News and developments
2009 Motor Insurance Directive: an Evaluation of Current Proposals for Amendment
2009 Motor insurance Directive – What does it do?
Under the 2009 Motor Insurance Directive, compulsory motor insurance coverage is geographically extended as to include claims from incidents occurring at any EU Member State. Therefore, the 2009 Motor Insurance Directive allows policyholders to travel throughout Europe, with one single premium and no additional insurance. Specifically, the Directive:
- obliges all motor vehicles in the EU to be covered by compulsory third party insurance on the basis of a single premium
- abolishes border checks on insurance, so that vehicles can be driven easily between EU Member States
- specifies minimum third-party liability insurance cover in EU Member States
- specifies exempt persons and authorities responsible for compensation
- obliges Member States to guarantee compensation of victims of accidents by uninsured/unidentified vehicles
- introduces a mechanism to compensate local victims of accidents caused by vehicles from other EU Member States
- requires claims on accidents in EU Member State other than the victim's to be settled quickly
- entitles policyholders to request a statement of claims history involving their vehicle covered by the insurance contract at least during the preceding five (5) years of the contractual relationship.