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How to buy car insurance

y car insurance are not enforced as rabidly in Ukraine as they are in many Western nations, but it's a good idea for drivers to buy coverage anyway as the accident rate here is higher than in industrialized countries.

According to Ukrainian law, drivers are required to have liability insurance regardless of whether the vehicle owner is a Ukrainian citizen or a foreigner, as long as the car is registered in Ukraine.

Purchasing liability insurance costs between Hr 8 and Hr 16 for Hr 2,000 worth of insurance coverage per year. Liability insurance covers only medical costs associated with the injuries of passengers in your and other cars or pedestrians involved in an accident caused by your car.

While such insurance is required, enforcement is murky.

The traffic police, known as DAI, are not authorized to deny a car's regular technical check-up approval if a driver fails to show proof of insurance. But changes to the current law are in the works so it soon may become necessary to show insurance documents to traffic officers.

Currently, there is no penalty for uninsured drivers who are involved in accidents. Problems arise if there are injuries involved. Accident victims can sue the driver and a tedious web results if court hearings follow.

Most drivers tend to settle out of court and keep authorities out of it.

For those who have liability insurance, the procedure follows the pattern. Drivers involved in car accidents must present their insurance policy number to the DAI office. DAI will then provide the at-fault driver's information to the injured parties.

It is the responsibility of the injured parties to seek compensation from the insurance company. The injured need to have an official document from DAI verifying the details of the car accident.

Several insurance companies sell liability car insurance in addition to personal coverage for drivers. The cost of the insurance is based on factors such as the car's model, its age and the vehicle owner's driving record.

It's also possible to buy policies covering theft of the car or its parts, natural disaster, fallen trees and other accidents.

Ukrainian Transport Insurance Company (tel: 220-6061) offers a policy that will insure an amount equivalent to your car's current value. To purchase insurance, drivers must bring their vehicle registration and other documents to the company. Drivers must sign a contract, agreeing to make annual payments. Generally, the price is 6.5 percent of the car's current cost.

At Garant Avto (tel: 268-8386), vehicle owners must pay between 8 percent and 10 percent of the car's value.

For more info on car insurance and related topics, contact the Motor Insurance Bureau of Ukraine (tel: 239-2030).