This week in Russia, car insurance for some drivers has risen noticeably. The government changed OSAGO coefficients, hitting new drivers and owners of low power cars most. In Irkutsk, the policy will rise by about 450 rubles on average, while some powerful cars will get a small discount. The article explains in detail how OSAGO is now calculated for different ages, driving experience, and engine power, and why insurers sought higher rates.

Since this week, “auto liability insurance” has become noticeably more expensive for some drivers: the Russian government has decided to change the coefficients used to calculate the cost of the OSAGO policy. Those who will now pay more than others are owners of small cars, as well as young drivers whose driving experience does not exceed three years.
The tariff will rise the most for drivers with less than three years of experience and for owners of low-powered cars. These include cars such as the Daewoo Matiz and rear-wheel-drive VAZ models. As a result, OSAGO will become more expensive for residents of Irkutsk by an average of 450 rubles.
An interesting innovation: large cities and the surrounding regional areas were divided into several categories. For each category, its own coefficient was set, which is multiplied by the base tariff of 1,980 rubles.
The insurance tariff coefficient depending on the driver’s age and driving experience, if admitted to drive the vehicle, now looks like this: for drivers aged 22 or younger with driving experience of up to 3 years inclusive, a coefficient of 1.7 applies; over 22 years old with driving experience of up to 3 years inclusive - 1.5; 22 years old or younger with driving experience of more than 3 years - 1.3; over 22 years old with driving experience of more than 3 years, the coefficient is 1.
Owners of cars with engine power above 70 and up to 100 horsepower inclusive will not be affected in any way by the innovations (the coefficient remains the same - 1). But those whose power is lower will have to pay extra. Especially those with more than 50 and up to 70 horsepower under the hood inclusive - 29% (instead of 0.7, the coefficient is 0.9). But owners of “charged” cars will save! The savings, however, are not large - from 6% to 8% - but still pleasant.
Insurance companies justify the latest increase by the high accident rate and payouts amounting to more than 50% of premiums. According to independent experts, in the first quarter of 2008 the loss ratio exceeded the critical threshold and reached 79%. This figure became the main argument in favor of increasing the tariffs.