CMTPLI payments to increase due to changes in repair calculation rules
The Bank of Russia proposes changes to the rules for calculating repair costs under compulsory motor third-party liability insurance (CMTPLI) policies taking into account the situation in the market. The calculation of the average price of a spare part should not factor in prices of similar aftermarket parts if they are 70% cheaper than the original component (the current threshold is 80%). The average cost of auto consumables will be calculated based on market prices excluding any discounts.
Following these changes, the average payment under a CMTPLI policy is expected to rise by 9%.
Additionally, the repair cost calculation is to include expenditures on single-use parts, e.g. seals, adhesives, etc., in full amount. Today, repair costs only include no more than 2% of the price of replacement parts, and therefore, insurance payments do not always fully cover expenditures on such parts.
The amendments are planned to be integrated into the unified method for calculating repair costs applied by insurers when computing CMTPLI payments.
The Bank of Russia welcomes any suggestions and comments through 30 March 2026.