Compulsory motor third party liability insurance (Compulsory MTPL) provides insurance coverage for property and health of motor vehicle collision victims. Every car owner must have such a policy. According to the Law of Ukraine, use of vehicles without Compulsory MTPL policy (even trailers) is prohibited.
The policy covers the driver's liability if he is responsible for committing a traffic collision. The damage caused to vehicle, property or health of a third party will be indemnified by an insurance company. In other words, damage caused to the person who has suffered losses will be indemnified.
If your car was involved in a motor vehicle collision and was damaged due to the fault of the driver of another car who violated the traffic rules, you will receive money for repairs from the insurance company of the responsible person. If you are the person responsible for the accident, your insurance company will pay the insurance indemnity to the injured party. Indemnity shall be paid in the amount of the average cost of repairing the vehicle, according to the calculation and taking into account the degree of wear and tear of spare parts.
The price of Compulsory MTPL policy in Ukraine is determined by the state and changes almost every year. Motor third party liability insurance is valid only within the territory of Ukraine.