The Board of Directors of the National Commission for the Financial Market (CNPF) has approved the Regulation on the procedure of direct settlement within the framework of compulsory motor third party liability insurance (CMTPL).
The document establishes the rules of cooperation between insurers concerning procedural stages, the mechanism of recovery and compensation of amounts paid, and the conditions for making payments between them.
Direct settlement is an ancillary service that can be offered by the MTPL insurer upon request for an additional fee. This service allows an insured person who is not at fault in a road traffic accident to settle their insurance claim directly with their MTPL insurer without having to contact the insurer of the at-fault party.
After the compensation has been paid, the injured party’s MTPL insurer will independently collect the amount paid from the MTPL insurer of the person responsible for the accident.
According to the CNPF, the introduction of this direct settlement mechanism can help to simplify the claims processing process and orient the damage assessment services to the needs of the injured party.
The introduction and provision of this service by insurers is optional.
At the same time, its application is conditioned by the use of automated information systems for claims assessment.
In addition, changes have been made to the forms used in CMTPL insurance to reflect the possibility of direct settlement and to ensure compliance with the new regulations.
The regulations also include clarifications and aspects relating to the conclusion of contracts electronically.
The new provisions will enter into force within six months after publication in the Official Gazette of the Republic of Moldova.
