The Association of Insurers of Serbia reminds drivers of the legal obligation to buy a compulsory motor third party liability insurance policy once a year, when registering a motor vehicle. It is a mandatory policy that is used to compensate for damage caused to third parties, by using a vehicle.
If the motor vehicle that caused the damage does not have an insurance policy, the damage will be paid by the guarantee fund at the Association of Insurers of Serbia, but the ultimate payer of the entire damage is the owner of that vehicle. It can be material and non-material damage, depending on whether there were injuries in the accident or only material damage was caused. If an agreement with the recourse debtor is not possible, a court dispute is initiated, which, as a rule, is to the detriment of the perpetrator of the accident. Then, interest and court costs are added to the basic debt, which significantly raises the total amount that the perpetrator of the accident should return to the Association of Insurers of Serbia. The total debt can thus reach several thousand, up to several tens of thousands of euros.
One of the biggest debts to the Association of Insurers of Serbia was higher than 100 thousand euros, after a six-year court process, with all interest and costs. The debtor, who caused damage with an unsecured tractor, was forced to sell the house and property in order to pay for the damage he caused on that occasion.
The best way to avoid debts in such amounts is to regularly purchase a motor insurance policy, which is a legal obligation of the vehicle owner. Therefore, the Association of Insurers of Serbia fully supports the actions of the Ministry of the Interior in detecting those who commit a violation because they drive a vehicle after the expiration of the registration sticker, which will reduce the number of those who will have to compensate the damage.