The abbreviation MTPL is known to almost every inhabitant of the planet, even who does not have a car. Literally, this term stands for “compulsory motor third party liability insurance”. The CTP policy is a guarantee to cover losses that the vehicle owner may cause to other drivers. Initially, this type of insurance was not compulsory, but in the modern world, the lack of "insurance" by a car owner is punishable by an impressive fine.
A bit of history
For the first time, the idea of vehicle insurance appeared several centuries ago. France is considered the birthplace of OSAGO. In the 1800s, one of the most common modes of transport was omnibuses, which were a kind of multi-seat carts. At first, omnibuses carried out transportation with the help of horses, but rather quickly acquired an engine and became full-fledged cars. One of the disadvantages of the omnibus is its very slow speed and the so-called "sluggishness". It was with this type of transport that the world's first car accident occurred in 1896, which also entailed serious consequences.
This event caused the emergence of thoughts about possible ways to protect their property, health and life. It should be noted right away that cars and any means of transportation in those days were considered a great luxury, which not everyone could afford. Martin Truman is the first "car owner" who has expressed a desire to insure not only his property, but also liability to other road users.
The emergence of OSAGO
In European countries, car owner liability insurance became compulsory in 1925. It was during this period that the famous Ford plant actively increased the mass production of cars, which influenced not only the availability of vehicles for the population, but also indirectly caused numerous accidents on the roads.
Mass car insurance in Russia appeared only in 1899. During this period, "overseas foreign cars" first appeared on our roads. It became profitable for car owners to insure vehicles and their liability, therefore, already in the early 1900s, almost every driver sought to conclude a voluntary insurance policy.
The meaning of OSAGO is to compensate for damage that a driver can cause to another car owner while driving.
In 2003, a new law was issued in Russia, which meant not voluntary, but compulsory motor third party liability insurance. The main reason for this decision was a significant increase on the roads not only of domestically produced cars, but primarily of foreign cars.
At the moment, OSAGO causes an ambiguous reaction from vehicle owners. Some drivers consider this type of insurance useless, others are not satisfied with the calculation of insurance premiums, and the third category of citizens considers the OSAGO policy to be the main guarantee of protecting their liability and property. It is noteworthy that not every insured knows the decoding of OSAGO.
OSAGO means compensation for damage caused not only to vehicles, but also to the health of drivers.
OSAGO tariffs are set by the government. No insurance company has the right to make its own changes in the calculation of the insurance premium. When issuing an OSAGO policy, an important role is played by the year of manufacture of the car, the power of its engine, the experience of drivers and the "quality" of driving, which is reflected in the break-even ratio. In addition, the region in which the owner of the vehicle is registered also affects the cost of insurance.