Tashkent, Uzbekistan (UzDaily.com) -- The insurance company INSON has stated that it conscientiously fulfills its obligations to clients in the provision of insurance services, strictly adhering to the requirements of current legislation and best global business practices.

Earlier, the Committee for Competition Development and Consumer Rights Protection of Uzbekistan initiated proceedings against the insurance company INSON for violations of motor vehicle insurance rules.

The Committee found that when issuing OSAGO policies covering an "unlimited" number of drivers, the company did not specify in clause 7 of the policy the close relatives of the vehicle owner who are allowed to operate the vehicle.

The insurance company noted that the Committee, based on complaints from three citizens and referring to Resolutions No. 141 of June 24, 2008, and No. 172 of April 12, 2022, of the Cabinet of Ministers, as well as Article 19 of the Law of the Republic of Uzbekistan "On Consumer Rights Protection," questioned the justification of the company’s refusal to pay insurance compensation under electronic OSAGOVTS (OSAGO) policies without restrictions when close relatives who are not mentioned in the insurance policies drive the vehicle.

The company reminded that in accordance with Article 918 of the Civil Code of the Republic of Uzbekistan, insurance contracts may cover risks of liability both for the insurer and for other persons who may be held liable for harm to the life, health, or property of others.

Article 5 of the Law of the Republic of Uzbekistan "On Mandatory Insurance of Civil Liability of Vehicle Owners" regulates that the mandatory insurance object includes property interests of vehicle owners related to potential civil liability for harm caused to the life, health, and/or property of victims during the use of the vehicle.

The insurance company INSON emphasized that within the framework of compulsory insurance contracts, civil liability can be insured for both the policyholder and other vehicle owners specified in the contract.

At the same time, according to the legislation, vehicle owners are considered both the owners of vehicles and persons who manage or own them on legal grounds, including cases involving a notarized power of attorney or other rights.

On 1 October 2019, the President of the Republic of Uzbekistan signed a decree "On Measures for Radical Reform of the Notary System in the Republic of Uzbekistan," which envisages the abolition of notarized powers of attorney for the management of vehicles for close relatives (spouses, parents, children, brothers, and sisters of the owner) listed in the compulsory civil liability insurance policy.

According to paragraph 8 of part eleven of the Traffic Rules, close relatives of the vehicle owner (parents, spouses, children, brothers, sisters) may operate the vehicle only if mentioned in the insurance policy.

"Therefore, operating a vehicle by a close relative without being mentioned in the insurance policy deprives them of their legal right to drive the car. This circumstance, together with the absence of mention of a close relative in the policy, deprives them of rights under the insurance contract," the company emphasized.

The insurance company INSON stated that it honestly fulfills its obligations to the population in accordance with the requirements of current legislation and best insurance practices.

The company stressed that its policy is customer-oriented and based on the highest standards of insurance practice.

During the years 2023-2024, the company reviewed insurance claims amounting to over 40 billion soums in total, including over 11 billion soums under mandatory motor third-party liability insurance (OSAGOVTS/OSAGO).

The share of positive settlement of OSAGOVTS insurance claims amounted to 88.5%, while the remaining 11.5% were rejected due to the absence of insurance cases or other legal grounds.

"Based on the above, we officially declare the absence of any violations by the company of the requirements of the Law of the Republic of Uzbekistan ‘On Consumer Rights Protection.’ Our company strictly complies with all norms of insurance and other legislation of the Republic of Uzbekistan," stated INSON.

The insurance company emphasized that they are always ready for constructive dialogue and providing all necessary arguments confirming the legality of their actions, as well as professionalism in working with clients.