Since the beginning of 2025, the rules of car insurance in Ukraine have undergone significant changes. The new law on compulsory third-party liability insurance of vehicle owners (in simple terms, “autocivilka”) has brought new conditions, tariffs, and regulatory mechanisms. This article explains the main innovations and their impact on car owners.
The material was prepared based on an interview with Ostap Novytsky, co-founder of the Institute for Car Market Research, which aired on the program "In essence" on Kyiv 98FM radio, hosted by Leyla Mamedova.
Rising cost: why have prices increased?
One of the main issues that has caused a wide resonance in society is the increase in the cost of motor insurance policies. If previously the price was regulated by the Motor Transport Insurance Bureau of Ukraine (MTIB), now insurance companies have the opportunity to set tariffs independently. As a result, prices have increased 2-3 times compared to the previous year.
However, the increase in cost is accompanied by a significant expansion of insurance coverage:
- The limits for payments for property damage have been increased from 160 to 250 thousand hryvnias.
- Payments for damage to the life and health of the victims increased from 320 to 500 thousand hryvnias.
- The deductible, which could previously cause conflicts between drivers and insurance companies, has been abolished.
- Direct reimbursement of the cost of repairs without taking into account wear and tear has been introduced, which allows you to receive compensation in full, and not for their depreciated (often significantly underestimated) cost.
Ostap Novytskyi noted: "If you had bought a policy with this set of services last year, its cost would not have differed so significantly. Now the price has increased due to the expansion of coverage, the expansion of the set of services that were previously optional, and the elimination of schemes that allowed for reduced payments."
Why is it worth paying attention to the choice of insurer?
With the new rules, car owners have more freedom in choosing insurance companies. But this freedom also imposes responsibility:
- Rates now depend on the carʼs engine size, location of registration (large or small city), and the pricing policies of individual insurance companies.
- For example, the minimum price of a policy for a car with an engine of up to 1.6 liters in Kyiv is about 5,000 hryvnias, and in the regions — 4,000 hryvnias.
- For cars with larger engines, the cost can reach 7,000 hryvnias or more.
"In Kyiv, the minimum price for insurance is 5,000 hryvnias for a small engine. In the regions, it is about 4,000 hryvnias. But I would not advise choosing insurance companies with too low prices, because this may affect the quality of payments," emphasized Novytsky.
What has changed for preferential categories?
Until 2025, privileged categories of citizens — pensioners, combatants, and disabled people — could not purchase a civil motor insurance policy under certain conditions. Now these privileges have been changed. The mentioned categories of citizens are required to pay 50% of the cost of the policy if:
- The carʼs engine does not exceed a volume of 2.5 liters.
- The car uses an electric motor with a power of up to 100 kW.
- Only the beneficiary is driving.
- The car is not used for commercial purposes.
"This is a truly significant change. If previously such categories could not buy a policy at all, now they will have to pay half the cost," commented Nowitzki.
Europrotocol: new opportunities
The Europrotocol is a modern way of registering a traffic accident without calling the police. In 2025, the rules for using this tool have remained largely unchanged. However, there are a few innovations:
- The maximum amount of compensation now corresponds to the insurance policy limit (up to 250 thousand hryvnias), not 80 thousand hryvnias as before.
- The Europrotocol can be filled out in electronic format through a special section on the MTIBU website.
The innovations make it possible to register minor accidents faster: "Now patrol officers themselves recommend using the Europrotocol, because it saves time. However, the participants must agree with the circumstances of the accident, otherwise the police cannot do without it," the speaker added.
Transition period: how to avoid confusion?
2025 is a transitional year for the auto insurance system. Policies issued before the end of 2024 remain valid until their expiration date. At the same time, new policies operate under updated rules, which can create some confusion. It is recommended to carefully check the insurance terms and conditions and understand what limits and coverage apply to your policy.
Regarding the validity period of motor vehicle insurance policies : due to lack of time on the air, we were unable to reveal the question of what the new law provides for regarding the minimum period for which such an insurance contract can be concluded. Therefore, we will explain this in the text version: the new rules provide for 2 options, 6 or 12 months, and thatʼs it. A policy can be concluded for a shorter period only in specific cases, such as the absence of registration in the car ("transit numbers") or foreign registration of the vehicle. Such contracts can be concluded for a period of 15 days or more.
Conclusions and recommendations
The new rules of motor insurance have generally improved the quality of motor insurance, simplified the choice of a set of services for the consumer, and eliminated potential schemes for understating insurance payments. At the same time, policy prices have increased significantly, and this is only the first step; the law provides for further increases in insurance compensation limits, but this is a topic for another conversation.
