OREANDA-NEWS. By its Order No. OD-1260, dated 8 June 2015, the Bank of Russia resumed the validity of the licence for compulsory motor third party liability insurance (hereinafter, CMTPLI) of Rosgosstrakh, limited liability company (registration number in the unified state register of insurance agents 0977).

The decision is taken due to the remedy by the company of violations in concluding insurance contracts which directly gave rise to the restriction of the validity of the licence. The decision becomes effective the day it is taken.

Rosgosstrakh, limited liability company, submitted evidence of measures taken by the insurer to change the procedure of concluding and handling CMTPLI contracts, including awareness of consumers of their rights in case of CMTL policy purchase. The Bank of Russia shall supervise the actual adherence by the insurance company to the new procedure.

The resumption of the validity of the CMTPLI licence after the restriction means restoration of the insurer's rights to continue in full with this type of insurance.

The Bank of Russia intends to request the Russian Association of Motor Insurers that they amend the rules of professional activity to improve the quality of CMTPLI services and motorists' awareness. In the Bank of Russia's opinion, together with measures taken by LLC Rosgosstrakh as a major insurer in the CMTPLI market, this initiative will enhance the consumers' satisfaction by the CMTPLI service and reduce tension in the insurance sector as a whole.

Should any problems arise with entering into CMTPLI contracts or settlements of losses with insurance companies, the Bank of Russia recommends to lodge a complaint with the Bank of Russia Service for Protection of Financial Services Consumers and Minority Shareholders.