Where is it cheaper to insure a car?

Where is the best place to apply for and buy an MTPL policy in 2018?

The question of where inexpensive car policies are made and issued, and which policy to choose is relevant every day.
At the same time, when choosing from companies that practice auto insurance, you need to start from a number of data. First you need to understand what insurance companies there are, which insurers are the best and where you can quickly get insured. This is due to the fact that the state has given sellers the opportunity to offer compulsory motor liability insurance policies in a certain price range. All these measures are linked to a number of risks for the acquirer, which will be discussed below. The bottom table shows the most profitable insurance companies in proportion to policy prices within the tariff corridor established by the Central Bank of Russia. This is the minimum cost from which insurers start when offering their services to consumers. However, in some cases, insurance can be obtained cheaper.

Table 1. “Profitable insurance companies licensed for compulsory motor liability insurance” The cheapest policy does not yet guarantee the reliability of the company. Therefore, when asking the question of which insurance companies are more profitable to make a document with, you need to start from the reliability rating. It is constantly changing. Some organizations leave the market, unable to withstand the competition. Others simply go bankrupt due to a mistaken strategy regarding disproportionately inexpensive policies.

Table 2. Reliability rating of the most famous insurance companies in Russia Of course, in some cases it is worth trusting the reviews and opinions of those who managed to purchase insurance from popular insurance organizations. Including inexpensive, because the needs of all clients are different. It must be remembered that reviews of companies can be either false, paid for by the companies themselves, or unnecessarily negative.

Because it will be easier and faster for an irritated, deceived client in the wake of an emotional breakdown to write an unflattering review than to share good impressions with a satisfied car enthusiast. The latter, as a rule, prefer to remain silent, rightly believing that since they received excellent service for money, then it should be so.

According to the law, car owners are given the opportunity to purchase a policy via the Internet. An electronic document executed and paid for online has the same legal force as one acquired in the usual way. Theoretically, its cost should not differ from its paper counterpart. But in reality it may turn out to be much cheaper.

Due to the imperfection of local programs that accept payments and process applications for the sale of MTPL policies, there are frequent cases of software failures during registration, problems with writing off funds, issuing problematic insurance numbers, etc. Usually all these issues can be solved, but finding out the causes of certain problems sometimes takes a lot of time. Therefore, online registration of insurance is a double-edged sword:

1. On the one hand, it is fast and convenient, it is possible to pay by bank transfer.
2. On the other hand, a program that does not function properly often fails car owners who want to buy a policy online.

The rules are the same everywhere:

• The car owner chooses the company at his own discretion.
• Makes an application in the application form according to the approved sample.
• Presents his documents: passport or similar interchangeable document;
• driving license with a mark on the assigned class;
• registration certificate;
• certificate of registration with the State Traffic Safety Inspectorate;
• a copy of the diagnostic card.

Initially, it may seem that there is no difference where you go to take out an insurance policy for your car, the tariffs are the same, established by the state, and the insurer must meet certain requirements in order to carry out its professional activities.

In fact, as practice shows, a huge number of parameters and subtleties make each company individual, unique, and its services very diverse, different from its competitors. In addition, we should not forget about the potential policyholders themselves. What suits one person may not suit another.

Having decided to insure yourself so as not to make a mistake and get into trouble, it is important to choose an insurance company taking into account the following criteria:

• Price. A very low price in many cases indicates that the insurance contract is fake. The cost of insurance must be within the established limits. Excessive underestimation or overestimation may indicate dishonest behavior by the insurer.
• License. Every good company operating in accordance with the law must be licensed.
• Rating. On the Internet you can freely find individual ratings, both popular and compiled by special agencies. It is best to insure your auto liability with companies that are in the top ten.
• Availability of branches in Russia. This criterion indicates the convenience of providing services, high quality and reliability of the insurer.
• Additional service. To attract a larger number of policyholders, many companies provide packages with various additional services: promotions, discounts, free offers, for example, legal advice, etc.
• Duration of activity. Preference should be given to insuring cars in such organizations that have been operating for more than one year. The longer an institution operates, the more reliable and secure it is to cooperate with it.
• Reviews. In this case, everything is clear. A large number of positive responses is a guarantee of quality, peace of mind when taking out MTPL insurance.

Review of insurance companies

OSAGO: how to find a reasonable offer on the market.

Today in Russia there are more than 40 insurance companies licensed to provide compulsory liability insurance for vehicle owners (MTPL) and offering insurance products.

Tariffs for compulsory motor liability insurance differ significantly between insurance companies, the difference for some companies exceeds 35%.

TOP-20 largest insurance companies in Russia by volume of written insurance premiums (GWP) OSAGO for the 1st quarter of 2021. The total amount of TOP-20 insurance premiums amounted to 44,414,651 thousand rubles. or 96% of the total amount of insurance premiums for all insurance policies (signed insurance premiums - GWP) of all insurance companies in Russia - more than 46 billion rubles.

The editors of Calmins believe that when choosing an insurer, especially for the first time, you can limit yourself to them. Typically, a car owner knows no more than 5-7 insurers who are quite actively advertised and have a history of insurance activity.

Where is the best place to apply for and buy an MTPL policy in 2018?

The current regulatory act refers to the concept of “MTPL” as preventing the consequences of road accidents by protecting the car owner from additional expenses if his guilt is revealed following an investigation into the causes of the accident. When such a moment occurs, the insurer will be obliged to reimburse the amount specified in the contract to the injured citizen.

Now there is an established generally accepted methodology for assessing the damage caused. But complaints about it, or rather, about the actions of insurance companies in the assessment process, become the subject of constant discussions and incessant complaints. This is more likely due to the actual actions of those assessing the damage, rather than to the imperfections of the existing system.

Car owners give a variety of reasons for purchasing insurance policies online:

• Then they cannot take out profitable insurance near their home or place of residence.
• Either the policy has expired, and now there is a need to buy insurance as quickly as possible. Or they just don’t want to jostle in lines.

Moreover, sometimes it comes to the point that, in order not to lose the client, he is redirected under the protection of another policy seller. Such cases are not uncommon and occur with some frequency.

• Ingosstrakh;
• Rosgosstrakh;
• Alpha Insurance;
• Heide Insurance Company;
• Evtoins;
• Muscovy;
• Uralsib Insurance;
• Tinkoff Insurance;
• Insurance Joint Stock Company VSK;
• Liberty Insurance;
• HOSKA Insurance Group and a number of others.

To evaluate their activities, databases of the best insurers are created on the Internet with the ability to write reviews from clients. Such rating portals with a good status provide the opportunity to write an ongoing complaint and forward the latter to the appropriate insurance company for investigation.

Table 3. Rating of insurance companies by MTPL fees for 2016

Oleg Kurilov, 57 years old: There was a need to issue an MTPL insurance policy in electronic form, since I live in another region, and insurance companies for this reason refused to issue me the document. Among several companies, I tried to apply through the Alfa Insurance website, and they issued me a policy in 3 minutes. Thank them very much for saving time!

Andrey Zhirnov, 45 years old: I would like to express my deep gratitude for the professional assistance in making changes to my MTPL policy to the Tyumen branch of the insurance company. Special thanks to the senior manager of the organization for his attentiveness and professionalism. Good luck and all the best to you!

Olga Sukhoruchkina, 46 years old: I liked the issue of compulsory motor third party insurance (MTPL) insurance electronically through Ingosstrakh. In other companies it took two days to get everything done, but here everything was done in ten minutes. I made a preliminary choice in favor of the organization based on other positive reviews. I was not disappointed! I hope for the same positive cooperation in the future.

Reputation in the insurance market is the most important thing for modern insurers. Companies spend incredible amounts of money on advertising, which allows them to attract more policyholders, but the quality of the services provided is not always really good. To date, the following insurance companies have earned the best reviews and full trust:

• "Rosgosstrakh"
• "AlfaStrakhovanie"
• "VSK".
• "Agreement".
• "Renaissance".

Broker "YOUR CASCO" is an excellent opportunity to find out where it is best to obtain an insurance policy. This is evidenced by numerous reviews from our satisfied clients. Our specialists will conduct a full analysis and select the most suitable solution at an excellent price.

We collect customer opinions about insurance companies that sell electronic MTPL. Share your review about OSAGO - help car owners like you!

Read below real reviews from people on online OSAGO insurance from Rosgosstrakh, Renaissance, Soglasiya, Ingosstrakh, Reso-Garantiya, VSK, Sogaz and other insurance companies.

Can't apply for MTPL on your own?

For 500 rubles, we will help you obtain an electronic policy from any insurance company. We will issue and send you the completed policy! You save time and save your nerves.

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• Alpha insurance
• Ingosstrakh
• Rosgosstrakh (RGS)
• Renaissance
• Reso-Garantiya
• Sogaz
• Agreement

You can leave a review of compulsory motor liability insurance purchased via the Internet for any insurer in the Russian Federation.

In the comments box below, you can leave your review of MTPL online, tell us about payments for electronic insurance, share your review of the insurance company where you bought the policy, and share your review of the procedure for registering MTPL online.

Useful: Apply for compulsory motor liability insurance in Ingosstrakh via the Internet without queues or extra fees.

Our rating of MTPL insurance companies

It would be correct and more meaningful to choose a suitable partner for yourself after studying all the offers. However, even among the companies not included in the TOP 20, there are companies that have good financial performance, a balanced insurance portfolio, but lower fees. Therefore, they are not represented in this sample.

Table 1. TOP 20 companies by volume of written MTPL insurance premiums for the 1st quarter of 2021.

Source: Central Bank of Russia (cbr.ru)

The choice of an insurance company would seem obvious: you need to focus on the largest insurance companies with the highest ratio of insurance payments to GWP and a high rating of the financial reliability of insurance companies. However, you should not rely only on the financial results of the insurer, since these indicators characterize the economic and financial efficiency of the company’s activities. Almost every insurer has its own rating from an accredited national rating agency, such as Expert RA.

Table 2 presents the ratings of the financial reliability of insurance companies by the Expert RA rating agency.

Table 2. Insurance ratings [2]

Source: Rating agency "Expert RA" raexpert.ru/ratings/insurance

But, perhaps, in addition to the official attributes, for each client, the opinion of other similar service users and their positive or negative experience of working with insurance companies is important.

The maximum rating has companies with a rating of ruAAA (“Ingosstrakh”, “SOGAZ”), a high rating of ruAA+/ruAA (“RESO-Garantiya”, “AlfaStrakhovanie”. “VSK”, “Rosgosstrakh”). It should also be taken into account that the rating of 6 companies was withdrawn by the agency due to the expiration of the rating and the lack of sufficient information.

The editors of Calmins suggest turning to the authoritative source banki.ru, which presents a rating of insurance companies (in our case, from the TOP-20 list by volume of premiums signed), which takes into account user ratings, the time the review was written (new reviews have a greater impact on the rating, than the old ones) and other statistical indicators.[3]

Table 3. People's rating of TOP-20 companies according to banki.ru

Source: banki.ru (banki.ru)

The average rating of banki.ru users for the TOP-20 companies is 1.8.

The main reasons for undervaluation, typical for most companies, are:

• delays in issuing policies;
• delays in recording incidents;
• underestimation of insurance payments;
• violation of terms of insurance payments;
• inability to contact the line;
• other difficulties in the field of feedback from the insurance company.

According to customer assessments, the most high-quality and conscientious service from our TOP-20 list of insurance companies is provided by Zetta Insurance, Tinkoff Insurance and Yugoria, and NSG-Rosenergo, Helios and ENERGOGARANT close the list. This does not mean that someone is “bad” and someone is 100% “good”. This indicator gives an indirect understanding of what a MTPL partner is and only reflects the opinion of registered clients on banki.ru who left their reviews.

Of no small importance, and often decisive, is the price of the insurance policy.

In Table 4, we consider the basic tariffs for compulsory motor liability insurance for Moscow before and after the expansion of the tariff corridor.

Table 4. Basic MTPL tariffs for Moscow

The cheapest compulsory motor liability insurance in Moscow is from the companies “SK GAYDE”, “Armeets”, “ASKO-INSURANCE”, the most expensive is from “NSG-Rosenergo”, “SK Astro-Volga”, “SK Soglasie”, “ Ingosstrakh”, “AlfaStrakhovanie”. The average cost of the base tariff before the expansion of the tariff corridor was 4,195 rubles. We will tell you what the tariffs will be after the expansion of the tariff corridor in the following publications.