Questions and Answers

What is a deductible?

A deductible is the policyholder’s share in the damage. For example, if the reported damage is assessed at 1,000 euros and the deductible in the policy is 200 euros, the insurance company will cover 800 euros of the damage (the total amount reduced by the deductible).

What types of damage are there?

  • Material damage is damage that appears as an adverse effect on property rights and legally protected property interests (for example: broken headlights, a broken windshield, a crushed front end, etc.). Material damage can be ordinary damage and lost profit. Ordinary damage is a reduction in the value of property, while lost profit is the prevention of an increase in property. For example: in a traffic accident, a broken headlight is ordinary damage, but if on that day, because of the accident, a taxi vehicle cannot be used in traffic, the taxi driver also suffers a loss of profit from not working.

 

  • Non-material damage is the adverse result of a harmful act that affects the personal rights and interests of the injured party (for example: physical pain, reduced quality of life, disfigurement, the death of a close person, etc.).

Who is entitled to compensation for damage in the event of a traffic accident?

Owners of motor vehicles conclude a contract for motor third-party liability insurance, that is, insurance against liability for damage that the use of the motor vehicle may cause to third parties due to death, bodily injury, impairment of health, or destruction or damage of property, other than liability for damage to goods accepted for transport. All persons who are in the vehicle that caused the accident, all persons in the other vehicles that took part in the accident, and pedestrians are entitled to compensation for damage. The Law on Compulsory Traffic Insurance excludes from the right to compensation: the person who was driving the motor vehicle whose use caused the accident; the owner, co-owner, policyholder and any other user of the vehicle who, at the time of the accident, was not driving the motor vehicle whose use caused the accident, but only for the amount of damage due to destruction or damage of property; the person who illegally appropriated a motor vehicle, as well as an accomplice in the illegal appropriation of a motor vehicle whose use caused the accident, regardless of whether they were driving the motor vehicle at the time of the accident; and persons who suffered the damage as a result of:
– the use of a motor vehicle in sporting events for which official approval has been obtained and in which maximum
speed is to be achieved, and
– the use of the motor vehicle in a terrorist act or military operations as defined in the Criminal Code.

What was the growth of supplementary health insurance in the past year?

The number of citizens who bought health insurance policies in 2020 increased fivefold compared to 2019. Last year 114,559 insured persons held health insurance policies, while in 2019 policies were held by 21,398 people. The value of gross written premium last year was 4.45 million euros, which is 44.8 percent more than in 2019.

The growth in sales of health insurance policies last year was influenced by the health pandemic caused by the COVID-19 virus, but also by the good corporate practices of a growing number of companies that buy health insurance policies for their employees.

Is a person entitled to conclude a contract for voluntary private health insurance with two insurance companies, and if damage occurs, will they receive compensation from both insurance companies?

An insurance contract can be concluded with two insurance companies. When buying a contract, you should read carefully the company’s insurance TERMS, which are an integral part of the contract (they describe how a contract is concluded, the scope of the insurance coverage, the payment of compensation, the obligations of the insurer, the obligations of the insured person, the manner of settling a claim, etc.).

With regard to the payment of compensation, the Insurer undertakes to pay the compensation to the insured person, or to the legal representative of the insured person, for the costs in accordance with the Terms on the basis of the submitted bills, within 14 days of the date of receipt of the claim for compensation with the required documentation. The insured person is entitled to compensation for the costs of health services covered by the insurance contract. In accordance with the principles of insurance, it should be borne in mind that the insured person can receive compensation for the costs of health services for the same invoice from only one company.

An insurance contract concluded under these Terms is governed by the provisions of the Law on Obligations, the Law on Insurance Supervision, the Law on Health Insurance, the Law on Voluntary Health Insurance and the Law on Health Care, as well as the secondary legislation related to the laws in the field of health.