, climate risks and human actions, as well as judicial statistics on disputes over the application of environmental protection legislation, were used for the calculation. The regions of the Russian Federation were identified for the implementation of a pilot project of environmental risk insurance.Conclusions and Relevance: the implementation of a pilot project of environmental risk insurance in certain regions on the basis of imputed insurance will make it possible to assess the current and forecast level of environmental risks in the Russian Federation, the need for insurance and reinsurance protection, the possibility and necessity of state participation in covering environmental damage. Using insurance statistics, insurers will be able to develop adjustment factors that encourage enterprises to take preventive measures. Reflection in a special reporting section of the results of the participation of insurance companies in the insurance of environmental pollution risks will be considered as the implementation of ESG principles.

Essence and stages of e-insurance development in Ukraine

The digitalization of all economic sectors, Ukraine's path to European integration, and the need for consumers to have fast, remote, and convenient insurance services highlight the relevance of implementing electronic insurance in the insurance market. This paper is dedicated to defining the essence of electronic insurance in the context of the digitalization of the insurance market and exploring the main stages of the development of electronic insurance in Ukraine, which has undergone rapid and technological changes since the first sale of an electronic compulsory civil liability insurance policy in 2018. Legislative and regulatory acts governing the process of electronic insurance have been studied. It has been found that the introduction of the electronic compulsory civil liability insurance policy, and later the electronic Green Card, has had a maximally positive impact on the development of the insurance market as a whole and has become an integral part of its innovative and technological breakthrough. It is emphasized that market participants have received additional technological tools for conducting their activities, which positively affects the development of their business and the insurance market as a whole. The further application of digital technologies, artificial intelligence, implementation of customer-oriented interface solutions, integration of all insurance products, and corresponding legislative groundwork will lead to the gradual increase of the share of electronic insurance in Ukraine, which will positively impact the entire financial market and economy in general. It is proven that the establishment of electronic insurance is an integral part of the development of the digital economy and innovative technologies in all areas of economic activity. E-commerce, electronic document management, 4-5G communication, the relentless shift of consumers to touchscreen phones, the use of technological and convenient mobile applications, the implementation of CRM systems, and various innovative solutions have allowed the provision of insurance services to reach a new level while optimizing costs.

Essence and stages of e-insurance development in Ukraine

The digitalization of all economic sectors, Ukraine's path to European integration, and the need for consumers to have fast, remote, and convenient insurance services highlight the relevance of implementing electronic insurance in the insurance market. This paper is dedicated to defining the essence of electronic insurance in the context of the digitalization of the insurance market and exploring the main stages of the development of electronic insurance in Ukraine, which has undergone rapid and technological changes since the first sale of an electronic compulsory civil liability insurance policy in 2018. Legislative and regulatory acts governing the process of electronic insurance have been studied. It has been found that the introduction of the electronic compulsory civil liability insurance policy, and later the electronic Green Card, has had a maximally positive impact on the development of the insurance market as a whole and has become an integral part of its innovative and technological breakthrough. It is emphasized that market participants have received additional technological tools for conducting their activities, which positively affects the development of their business and the insurance market as a whole. The further application of digital technologies, artificial intelligence, implementation of customer-oriented interface solutions, integration of all insurance products, and corresponding legislative groundwork will lead to the gradual increase of the share of electronic insurance in Ukraine, which will positively impact the entire financial market and economy in general. It is proven that the establishment of electronic insurance is an integral part of the development of the digital economy and innovative technologies in all areas of economic activity. E-commerce, electronic document management, 4-5G communication, the relentless shift of consumers to touchscreen phones, the use of technological and convenient mobile applications, the implementation of CRM systems, and various innovative solutions have allowed the provision of insurance services to reach a new level while optimizing costs.

International practice of the bonus-malus system

Purpose of the research – evaluation of the eff ectiveness of the "bonus-malus" in the class of compulsory insurance of civil liability of vehicle owners and the identification of the conceptual foundations of compulsory insurance of civil liability inherent in the experience of foreign countries, as well as the development of proposals to improve the rules of this insurance. Methodology – the methodological basis of the research was the works and publications of foreign economic scientists, a set of general scientifi c and private methods of scientific cognition (analytical, systematic method, analysis, synthesis, comparison, etc.). Originality / value – in order to ensure a balance with favorable values of compulsory civil liability insurance, methodological approaches to the modernization of the bonus-malus system are provided and determined by the expediency and possibility of use in the insurance market of kazakhstan. Findings – it provides for the use of optimal ways of differentiating insurance tariff s by domestic insurance companies, taking into account the degree of risk and interests of policyholders of various categories, and maintaining the availability of tariffs for a wide range of consumers of insurance services.

Russian mutual insurance market: Limitations for development

Aim. To assess the practical significance of the possible implementation of some proposals aimed at the development of the insurance market, based on the analysis of statistical data on the activities of insurance organizations and mutual insurance societies, particularly in the field of insurance of civil liability of notaries.Objectives. With the help of statistical data on the activity of insurance organizations and mutual insurance societies to identify the practical significance of the initiative and its impact on the development of mutual insurers in the insurance industry.Methods. The present study is built on the basis of empirical methods such as observation, comparison, generalization, induction, deduction.Results. The authors analyzed the activity of insurance companies in 2023 in the aspect of insurance organizations and mutual insurance societies, including the impact and significance of the type of insurance of civil liability of notaries on the insurance industry. Taking into account the actually full coverage of notaries by insurance services required by law, there are no problems in the conclusion and execution of these insurance contracts, according to the author’s position. The presence of an insignificant number of insurance organizations in this segment and small volumes of premiums in relation to the total premium collections indicate a low interest of insurers in this type of insurance. Today the market of compulsory insurance of notaries is actually covered and closed for new players. The authors believe that admission of mutual insurers to this segment will not practically lead to the development of mutual insurance and improvement of the insurance market as a whole.Conclusions. Despite the tasks set by supervisory and regulatory authorities to strengthen and develop the insurance market, the initiatives put forward to modernize the mutual insurance market are noteworthy and are certainly important, timely, but insufficient for the realization of the set tasks. The authors conclude that the admission of mutual insurers only to the market of notaries’ liability insurance will not be a significant stimulus for the development of mutual insurance and improvement of the Russian insurance market.

Impact of differences between the Nuclear Law Act and the Vienna Convention on Civil Liability for Nuclear Damage on the Terms and Conditions of Nuclear Civil Liability Insurance2nd Part

This article is the second part of the publication with the same title, which appeared in the issue no. 4/2023 of the “Insurance Law”. The first part discussed selected differences in the regulation of civil liability of the operator of a nuclear installation for nuclear personal injury between the Nuclear Law Act and the Vienna Convention. Those included the definition of nuclear personal injury, the limitation period for claims for such injury and the rules for seeking compensation thereof. The Vienna Convention sets minimum protection standards in the event of nuclear damage, which has served as a benchmark for developing the principle of civil liability insurance of the operator of a nuclear installation for nuclear damage.The second part of the article deals with practical issues and provides a summary of the most crucial information concerning nuclear insurance market. It clarifies the notion of a nuclear insurer and their available insurance options. It also discusses the major elements of the civil liability protection for nuclear damage which differ from the rules of the insured’s civil liability specified by law. Finally, it addresses obstacles which may hinder the offering of this type of insurance as compulsory insurance under national legislation. This Article concerns solely the rules for civil liability for nuclear personal injury suffered as a result of operating the nuclear power plant. Insurance aspects related to the transport of nuclear material from nuclear facilities, the operation of research reactors and radioactive waste repositories have been omitted.

The issue of admissibility of applying reliefs (discounts) and bonuses by insurers in determining the amount of compensation for damage to a motor vehicle of the injured. A gloss to the resolution taken by the seven judges of the Supreme Court of 8 May 2024, ref.: III CZP 142/22

The subject of this gloss is the judgment of the Supreme Court of 8 May 2024, reference III CZP 142/22, concerning the determination of compensation to be paid by an insurance company to the injured party under a civil liability insurance contract for owners of motor vehicles. The judgment addresses the question whether is admissible that insurance companies apply discounts when determining the amount of compensation for the injured party's motor vehicle. The issue in question is of significant importance for insurance practice, as for several years the admissibility of this type of activities by insurance companies has been raised in the jurisprudence of common courts and it also has been subject of considerations in the doctrine. Ununified insurance practice often led to compensation being set at a lower amount than the actual costs of vehicle repair, which in turn gave rise to disputes between the injured party and the insurance company. The gloss only refers to two theses of the judgment of 8 May 2024, as the statement of reasons thereof has not been published upon submitting this gloss for publication.

Is an EU Member State a weaker party in the context of the rules of jurisdiction in direct actions against insurers? Comments on the request for a preliminary ruling in the case Mutua Madrileña Automovilista, C-536/23

The request for a preliminary ruling in the case Mutua Madrileña Automovilista, C-536/23, puts to the ultimate test the concept of “weaker party” that underpins the …U rules of special jurisdiction in direct actions against insurers. The referring court asks whether an …U Member State, acting as a statutory subrogee to the rights of its employee injured in a road traffic accident, can rely on the rule of special jurisdiction established by Articles 11(1)(b) and 13(2) of the Brussels I bis Regulation for the benefit of injured parties. Against this background, first, the preliminary question is based on a premise that the …U Member State may sue the insurer “before the courts for the place where the official […] is domiciled”. This premise seems misguided. In fact, a successor in title of a directly injured party may bring the direct action before the court of their own domicile Second, it is immaterial that an …U Member State is a subject of public international law. Unless the state acts iure imperii [arg. ex Art 1(1) of the Regulation], it can rely on the rules of jurisdiction provided for in the Regulation, including the rules of special jurisdiction in matters of insurance. Third, since the rules of special jurisdiction in direct actions against insurers are established for the benefit of weaker parties, they cannot be relied on by the “professionals in the insurance sector”. To verify whether a claimant qualifies as such a professional in the insurance sector, a two-tier analysis is proposed. In the first step, an abstract and generalising assessment is carried out in order to verify whether the claimant belongs to the insurance sector or has close ties with that sector as the result of dealing (litigating or settling) regularly with the insurance claims as the inherent aspect of the commercial activity model they adopted or public mission they were entrusted with. In the second step, an additional check has to be made in order to ascertain whether the direct action brought against the insurer fits within such a general and abstract profile of the claimant or not. If the direct action does not originate in such a commercial activity or public mission, the claimant cannot be considered as a “professional in the insurance sector” in the context of the specific proceedings. In the light of the above, the contention is that an EU Member State, which, in its capacity of an employer continued to pay the remuneration to its official who became unfit for work as a result of a road traffic accident and which subrogated to the official’s rights vis-à-vis the insurer that provides the civil liability insurance for the vehicle involved in that accident, may rely on the rule of special jurisdiction set forth in Articles 11(1)(b) and 13(2) of the Brussels I bis Regulation.

Impact of differences between the Nuclear Law Act and the Vienna Convention on Civil Liability for Nuclear Damage on the Terms and Conditions of Nuclear Civil Liability Insurance

The focus of this article is that Polish legal provisions on civil liability for nuclear damage do not reflect the provisions of the Vienna Convention in all aspects. However, due to some limitations hereof, the considerations presented deal only with some selected issues that may affect the availability of nuclear third party liability insurance, and will be divided into two parts.The aim of the first part is to consider the major differences between the provisions of the Nuclear Law Act and the Vienna Convention, which include, among others, different deadlines for seeking compensation for nuclear personal injury and/or methods for satisfying such claims. Since both issues refer to personal injury, the notion of the latter is analysed, bearing in mind that certain discrepancies between the Polish Act and the Vienna Convention can also be noted.The second part discusses terms and conditions of third party nuclear liability insurance, entities specializing in offering such insurance, including nuclear pools and nuclear mutual insurance companies, as well as obstacles that may prevent third party nuclear liability insurance from being offered on the Polish market as compulsory insurance.This article covers only the rules relating to civil liability for nuclear personal injury resulting from the operation of a nuclear power plant, with those rules being considered primarily from the perspective of the insurance practice. The principles of civil liability for the transport of nuclear material from nuclear facilities, the operation of research reactors or of radioactive waste storage facilities have not been taken into account, as both insurers’ approach and terms and conditions of insurance covering said activities may vary slightly when compared with nuclear power plants.

Обязательное страхование ответственности за причинение морального вреда

The article analyses the legal regulation of civil liability insurance for moral damage. The author aims to find out whether the current insurance legislation is necessary and sufficient to introduce compulsory insurance of such liability. It is proved that the insurance of civil liability for moral damage within the meaning of the current versions of paragraph 1 of Article 931 of the Civil Code and paragraph 6 of Article 4 of the Law on the Organisation of Insurance business is lawful. The lack of uniform criteria or methods for calculating the amount of compensation for moral damage makes it difficult to assess the insured interest and is the reason for the rarity of this type of insurance in our country. The author comes to the conclusion that the existing prohibition against the introduction of compulsory insurance of civil liability for moral damage is an unjustified excessive regulation. A proposal is formulated to include in the Concept of Development of the provisions of Part Two of the Russian Civil Code on the insurance contract a provision on amending paragraph 1 of Article 935 of the Code in terms of expanding the list of types of civil liability in respect of which the law may establish the obligation to insure the corresponding risk.

ARTIFICIAL INTELLIGENCE AS A BASIC PROBLEM WHEN IMPLEMENTING AUTONOMOUS VEHICLE TECHNOLOGY IN EVERYDAY LIFE

Innovative technologies that use artificial intelligence in transport solutions recently emerging around the world include, among others issues of autonomous vehicle driving. The use of autonomous vehicle technology affects the issues of civil liability (liability and insurance), road safety, natural environment (energy efficiency, renewable energy sources), data (access, exchange, protection, privacy), IT infrastructure (effective and reliable communication), employment (creation and loss of jobs, training of truck drivers in the use of automated vehicles). The development of new technologies related to artificial intelligence, including autonomous vehicles, generates inevitable changes in law, economy and society. It is inevitable due to the fact that autonomy is undoubtedly a means to achieve the goal of improving the efficiency sought in every area of life. The article presents arguments confirming the thesis that the basic factor inhibiting the implementation of autonomous vehicle technology is the problem of artificial intelligence, including its definition and legal regulation.

Problems of insurance law and their solution in the legislation of the Republic of Kazakhstan

Relevance. The relevance of the study is explained by the growing interest of the world's legislative systems in regulating the insurance services market, especially in the private law sector market. In particular, the sale by the state to private legal entities of the rights of a claim for the obligations of the Insurance Benefit Guarantee Fund substantially liberalised the insurance services market under study. Purpose. The purpose of the study is to conduct a formal legal analysis of the national insurance legislation of the Republic of Kazakhstan and the use of comparative legal tools to examine promising institutions of insurance legislation in other countries. Methodology. The study used a systematic approach, epistemological tools of cognition, formal legal method. Results. The study on current problems of insurance law in the Republic of Kazakhstan and other countries revealed challenges such as the fragmentation of regulatory frameworks and a lack of public confidence due to undeveloped insurance mechanisms. The legislation amendments introduced in the Republic of Kazakhstan aimed to enhance accessibility, quality, and consumer rights protection in insurance services, focusing on mandatory types like civil liability and optional types such as life insurance and real estate coverage. Conclusions. The results of this study can be used both for further studies on the features of the insurance legislation of the Republic of Kazakhstan and for the regulatory work of legislative authorities, in particular in the field of insurance of construction activities. Keywords: insurance legislation; insurance payments; civil liability insurance; medical insurance; insurance of construction activities

Civil liability insurance contract in the accounting area

This research have to identify the perception of accounting professionals in the municipality of São Mateus do Sul, in the state of Paraná, regarding the civil liability insurance contract. The accounting professional, in the exercise of his profession, needs to be updated of frequent changes in the legislation and the varied information to be provided. Thus, it is possible that malpractices may occur that may result in financial damage. These damages are often to be borne by the professional himself. In this scenario, it is possible to acquire the civil liability insurance contract, which have to cover losses caused to third parties. This research had a questionnaire to the accounting professionals of the city of São Mateus do Sul, applied through virtual means with the intention of perceiving the knowledge of these professionals about the civil liability and insurance contract of the accountant. Based on this research, it was verified that the accounting professionals are aware of the accountant's civil liability and of the coverage insurance, however the majority identified themselves as not contracting this coverage instrument.

Актуальные вопросы страхования гражданской ответственности владельцев транспортных средств (ОСАГО)

The article is devoted to actual questions of conclusion and execution of contracts of compulsory insurance of civil liability of owners of vehicles, realisation of insurance payments, and also responsibility for non-fulfilment or improper execution of obligations under contracts of compulsory insurance of civil liability of owners of vehicles.

Liability without Fault – an Exception to the General Rule of Private Law

The principle of Fault liability is a general rule for the substantive branch of private law - civil law, and liability without fault - the so-called Strict liability, as it is referred to in Anglo-American law, is an exception to this rule. Both the provisions of the national and unified law provide for the exemption of releasing the participant in civil circulation from liability due to natural or social circumstances because it would have been impossible to have foreseen or avoided the incident if he had shown the necessary foresight and diligence because of the extraordinary and insurmountable nature of this circumstance. It should be noted that such circumstances in the scope of liability without fault cannot ensure the release of a person from responsibility. A creditor participating in a legal relationship, in the event of a delay in receiving performance, or a debtor because of exceeding the deadline to fulfill the obligation, regardless of their fault, bears the risk of performance of the obligation. Also, the owner of the source of increased danger is responsible for the damage caused to another person by the object or activity considered as a source of danger, regardless of his fault. Civil liability insurance is considered as a deterrent to no-fault liability, regarded as an injustice allowed by law. On the one hand, it socializes the risk for the person liable for the damage, on the other hand, it is found as a means of balancing the interests of the victim.

Оптимизация ОСАГО в условиях общей цифровизации экономических субъектов

The scientific article is devoted to the modernization and optimization of the coefficients of the risk premium of compulsory civil liability insurance of vehicle owners, in the context of the general digitalization of economic entities and current geopolitical realities. The calculation of the total payment for CTP insurance is analyzed. It is concluded that key management decisions in achieving the main goal of profit maximization should be economically justified and have the possibility of timely transformation and adaptation to current realities. These provisions can increase the level of economic security and financial stability of the insurance company.

Analysis of the level of penetration and protection of car owners by the compulsory motor third party liability insurance system in the Russian Federation

Subject. The article considers the effectiveness of existing measures of government control over road traffic safety. Objectives. The focus is on assessing the level of protection of car owners by the compulsory civil liability insurance (OSAGO) for the period from 2014 to 2021. Methods. The study rests on methods of correlation and regression analysis. Results. The analysis of statistical data and law enforcement practice demonstrated that an increase in the number of administrative charges entails a decrease in the number of those who comply with the requirements of Federal Laws "On Road Safety" and "On Compulsory Insurance of Civil Liability of Vehicle Owners". The rise in inflation and the average size of insurance premiums and insurance payments have no impact on the number of contracts for compulsory motor third-party liability insurance (OSAGO) concluded in Russia. Conclusions. The existing measures of State regulation in the field of compulsory civil liability insurance are not effective enough. The established administrative sanctions for violation of requirements of compulsory civil liability insurance by car owners negatively affect the penetration of the institution of OSAGO and lead to a decrease in the overall protection of car owners and other road users by the mandatory liability insurance system.

Civil Liability Insurance of Companies and Members of Managing Bodies and the Amendment to the Commercial Companies Code

Liability insurance of corporate directors and officers covering actions and omissions related to their performance has almost become a standard insurance product in economic practice. Board members in companies are liable with all their personal assets towards the company, its partners, employees and/or creditors for their managerial performance, mismanagement or nonfeasance. The D&O insurance has been created with the aim of protecting personal property of company managers. Having regard to the changes introduced by the so-called holding law, it seems justified to consider the impact of the new legislation on the principles of liability of company managers as well as the application of the D&O insurance.

CTP INSURANCE IN THE LEGAL ASPECT: NEW APPROACHES AND PROSPECTS

The article notes the relevance to date of the problems of law enforcement in legal relations on civil liability insurance of vehicle owners. The author touches upon the economic and legal aspects of CTP. Judicial practice has been analyzed, gaps in legislation have been identified, and proposals for making appropriate changes have been made. Conclusions. By its legal nature, the subjective right of choice granted by law to the victim, which consists in repairing the vehicle (despite non-compliance with the requirements) or in refusing to fulfill the insurance obligation in kind, is not an opportunity to choose the method of execution, which is understood as monetary or in-kind forms of insurance compensation. For this reason, the insurance obligation for this category of victims (citizens of the Russian Federation who are owners of vehicles registered in the Russian Federation) does not apply to alternative ones. It is necessary to establish clear and exhaustive grounds in the legislation, which are exceptions to the general rule on the form of compensation in kind for a certain category of victims (citizens of the Russian Federation who are owners of vehicles registered in the Russian Federation). The insurance obligation (we are talking, among other things, about CTP) and the legal relationship for compensation of damage in the part in which it is not covered by insurance compensation, are by their legal nature independent obligations.

Teleradiology: good practice guide

Teleradiology is the electronic transmission of radiological images from one location to another with the main purpose of interpreting or consulting a diagnosis and must be subject to codes of conduct agreed upon by professional societies. The content of fourteen teleradiology best practice guidelines is analyzed. Their guiding principles are: the best interest and benefit of the patient, quality and safety standards homologous to the local radiology service, and use as a complement and support of the same. As legal obligations: guaranteeing rights by applying the principle of the patient's country of origin, establishing requirements in international teleradiology and civil liability insurance. Regarding the radiological process: integration with the local service process, guaranteeing the quality of images and reports, access to previous studies and reports and complying with the principles of radioprotection. Regarding professional requirements: compliance with the required registrations, licenses and qualifications, training and qualification of the radiologist and technician, prevention of fraudulent practices, respect for labor standards and remuneration of the radiologist. Subcontracting must be justified, managing the risk of commoditization. Compliance with the system's technical standards.