The NBU established new requirements for the form and content of insurance contracts
The National Bank of Ukraine has determined the specifics of concluding insurance contracts with consumers by insurers and insurance intermediaries, in particular, new requirements have been established for the form and content of such contracts.
Insurance contracts provide for provisions necessary for payment of insurance premiums, receipt of insurance compensation, and submission of appeals. An insurance contract concluded in the form of an electronic document must contain electronic signatures of the consumer and an authorized person of the insurer or insurance intermediary.
Requirements for the form and content of insurance contracts are established, namely:
- the list of provisions that cannot be contained in the insurance contract is determined;
- it is required to use the terminology defined by the legislation of Ukraine in the insurance contract and to set out the terms of the insurance contract in its relevant sections;
- the procedure for providing the consumer with an insurance contract (including a contract concluded in the form of an electronic document) is regulated.
The insurance contract excludes the presence of:
- exceptions to insured events and grounds for refusing insurance compensation that duplicate or repeat insured risks or insured events;
- insurance restrictions that are already in effect at the time of concluding the insurance contract.
These requirements do not apply to insurance contracts, the specifics of which are determined by the Cabinet of Ministers of Ukraine, central executive authorities or the Law of Ukraine “On Compulsory Civil Liability Insurance of Land Vehicle Owners”.
The above-mentioned requirements are determined by the resolution of the Board of the National Bank of Ukraine “On approval of the Regulation on the peculiarities of concluding insurance contracts with consumers” dated December 20, 2023 No. 175, which comes into force on January 1, 2024 and provides for a six-month transition period for insurers and insurance intermediaries to bring their activities in accordance with the requirements of the National Bank.