Insurers given the green light. The Ministry of Justice has adjusted the regulations on electronic policies

The Ministry of Justice, as promised by the National Commission for Financial Services, adopted the Regulations on the Conclusion of Electronic Contracts in mid-October. The document comes into force three months after its official publication, i.e. from the end of January 2018.

In order for the electronic policy to be finally implemented from a regulatory point of view, it was necessary to make changes to the provisions on the Centralized Database of the MTIBU, which the Regulator did by publishing a draft order "On Approval of Amendments to the Regulations on a Single Centralized Database on Compulsory Civil Liability Insurance of Owners of Land Vehicles".

The National Commission for Financial Services noted that they plan to review approaches to the Centralized Database and approve a new version of the Regulations regulating its activities, making it simpler, providing for clearer integration with other databases, and not only with the National Police database.

In the event of a successful launch of the electronic policy in the plans for 2018, discussions with insurers on improving the paper form of the OSCPV policy may be initiated, such as an online policy as in the Green Card.

The Regulations on the electronic policy have been developed in accordance with the Law “On OSCPV” and the Law “On Electronic Commerce” and establishes the obligations of the insurer and the basic rules for concluding electronic insurance contracts.

From January 2018, insurers will be able to conclude electronic insurance contracts not only for Motor Third Party Liability, but also for other types of insurance.

A significant factor in preventing insurance fraud will be ensuring that MTIBU allows the client to check the registered policy in a single centralized database for the OSCPV.

Thanks to the introduction of an electronic policy, it will be easier for the police to check its availability, which will be able to do this thanks to access to the centralized database of MTIBU. After registering all policies in the database, the likelihood of purchasing a policy from fraudsters is minimized, and consumers of financial services receive additional guarantees of future payments.

Source: Forinsurer