No referral of applicants for e-OSAGO to other insurers
Insurers must not refer car owners to other insurers’ websites to buy electronic OSAGO (compulsory motor third party liability insurance) policies. This clarification has been given by the regulator to market participants in its information letter.
Applicants, who provided an insurer with all necessary documents, should have an opportunity to buy OSAGO policies from the insurance company they applied to. The conduct supervision by the Bank of Russia revealed that some insurers referred clients to other insurers’ websites when they started filling in their e-OSAGO applications. In such a way, insurers selected more profitable customers and rejected potentially loss-making ones.
It is only possible to refer car owners from the Republic of Crimea and the city of Sevastopol to the website of the Russian Association of Motor Insurers if, for example, there are any problems with an insurer’s website. In all other instances, such practice is regarded as unfair and infringes on the rights of consumers.