The Federation Council proposed to reduce the cost of OSAGO for Russian cars – May 22, 2023
To reduce the cost of OSAGO for Russian cars, if the degree of localization of their components exceeds 600 points, Andrey Kutepov, the head of the Federation Council Committee on Economic Policy, proposes. The document was sent to Deputy Prime Minister, Chief of Staff of the Russian Government Dmitry Grigorenko, reports May 22 TASS.
“In order to create incentives for vehicle insurance while simultaneously creating incentives to purchase Russian-made cars, I ask you to consider reducing the cost of OSAGO for Russian cars with a localization level of at least 600 points,” the document says.
Kutepov notes that in the context of a significant increase in OSAGO tariffs, and with the “general low cost of a vehicle”, its insurance becomes unprofitable.
In addition, Kutepov developed a bill to increase the period of car repair under OSAGO from 30 to 45 days, including due to “the problem of lack of spare parts and breaking supply chains.” According to him, against the backdrop of sanctions, car repair dealers, service stations and insurers are faced with the problem of a lack of spare parts and breaking supply chains.
“The vector, taken before February 24, 2022, aimed at getting the owner of the car a restored vehicle after an accident, becomes difficult to execute,” the author of the bill notes.