Text consolidated by Valsts valodas centrs (State
Language Centre) with amending laws of:
27 September 2007 [shall
come into force from 1 November 2007];
23 October 2008 [shall come into force from 21 November
2008];
22 September 2011 [shall come into force from 26 October
2011];
19 September 2013 [shall come into force from 1 January
2014].
If a whole or part of a section has been amended, the
date of the amending law appears in square brackets at
the end of the section. If a whole section, paragraph or
clause has been deleted, the date of the deletion appears
in square brackets beside the deleted section, paragraph
or clause.
|
The Saeima 1 has adopted and
the President has proclaimed the following Law:
Compulsory
Civil Liability Insurance of Owners of Motor Vehicles Law
Chapter I
General Provisions
Section 1. Terms Used in this
Law
The following terms are used in this Law:
1) insurance indemnity - an amount of money that is
paid, or a service for which a payment is made in order to
indemnify the losses;
2) insurable event - a road traffic accident, upon
which a payment of an insurance indemnity is provided for;
3) insurance contract - an agreement wherein the owner
of a vehicle undertakes the obligation to pay an insurance
premium within the determined time period and in the determined
amount, as well as fulfil other determined obligations, but the
insurer undertakes the obligation to pay an insurance indemnity
upon the setting in of an insurance event;
4) insurance policy - a specific sample document issued
by an insurer, which states that the owner of a vehicle and the
insurer have entered into an insurance contract;
5) insurance premium - the payment determined in an
insurance contract for the insurance of the civil liability of
the owner or a legal user of a vehicle;
6) insurer - a person that has the right to perform the
insurance of the civil liability of the owner or a legal user of
a vehicle and that is a member of the Motor Insurers' Bureau of
Latvia (hereinafter also - Motor Insurers' Bureau);
7) limit of insurer liability - the maximum amount of
insurance indemnity to be paid;
8) injured person - a natural person to whose health
damage has been caused in a road traffic accident, except the
driver of the motor vehicle that has caused the loss in the road
traffic accident;
9) [27 September 2007];
10) agreed statement - a form that the drivers of motor
vehicles who are involved in a road traffic accident shall
complete at the scene of the accident, confirming by signature
the circumstances of the accident, the facts and the scheme of
the accident;
101) direct loss regulation - a loss
compensation system under which an insurer who has insured the
civil liability of the owner of the motor vehicle that has caused
the losses, authorises a civil liability insurer that has insured
the owner of the motor vehicle to whom the losses have been
caused to perform the activities laid down in this Law or a part
thereof in order for a third person to receive an insurance
indemnity;
11) territory in which a motor vehicle is normally
based -
a) the territory of such state, in which a State registration
number and an appropriate State registration number plate
(hereinafter - number plate) has been issued to the motor
vehicle, irrespective of whether it is a permanent or temporary
number plate,
b) if a certain type of motor vehicle does not require
registration, but such vehicle bears a distinguishing sign
analogous to the number plate, - the territory of such state in
which the distinguishing sign was issued,
c) if a certain type of motor vehicle requires neither the
number plate nor a distinguishing sign - the territory of such
state in which the owner or legal user of the motor vehicle
permanently resides, or
d) if the motor vehicle has no number plate or if it has a
number plate which does not correspond to such motor vehicle, and
the motor vehicle is involved in a road traffic accident, - in
the territory of such state in which the road traffic accident
has occurred;
12) motor vehicle -
a) a road motor vehicle, a trailer (a semi-trailer), a moped
that is to be registered with the Road Traffic Safety Directorate
or the State Technical Supervision Agency, or with a local
government or which has been registered in a foreign state,
b) a tram that is to be registered with a local
government;
13) owner of a motor vehicle - a natural or legal
person who owns a motor vehicle or in whose name the motor
vehicle is registered;
14) legal user - a natural or legal person who is not
the owner of a motor vehicle, but who uses the motor vehicle in
road traffic on the basis of a power of attorney, rental
agreement or other legal grounds;
15) third person - any natural or legal person who has
suffered losses due to a road traffic accident and who is
entitled to an insurance indemnity. In the cases referred to in
Section 31, Paragraphs five and seven of this Law, a third party
is deemed to be the owner or legal user of the vehicle that has
caused the loss in a road traffic accident.
[27 September 2007; 22 September
2011]
Section 2. Purpose of this Law
The purpose of this law is to protect the interests of third
persons who have suffered in road traffic accidents and govern
the legal relations among motor vehicle owners, legal users and
insurers in relation to the compulsory civil liability insurance
of motor vehicle owners and legal users.
Chapter II
Insurance Object and Types of Insurance Contract
Section 3. Object of Compulsory
Insurance
(1) The object of a compulsory insurance shall be the civil
liability of the owner or legal user of a motor vehicle
(hereinafter - civil liability of an owner) for losses caused to
a third person in a road traffic accident.
(2) Each owner of a motor vehicle shall insure the civil
liability of an owner regarding each motor vehicle used in road
traffic by entering into an appropriate insurance contract. If
the owner has given a motor vehicle regarding which an insurance
contract has not been entered into or the time period of an
insurance contract has expired during the period of use of the
vehicle for use to another person, the legal user of the motor
vehicle shall enter into an insurance contract in the name of the
owner. A legal user who is in employment legal or service
relations does not have the insurance obligation.
Section 4. Types of Insurance
Contract
There are the following types of insurance contracts:
1) a standard contract;
2) a frontier insurance contract;
3) the international insurance contract (hereafter also -
Green Card).
Section 4.1 Entering into
an Insurance Contract
(1) A standard contract shall be entered into on the spot or
using the means of distance communication.
(2) A frontier insurance contract and an international
insurance contract (Green Card) may only be entered into on the
spot.
(3) Upon entering into a standard contract and an
international insurance contract (Green Card) in respect of a
motor vehicle registered in the Republic of Latvia, the insurer
shall transfer the data on the concluded contract to the
information system of the compulsory civil liability insurance of
the owners of motor vehicles at the time of entering into the
contract. If a standard contract is entered into using the means
of distance communication, an insurer shall send a certified
confirmation regarding the concluded insurance contract to the
policy holder, including therein a reference to the publicly
available source of information regarding the compulsory civil
liability insurance of the owners of road motor vehicles on the
website where it is possible to verify the validity of the
insurance contract free of charge.
[27 September 2007; 22 September
2011]
Section 5. Standard Contract
(1) A standard contract is an insurance contract entered into
with regard to:
1) a motor vehicle registered or alienated in the Republic of
Latvia;
2) a motor vehicle alienated or de-registered in another state
for the purpose of exporting it from the respective state and
registering it in the Republic of Latvia;
3) [22 September 2011];
4) [22 September 2011];
5) a vehicle that is not registered in the Republic of Latvia
and that has been fitted with special trade number plates issued
by the Road Traffic Safety Directorate or the State Technical
Supervision Agency for transporting a motor vehicle intended for
sale to a market or storage place or for using such motor vehicle
for test driving.
(2) In order to enter into a standard contract with regard to
a new motor vehicle that has not been previously registered in
the Republic of Latvia or in other states, it shall first be
registered in the Republic of Latvia.
(3) A standard contract shall be in effect in the states of
the European Economic Area and other states which have joined the
Multilateral Agreement between National Insurance Bureaus of
Members States of the European Economic Area and other Associated
States of 20 May 2002.
[27 September 2007; 22 September
2011]
Section 6. Frontier Insurance
Contract
(1) A frontier insurance contract is an insurance contract
entered into with regard to a motor vehicle registered in a state
which is not the state of the European Economic Area, if the
driver of such vehicle is unable to present a contract of
compulsory civil liability insurance of the owner of a motor
vehicle that is in effect in the territory of the Republic of
Latvia.
(2) A frontier insurance contract shall be in effect within
the territory of the European Economic Area.
[27 September 2007]
Section 7. International Insurance
Contract (Green Card)
(1) An international insurance contract (Green Card) is an
insurance contract entered into regarding a motor vehicle that is
registered in the Republic of Latvia and participates in road
traffic in a state, which is a member state of the Green Card
system. Such insurance contract that has been entered into
regarding a motor vehicle registered in a state, which is not a
member state of the Green Card system, shall also be considered
an international insurance contract (Green Card) if international
agreements provide for entering into such contract.
(2) A Green Card shall be in effect in the states indicated in
an insurance policy.
(3) The owner of a motor vehicle registered in the Republic of
Latvia may enter into an international insurance contract only
with an insurer that is a member of the Motor Insurers'
Bureau.
[22 September 2011]
Section 8. Insurance Policy and the
Duplicate Thereof
(1) An insurer has an obligation to issue an insurance
policy:
1) immediately after entering into a frontier insurance
contract or an international insurance contract (Green Card);
2) immediately after entering into a standard contract, if it
has been entered into without using the means of distant
communication;
3) within five working days after receipt of the request of
the owner of a motor vehicle or the person who has entered into a
standard contract if it has been entered into using the means of
distant communication. A legal person shall submit a written
application for receiving an insurance policy.
(2) The non-existence of a written insurance policy shall not
affect the validity of the insurance contract.
(3) If an insurance policy has been stolen, lost, perished or
damaged, the owner of a motor vehicle shall submit a written
submission to the insurer who has insured the civil liability of
the owner of the motor vehicle with a request to issue a
duplicate of the insurance policy. The insurer shall issue the
duplicate of the insurance policy within two days. The insurer
has the right to charge a fee for the issuance of the duplicate
of the insurance policy, however, such charge must not exceed two
per cent of the insurance premium that is determined in the
insurance contract.
[27 September 2007]
Section 9. Term of Validity of an
Insurance Contract and Entering Thereof into Effect
(1) A standard contract shall be entered into for three, six,
nine or 12 months, except the case, when:
1) a motor vehicle has been registered temporarily. In such
case the standard contract may be entered into until expiry of
the term of validity indicated in the registration certificate of
the motor vehicle, not exceeding 12 months;
2) the motor vehicle has been de-registered in the Republic of
Latvia and it has been granted the permission to participate in
road traffic. In such case the standard contract may be entered
into for the term indicated in the registration certificate of
the motor vehicle;
3) a motor vehicle has been alienated or de-registered in
another state for the purpose of exporting it from the respective
state and registering it in the Republic of Latvia. In such case
the standard contract shall be entered into for 30 days;
4) a transit number plate has been issued to the motor
vehicle. In such case the standard contract shall be entered into
for the term of validity indicated in the transit number
card;
5) a testing number card has been issued to the motor vehicle.
In such case the standard contract shall be entered into for the
term of validity indicated in the testing number card, not
exceeding 12 months;
6) a trading undertaking (a merchant) to which a trading
number card has been issued, shall enter into the standard
contract with regard to new motor vehicles previously not
registered in the Republic of Latvia. In such case the standard
contract shall be entered into for 12 months.
(2) A frontier insurance contract shall be entered into for a
time period from one up to 12 months.
(3) An international insurance contract (Green Card) shall be
entered into for a time period from 15 days up to 12 months.
(4) An insurance contract shall enter into effect at the time
of entering into it unless the insurance contract provides for
otherwise. If the contract enters into effect until 12AM, then,
in calculating the expiry term of the contract, the day of entry
of the contract into effect shall be included, but if the
contract has been entered at 12AM or later, that day shall not be
included.
[27 September 2007]
Section 9.1 Data Required
for Entering into an Insurance Contract
(1) The following data shall be necessary for entering into an
insurance contract:
1) personal data (the given name, surname and personal
identity number of a natural person, or the name and registration
number of a legal person);
2) the data regarding a motor vehicle referred to in
Sub-clauses "a", "b", "c", "d" or "e" of this Clause:
a) the registration data of the motor vehicle if a motor
vehicle registration certificate has been issued,
b) the data indicated in the invoice-reference issued by a
merchant registered as a retail trader of motor vehicles and
other documents that certify the ownership rights of the owner to
a motor vehicle, if the motor vehicle has been alienated in the
Republic of Latvia or if it has been de-registered in another
state for the purpose of exporting it from the respective state
and registering it in the Republic of Latvia,
c) the data indicated in the transit number card if a transit
number card has been issued to a motor vehicle,
d) the data indicated in the testing number card if a testing
number card has been issued to a motor vehicle, or
e) the data indicated in a trade number card, if a trading
undertaking (a merchant) to which a trade number card has been
issued, enters into a standard contract regarding new motor
vehicles previously not registered in the Republic of Latvia.
(2) An insurance contract shall indicate:
1) the motor vehicle registration number referred to in
Paragraph one, Clause 2, Sub-clause "a" of this Section or the
document referred to in Paragraph one, Clause 2, Sub-clause "c",
"d" or "e" of this Section and the number thereof;
2) the type, date of issuance and number, if such exists, of
the document referred to in Paragraph one, Clause 2, Sub-clause
"b" of this Section.
(3) If, upon entering into an insurance contract, a policy
holder provides to the insurer information requested thereby for
the assessment of the possibility of occurrence of the insured
risk, the policy holder shall be liable for the accuracy of the
provided relevant information.
[22 September 2011]
Section 10. Termination of Insurance
Contract Prior to Expiration Thereof
(1) An insurance contract shall terminate before the
expiration thereof - from the time determined in an application,
but not earlier than from the time of submission of the
application, if the owner of a motor vehicle submits to the
insurer a written application for the termination of an insurance
contract before the expiration thereof; a justification of the
contract termination - evidence that confirms one of the
following conditions - shall be attached to the application:
1) the motor vehicle is alienated;
2) the motor vehicle has left the possession of the owner,
keeper or user not because of their fault, but due to illegal
activities of another person and it has been notified to the
relevant law enforcement authorities in accordance with the
procedures laid down in laws and regulations;
3) there is a mistake in the information indicated in the
insurance contract; or
4) a legal person is liquidated or the name thereof is
changed..
(2) If a motor vehicle will not be used in road traffic, the
owner of the motor vehicle shall submit to an insurer a written
application for the termination of an insurance contract before
the expiration thereof.
(3) Prior to the submission of the written application
determined in Paragraph two of this Section in accordance with
the procedures laid down in laws and regulations, the owner of a
motor vehicle shall temporarily suspend the registration of the
vehicle with the Road Traffic Safety Directorate or the State
Technical Supervision Agency, respectively.
(4) [27 September 2007]
(5) In terminating an insurance contract before the expiration
thereof, the owner of a motor vehicle has the right to such
portion of the deposited insurance premium, which corresponds
to:
1) the remaining time period from the day of termination of
the insurance contract to the expiration of the insurance
contract, and from which not more than 5 per cent of the
insurance premium portion for the remaining period have been
deducted if the contract is terminated due to the circumstances
referred to in Paragraph one, Clause 1 or Paragraph two of this
Section and if payment of the insurance indemnity has not been
claimed regarding the relevant contract;
2) the remaining time period, counting from the day of
termination of the contract, if the contract is terminated due to
the circumstances referred to in Paragraph one, Clause 2, 3 or 4
of this Section and if payment of the insurance indemnity has not
been claimed regarding the relevant contract.
(6) If there has been a change of the owner of a motor vehicle
according to an invoice-reference issued by a merchant registered
as a retail trader of motor vehicles or other documents
certifying the ownership right of the owner of a motor vehicle,
or the motor vehicle is re-registered due to the change of the
identification number of the motor vehicle or the owner
determined in the motor vehicle registration certificate, or a
transit number card or a certification of the write-off of a
motor vehicle is issued to the motor vehicle and the owner of the
motor vehicle determined in the insurance contract has not
submitted an application regarding termination of the insurance
contract, the insurance contract shall be considered terminated
at the time when there is a change of the owner of the motor
vehicle according to the documents certifying the ownership
right, or the motor vehicle is re-registered or a transit number
card or a certificate regarding the write-off of the motor
vehicle is issued thereto. In the event of the lease of a motor
vehicle an insurance contract shall be considered terminated at
the time when the change of the lessee occurs who is registered
as the holder of the motor vehicle with the Road Traffic Safety
Directorate or with the information system for the tractor-type
machinery and drivers thereof of the State Technical Supervision
Agency.
(61) If an insurance contract has expired in the
case referred to in Paragraph six of this Section and the owner
of the motor vehicle submits to an insurer a written application
for refunding a part of the paid insurance premium, the owner of
the motor vehicle has the right to claim such part of the paid
insurance premium that corresponds to the time period remaining
from the date on which the application was submitted until the
expiry term of the insurance contract, from which not more than
five per cent of the part of the insurance period for the
remaining period are deducted provided that payment of the
insurance indemnity has not been claimed on the basis of the
relevant contract.
(7) The conditions of Paragraph six of this Section shall not
apply:
1) in case of a lease if a motor vehicle is re-registered and
the holder of a motor vehicle determined in the motor vehicle
registration certificate becomes the owner of the motor vehicle
or the holder of a motor vehicle determined in the motor vehicle
registration certificate becomes the owner thereof;
2) to standard contracts which have been entered into on the
basis of the data referred to in Section 9.1,
Paragraph one, Clause 2, Sub-clause "b" of this Law.
[27 September 2007; 22 September
2011]
Section 11. Validity of Insurance
Contract in case of Reorganisation or Liquidation of Insurer
(1) If an insurance company is reorganised and such company
has a legal successor, insurance contracts shall retain the
validity thereof until the expiration of thereof.
(2) In liquidating an insurance company, a liquidation
commission or a liquidator shall discharge the obligations
determined in insurance contracts. Obligations for the discharge
of which the insurance company to be liquidated does not have
sufficient resources, shall be taken over by the Motor Insurers'
Bureau, which shall ensure the discharge of the obligations from
the Guarantee Fund of the Compulsory Civil Liability Insurance of
Motor Vehicle Owners (hereinafter - Guarantee Fund).
Section 12. Amount of Insurance
Premium
(1) An insurer shall determine the amount of an insurance
premium, taking into consideration the type of a motor vehicle,
the purpose of utilisation and other factors influencing
risk.
(2) The amount of an insurance premium that has been
determined at the time of entering into an insurance contract,
shall be such that would ensure the discharge of the obligations
determined in an insurance contract, as well as cover the
expenses that are necessary for the provision of insurance.
[27 September 2007]
Section 13. Determining the Amount
of an Insurance Premium
(1) In entering into an insurance contract, the amount of an
insurance premium for the owner of a motor vehicle shall be
determined after evaluating the number of insurance indemnities
paid during the term of validity of the previous insurance
contracts, the number of cases identified in accordance with the
procedures laid down in laws and regulations, when the motor
vehicle was driven committing administrative offences for which
points for driving offences are registered, and criminal offences
against the safety of traffic, as well as assessing other factors
impacting risks.
(2) In entering into an insurance contract, a lessee shall be
considered as equal to the owner of a motor vehicle for the
purpose of determining the amount of an insurance premium.
[27 September 2007]
Section 14. Payment of Insurance
Premium
(1) The owner of a motor vehicle has an obligation to pay an
insurance premium within the time period and in the amount
determined in an insurance contract.
(2) The insurance premium payment determined by an insurer
shall be reduced by 40 per cent for the owners of motor vehicles,
who are:
1) disabled persons of Group I and II;
2) disabled persons of Group III, who have difficulty of
movement [such difficulty shall be certified by an opinion of the
State Medical Commission for Expert-Examination of Health and
Working Ability (in insuring a passenger car)].
(3) In insuring tractor machinery or a trailer thereof which
is registered with the State Technical Supervision Agency, the
insurance premium payment determined by an insurer shall be
reduced by 30 per cent if an insurance contract is entered into
with the owner of the motor vehicle - an agricultural farm and
fish farm and a cooperative society of agricultural services. The
reduction of the insurance premium payment laid down in this
Paragraph of the Section shall also apply to an agricultural
producer - a merchant and a natural person if a certificate
issued by a local government has been submitted in the respective
calendar year to the insurer regarding the area of owned,
permanently used or leased land, which is used in agricultural
production.
(4) The Motor Insurers' Bureau shall compensate to an insurer
the decrease of an insurance premium payment referred to in
Paragraphs two and three of this Section from the Guarantee
Fund.
(5) An insurance shall not become void if the owner of a motor
vehicle has not made the necessary payments within the time
period determined in the contract.
(6) If the owner of a motor vehicle has not paid an insurance
premium within the time period determined in an insurance
contract, the insurer is entitled to bring an action to a
court.
[27 September 2007; 23 October
2008]
Section 15. Limit of Insurer
Liability
(1) Upon the setting in of an insurable event, an insurer that
has insured the civil liability of the owner of a motor vehicle
causing the losses, or the Motor Insurers' Bureau (if insurance
indemnity is payable from the Guarantee Fund) shall cover the
losses without exceeding the limit of insurer liability:
1) for indemnification of personal losses - up to 5 000 000
euros, regardless of the number of injured persons;
2) for indemnification of property loss - up to 1 000 000
euros, regardless of the number of third parties.
(2) A third person is entitled to request losses which are not
compensated in accordance with this Law or which exceed the limit
of insurer liability in accordance with the procedures laid down
in laws and regulations.
[27 September 2007; 19 September
2013]
Section 16. Obligations of a Motor
Vehicle Driver
(1) Upon request of another person involved in a road traffic
accident, the driver of a motor vehicle shall provide the
required information regarding the insurance contract and the
insurer with which the insurance contract has been entered into.
When leaving the territory of the Republic of Latvia, the driver
of a motor vehicle must carry along a civil liability insurance
policy of the motor vehicle owner.
(2) The driver of a motor vehicle has an obligation to notify
in accordance with the procedures laid down in this Law the
insurer that has insured the civil liability of the motor vehicle
owner involved in a road traffic accident, or the Motor Insurers'
Bureau, if insurance indemnity is payable from the Guarantee
Fund, regarding the setting in of an insurable event.
[27 September 2007]
Section 17. Obligations of an
Insurer
(1) An insurer may not refuse to enter into a compulsory civil
liability insurance contract of owners of motor vehicles.
(2) An insurer shall accept agreed statements and written
applications regarding road traffic accidents.
(3) An insurer shall authorise representatives in each state
of the European Economic Area, who shall handle the claims of
natural persons residing and the legal persons registered in the
state of the European Economic Area (hereinafter - a resident),
in the language of such state, against insurers regarding
insurable events that have occurred in such state of the European
Economic Area which is not the state of permanent residence of
the injured natural person or the state of registration of the
legal person (hereinafter - state of residence) and in which loss
has been caused by the motor vehicle with the number plate of the
Republic of Latvia, and shall take decisions to pay an insurance
indemnity or to refuse to pay an insurance indemnity, as well as
ensure the payment of insurance indemnity. The representative of
an insurer shall be the resident of the respective state of the
European Economic Area. The insurer shall notify the given name,
surname or the name and legal address of the representative of
the insurer to the Motor Insurers' Bureau.
(4) An insurer shall ensure the input of data into the
information system of the compulsory civil liability insurance of
the owners of motor vehicles in accordance with the procedures
and in the amount determined by the Cabinet.
(5) An insurer has an obligation to transfer payments to the
following accounts of the Motor Insurers' Bureau:
1) the Guarantee Fund;
2) for the prevention of road traffic accidents and the
performance of preventive measures;
3) for ensuring the operation of the Motor Insurers'
Bureau.
(6) Upon request of a policy holder (the owner of a motor
vehicle or the person that has entered into the insurance
contract), an insurer shall issue the forms of the agreed
statement:
1) immediately after receiving the request, if it has been
received without using the means of distant communication;
2) within five working days after receipt of the request, if
it has been received without using the means of distant
communication.
(7) Each insurer shall fulfil the obligations thereof and
cover the administrative expenses that have been incurred during
the time period when such insurer was a member of the Motor
Insurers' Bureau also after such insurer has terminated the
membership thereof in the Motor Insurers' Bureau.
[27 September 2007; 22 September
2011]
Chapter III
Loss Assessment and Insurance Indemnity
Section 18. Losses Due to a Road
Traffic Accident
Upon setting in of an insurable event, an insurer that has
ensured the civil liability of the owner of the motor vehicle
that has caused losses, or the Motor Insurers' Bureau, if
insurance indemnity is payable from the Guarantee Fund, shall
compensate in accordance with the limit of the insurer liability
the losses assessed in accordance with the procedures laid down
in this Law that have been caused to a third person in a road
traffic accident.
Section 19. Losses Caused to a
Person
(1) Material loss caused to a person in a road accident shall
be losses suffered by an injured person due to:
1) medical treatment;
2) temporary incapacity for employment;
3) loss of ability to work;
4) death.
(2) Non-material losses caused to a person in a road accident
shall be losses that involve pain and mental suffering due
to:
1) a physical trauma of the injured person;
2) the crippling or disablement of the injured person;
3) the death of a breadwinner, dependant or spouse;
4) Group I disability of a breadwinner, dependant or
spouse.
(3) The Cabinet shall determine the amount of insurance
indemnity and the procedures for the calculation thereof for
material and non-material losses caused to a person.
Section 20. Losses Due to Medical
Treatment of Injured Person
(1) Losses due to medical treatment of an injured person shall
be expenses that are related to the transportation, admission,
maintenance, diagnostics, treatment and rehabilitation of the
injured person in a medical treatment or medical rehabilitation
institution, the nursing of the injured person, the purchase of
medication, therapeutic sustenance, treatment at home (including
travel expenses when visiting medical treatment or medical
rehabilitation institutions), as well as prosthetics,
endoprosthetics and the purchase or rental of technical aids.
(2) Expenses that are related to the medical treatment of
inhabitants of the Republic of Latvia who have suffered in road
traffic accidents in the territory of the Republic of Latvia in
foreign states shall be compensated if the referred to medical
treatment has been previously co-ordinated in writing with an
insurer or the Motor Insurers' Bureau.
Section 21. Losses Due to Temporary
Incapacity for Employment of Injured Person
(1) Losses due to temporary incapacity for employment of an
injured person shall be the non-received income for the period of
incapacity for employment certified by the medical treatment
institution.
(2) Non-received income shall consist of:
1) for an injured person who is considered to be an employee
at the time of a road traffic accident - the average earnings of
the injured person calculated in accordance with the procedures
laid down in the Labour Law, after deducting therefrom the
sick-pay and sickness benefits granted to the injured person for
health damage caused to him or her;
2) for an injured person who is considered to be a
self-employed person at the time of a road traffic accident - the
amount calculated as the difference between the earned income of
the previous calendar year (before the road traffic accident) and
the earned income received in the calendar year in which the
person had temporary incapacity, after deducting therefrom the
sickness benefits granted to the injured person for health damage
caused to him or her.
(3) An insurer or Motor Insurers' Bureau shall compensate to
the employer of an injured person for sick-pay paid to the
injured person during the period of temporary incapacity for
employment of the injured person, which shall be certified by a
sick-leave certificate.
[27 September 2007]
Section 22. Losses Due to Loss of
Ability to Work by Injured Person
(1) Losses due to loss of ability to work by an injured person
shall be the difference of income that is determined by deducting
from the non-received income calculated in accordance with the
procedures laid down in Section 21, Paragraph two of this Law the
received employment earnings (if any) and the pensions granted
from the State social insurance budget or the benefits received
from the State and local government budget.
(2) Insurance indemnity for loss due to loss of ability to
work shall be paid not less than once a month (unless another
agreement has been reached with an insurer or the Motor Insurers'
Bureau) while the loss of ability to work of the injured person
remains.
(3) If the injured person is a full-time student of a
State-accredited higher educational institution and cannot
continue his or her full-time studies due to loss of ability to
work, an insurer or the Motor Insurers' Bureau shall cover the
difference between the tuition for part-time study at a
State-accredited higher educational institution and the tuition
that would have to be paid for full-time studies at a
State-accredited higher educational institution, if the tuition
for part-time studies at a State-accredited higher educational
institution is greater than the tuition that would have to be
paid for full-time studies at an accredited higher educational
institution.
(4) If an injured person who has lost the ability to work has
a one-time opportunity to acquire a new profession in order to
receive income from employment that is consistent with the
current health condition of such person, an insurer or Motor
Insurers' Bureau shall cover the expenses for the acquisition of
vocational education, if the level of the relevant vocational
education is not higher than the level of education that the
injured person had at the time of road traffic accident. The
insurer or the Motor Insurers' Bureau shall cover the referred to
expenses upon agreement with the injured person.
Section 23. Losses Due to Death of
Injured Person
(1) The following persons have the right to an insurance
indemnity due to the death of a breadwinner:
1) children, including adopted children:
a) until reaching the full age, or
b) while they are students at a secondary educational
institution or full-time students at a higher educational
institution, but not longer than until the age of 24 or
regardless of age if they have become disabled before reaching
the full age;
2) brothers, sisters and grandchildren:
a) if they are younger than 18 years and do not have other
breadwinners who are capable to work, or
b) while they are studying at a secondary educational
institution or full-time students at a higher educational
institution, but not longer than until the age of 24 if they do
not have parents capable to work, or regardless of age if they do
not have parents capable to work and they have become disabled
before reaching full age;
3) a widow (widower) who is unable to work, parents or
grandparents who are unable to work - until the restoration of
their ability to work, as well as a widow (widower) who is unable
to work if the family has children up to the age of eight years
or a disabled child;
4) other family members that were dependent, who are to be
considered as such in accordance with the Law On State
Pensions.
(2) The losses caused to the dependants referred to in
Paragraph one of this Section due to death of the injured person
shall be a part of the income not received by the perished
person, to which each dependant was entitled to while the injured
person was alive, and from which the amount of survivor's pension
allocated to a dependant shall be deducted.
(3) The insurance indemnity payable to each of the persons
referred to in Paragraph one, Clauses 1 and 2 of this Section,
together with the disbursed State pension or State social
security allowance, may not be less than the minimum amount of
means of subsistence laid down laws and regulations that each of
the parents has an obligation to provide to a child.
(4) A natural person who has undertaken to organise a funeral
and has presented the original of a death certificate, as well as
has submitted documents that confirm the fact of burial, has the
right to receive compensation for losses due to the burial of the
injured person.
(5) Funeral expenses shall be calculated in an amount of not
less than eight minimal monthly wages. If the actual amount of
funeral expenses is higher, actually incurred and documentarily
supported reasonable expenses shall be calculated.
(51) Funeral expenses shall be compensated in an
amount that is equivalent to the difference between the funeral
expenses referred to in Paragraph five of this Section and the
funeral benefit amount payable from the State and local
government budget, to be calculated due to the death of the
injured person.
(6) An insurance indemnity for losses due to the death of an
injured person shall be paid if the death of the injured person
has set in within one year after a road traffic accident and a
forensic medical expert or a medical treatment institution
certifies that the death of the injured person is causally
related to the relevant accident.
[22 September 2011]
Section 23.1 Indexation
of Losses Due to the Incapacity of the Injured Person and the
Death of the Injured Person
In calculating an insurance indemnity for losses due to the
incapacity or death of the injured person, an insurer or the
Motor Insurers' Bureau shall index, once a year, the earned
income that the injured person or deceased person received before
the road traffic accident, taking into account the consumer price
index (inflation coefficient) for the previous year determined
officially by the Central Statistical Bureau.
[27 September 2007]
Section 24. Compensation of State
Budget and Local Government Budget Expenses
(1) An insurer or the Motor Insurers' Bureau shall reimburse
the expenses covered from the State and local government budgets
for the medical treatment and rehabilitation of the injured
persons and for the purchasing or leasing and adapting of
technical auxiliary equipment.
(2) An insurer or the Motor Insurers' Bureau shall compensate
for the expenses covered from the State and local government
budgets in the form of the State social insurance services and
State social benefits in relation to the persons injured in a
road traffic accident.
(3) The Cabinet shall determine the amount of and the
procedure for the compensation of the State and local government
budget expenses.
[22 September 2011]
Section 25. Losses Caused to
Property
(1) A loss caused to the property of a third person in a road
traffic accident is a loss that has arisen:
1) due to the damage or total loss of a motor vehicle;
2) due to the damage or total loss of a road, a road
construction, a building or a structure;
3) due to the damage or total loss of another property owned
by the person, except the property referred to in Paragraph one,
Clauses 1 and 2 of this Section;
4) while carrying out the rescue operations of persons who
have suffered in a road traffic accident;
5) due to the damage of a motor vehicle used for the
transportation of the injured person to a medical treatment
institution or the soiling of the interior of such motor
vehicle;
6) while removing motor vehicles from the site of the road
traffic accident;
7) due to the damage to the environment.
(2) If a third person wishes to receive insurance indemnity
for the loss caused to the property referred to in Paragraph one
of this Section in cash, an insurer or the Motor Insurers' Bureau
shall disburse a cash amount that corresponds to the loss amount
determined in the loss calculation, excluding value added tax. If
a third person has repaired a motor vehicle not later than two
months after payment of the insurance indemnity and submits an
invoice for the repairs of the motor vehicle and a document
confirming the payment of the invoice to the insurer or the Motor
Insurers' Bureau, the insurer or the Motor Insurers' Bureau shall
compensate for the actually paid value added tax not exceeding
the amount of value added tax determined in the loss
calculation.
[22 September 2011]
Section 26. Losses Due to Damage to
Motor Vehicle
Losses due to damage to a motor vehicle shall be expenses for
the repairs of the motor vehicle that are necessary in order to
restore the relevant vehicle to the condition such vehicle had
before a road traffic accident.
Section 27. Losses Due to Total Loss
of Motor Vehicle
(1) A motor vehicle shall be considered destroyed if the
repairs of such vehicle are technically impossible or
economically unsound. Repairs shall be considered economically
unjustified if the expected costs of the repairs of the motor
vehicle exceed an amount calculated as the difference between the
value of the motor vehicle before the road traffic accident and
the residual value of the damaged motor vehicle after the road
traffic accident.
(2) If the owner of a motor vehicle agrees that the vehicle is
recognised as destroyed, the compensation of losses shall be paid
in the amount that corresponds to the value of the motor vehicle
before the road traffic accident, as well as compensate the
expenses for a statement that certifies the ownership of the
numbered unit and expenses for the taking of the vehicle wreck to
an automobile graveyard. An insurer or Motor Insurers' Bureau
shall acquire the rights to the motor vehicle wreck.
(3) If the owner of a motor vehicle does not agree that the
motor vehicle is recognised as destroyed, the compensation of
losses shall be paid in the amount that corresponds to the
difference between the value of the motor vehicle before and
after a road traffic accident.
(4) An expert shall determine the value of a motor vehicle
before a road traffic accident, taking into account the actual
run of the vehicle and other factors influencing the value of the
motor vehicle.
[22 September 2011]
Section 28. Expenses Due to Removal
of Motor Vehicle or the Wreck Thereof
Expenses due to the removal of a motor vehicle or the wreck
thereof shall be expenses for the removal of the motor vehicle or
the wreck thereof from the scene of a road traffic accident to
the place of residence of such vehicle owner or legal user who
was driving the motor vehicle at the time of the road traffic
accident, or to a place of the vehicle repairs within the
territory of the Republic of Latvia. If it is necessary to place
a motor vehicle or the wreck thereof in a parking area due to an
investigation in criminal proceedings or other reasons, the
expenses for the removal of the motor vehicle or the wreck
thereof to the relevant parking area, as well as the charges for
parking area services, shall be included in the losses.
[22 September 2011]
Section 29. Losses Due to the Damage
or Total Loss of Road, Road Construction, Building, Structure and
Other Property
(1) Losses due to a damage of a road, road construction,
building, structure and other property shall be expenses that are
necessary to repair the condition of the relevant object to the
condition such object had before a road traffic accident.
(2) Losses due to the total loss of a road, road construction,
building, structure and other property shall be the difference
between the value of the relevant object before and after a road
traffic accident and the expenses for the removal of the wreck of
the destroyed object, as well as the readjustment of engineer
networks and communications.
Section 30. Losses Due to Damage to
Environment
Losses due to damage to the environment shall be expenses for
the determination, confinement and minimisation of the damage,
the collection, neutralisation or elimination, or processing, of
pollution, the removal of the damaged topsoil, neutralisation or
elimination thereof and replacement with a new topsoil.
Section 31. Compensation of
Losses
(1) Insurers who have insured the civil liability of the
owners of motor vehicles involved in road traffic accidents, or
the Motor Insurers' Bureau, shall evaluate and determine the
liability of each person involved in the road traffic accident
for the losses caused, taking into account the circumstances of
the road traffic accident.
(2) Loss shall be compensated by such insurer who has insured
civil liability of the owner of the motor vehicle that has caused
the loss, or by the Motor Insurers' Bureau.
(3) If an insurance company that is licensed in a state of the
European Economic Area for the performance of compulsory civil
liability insurance of the owners of motor vehicles has insured
the civil liability of the owner of the motor vehicle that has
caused the loss in a road traffic accident, and the road traffic
accident in which the loss has been caused to a person
permanently residing in the Republic of Latvia, has occurred in a
state of the European Economic Area, the loss shall be
indemnified by the authorised representative of the respective
state in the Republic of Latvia or by the Motor Insurers' Bureau.
In addition, the person has the right to directly address the
insurer that has insured the civil liability of the owner of the
vehicle that has caused the loss, as well as the right to bring
an action against such insurer or its authorised representative
to a court of the Republic of Latvia.
(4) If the loss to a third person was caused by several
persons have caused, including drivers of motor vehicles,
insurance indemnity to the injured person shall be paid in
accordance with the degree of liability of each motor vehicle
driver.
(5) If the loss in a road traffic accident was caused by
several persons, thereby causing mutual losses, insurance
indemnity to each person shall be paid in accordance with the
degree of liability of each motor vehicle driver.
(6) If the loss in a road traffic accident was caused by one
person, but other persons involved in the road traffic accident
are also responsible for causing losses or increasing the
magnitude thereof, the losses shall be compensated, taking into
account the degree of liability of the persons involved in the
road traffic accident.
(7) If the persons involved in a road traffic accident are
known, but it is not possible to determine the degree of
liability of such persons due to their inconsistent reports,
then, in compensating the losses, it shall be assumed that the
degree of liability of the persons involved in the road traffic
accident is equal.
(8) If a pedestrian, cyclist or another participant of the
road traffic, who has not used a motor vehicle and in whose
actions no such violations of the road traffic rules have been
identified which would be causally linked to the loss caused in a
road traffic accident, has suffered in the road traffic accident
and if it is not possible to prove the liability of the driver of
the motor vehicle involved in the road traffic accident,
insurance indemnity shall be paid by the Motor Insurers'
Bureau.
(9) If another insurer or the Motor Insurers' Bureau has
compensated the caused losses before the insurer that has insured
the civil liability of the owner of the motor vehicle which
caused the loss in a road traffic accident has taken a decision
to pay a compensation, such insurer shall refund to the relevant
other insurer or Motor Insurers' Bureau the amount of the
compensation calculated and paid in accordance with the
procedures laid down in this Law. A claim for the compensation of
losses may be brought within one year from the day of payment of
the insurance indemnity.
(10) If another insurance company has compensated the caused
losses in accordance with a voluntary insurance contract, the
insurer that has insured the civil liability of the owner of the
motor vehicle which caused the loss in a road traffic accident,
or the Motor Insurers' Bureau (if the insurance indemnity is
payable from the Guarantee Fund), shall compensate the amount of
the compensation calculated and paid in accordance with the
procedures laid down in this Law. A claim for the compensation of
losses may be brought within one year from the day of payment of
the insurance indemnity.
(11) The insurer or the Motor Insurers' Bureau is not entitled
to refuse the payment of insurance indemnity or reduce it
significantly if the injured person (the passenger of a motor
vehicle) was aware or he or she should have been aware that the
driver of the motor vehicle was under the influence of alcohol or
of any other intoxicating substance at the time of the road
traffic accident.
[27 September 2007; 22 September
2011]
Section 32. Losses Caused by Leased
Motor Vehicles
Compensation of losses in accordance with this Law shall also
be paid in the case where in a road traffic accident a motor
vehicle, which is owned by a single owner, has damaged an object
which the same owner has leased to another person, and if the
owner of the lease object and the holder of the lease object for
which registration of the owner with the State Register of
Vehicles and Drivers of the Road Traffic Safety Directorate or
the information system for the tractor-type machinery and drivers
thereof of the State Technical Supervision Agency is required,
have been indicated.
[27 September 2007]
Section 33. Losses Caused to the
Property of Several Persons
(1) If several persons have caused the loss in a road traffic
accident and mutual losses have been caused to such persons due
to the damage or total loss of property, the insurance indemnity,
which the insurer of the civil liability of each person who has
caused the loss in the road traffic accident shall pay to the
injured person in accordance with the degree of liability of the
relevant person, may not exceed the limit of the liability of
each insurer.
(2) If the person who has caused the loss in a road traffic
accident has caused losses to several injured persons due to the
damage or total loss of property, the insurance indemnity to be
paid to the injured persons may not exceed the limit of insurer
liability.
(3) If losses have been caused in a road traffic accident to
the property of several owners and the total amount of losses
exceeds the limit of insurer liability, the losses shall be
compensated within the amount of the limit of the insurer
liability in proportion to the amount of losses of each injured
person.
[27 September 2007]
Section 34. Compensation of Losses
Caused by a Trailer (Semi-trailer) or Another Motor Vehicle Towed
in a Direct Hitch
(1) If losses have been caused by a trailer (semi-trailer) or
another motor vehicle towed in a direct hitch, which at the time
of a road traffic accident was hitched to a road tractor or other
towing motor vehicle, an insurer who has insured the civil
liability of the owner of the road tractor or another towing
vehicle shall pay the insurance indemnity to the injured
person.
(2) If losses have been caused by a trailer (semi-trailer),
which at the time of a road traffic accident was not hitched to a
truck or other towing motor vehicle, the insurance indemnity to
an injured person shall be paid by the insurer who has insured
the civil liability of the owner of the trailer
(semi-trailer).
Section 35. Cases when Losses are
not Compensated
An insurer or the Motor Insurers' Bureau shall not
compensate:
1) losses that have arisen while using a motor vehicle but for
causing which no liability results in accordance with Section
2347 of The Civil Law. These represent losses that have been
caused to a third person due to force majeure, with the
intent of the person himself or herself, or due to his or her
gross negligence;
2) losses that have been caused by an unidentified motor
vehicle, except the losses caused to a person referred to in
Section 19 and the losses caused to property referred to in
Section 25, Paragraph one, Clauses four and five of this Law. If
severe bodily injuries or moderately severe bodily injuries have
been caused to at least one injured person in the road traffic
accident, the losses referred to in Section 25 of this Law shall
be compensated to all the persons involved in the road traffic
accident;
3) losses that have been caused to property of the owner or
legal user of the motor vehicle that caused a road traffic
accident, and personal losses caused to the driver of the motor
vehicle that caused a road traffic accident. The losses referred
to in this Clause shall be compensated in the cases referred to
in Section 31, Paragraphs five and seven of this Law;
4) losses due to the damage, total loss or disappearance of a
motor vehicle and property contained therein, if the referred to
losses have been suffered by persons after a road traffic
accident;
5) losses that have been caused while using a motor vehicle in
a test drive or as result of use of a vehicle for a test drive or
in a car race;
6) losses due to a damage of a motor vehicle or trailer
hitched or otherwise attached to the motor vehicle that caused
the loss in a road traffic accident;
7) losses that have been directly or indirectly caused or
facilitated by ionising radiation, radioactive contamination
generated by any nuclear fuel, or by a radioactive, toxic,
explosive or otherwise dangerous feature of any explosive nuclear
compound or nuclear component thereof;
8) non-received profit due to a road traffic accident;
9) losses that have been caused by a rock or another object
that a motor vehicle or a device attached thereto has moved;
10) the expenses of an insurance company that have been
incurred due to the setting in of an insurable event provided for
in a health insurance contract, except the cases where, in
accordance with the health insurance contract, the insurance
company compensates the losses by using the principle of
compensation;
11) losses that have been caused to the property of a third
person, which the owner or legal user of a motor vehicle that
caused a road traffic accident has accepted for commercial
carriage;
12) losses due to damage or total loss of property that have
been caused in such road traffic accident which should have been
reported to the State Police in accordance with the laws and
regulations but which has not been reported in bad faith or due
to gross negligence of the persons involved in the road traffic
accident;
13) losses that have arisen in the maneuvering area of an
airfield in a road traffic accident in which a motor vehicle and
an aircraft are involved;
14) the losses caused to the property of a lessee and to the
motor vehicles used in accordance with the lease agreement, which
have arisen in a road traffic accident in which such motor
vehicles are involved which have been leased out to one and the
same lessee identified as the holder of the motor vehicles with
the State Register of Vehicles and Drivers of the Road Traffic
Safety Directorate or with the information system for the
tractor-type machinery and drivers thereof of the State Technical
Supervision Agency.
[27 September 2007; 22 September
2011]
Section 36. Reporting of the
Occurrence of an Insurable Event
(1) Persons involved in a road traffic accident have the
following duties:
1) take all the possible measures to record the circumstances
of the road traffic accident in accordance with the procedures
laid down in laws and regulations, as well as to prevent or
minimise further losses;
2) to safeguard and present the damaged property in such
condition as was after the road accident until the time when in
accordance with the procedures laid down in this Law the damage
caused to the property is recorded or refusal to carry out the
inspection of the damaged property is received;
3) provide information on the circumstances of the road
traffic accident to the insurer or the Motor Insurers' Bureau
within five days after receipt of the request thereof.
(2) The driver of a motor vehicle involved in a road traffic
accident has the duty to report the occurrence of an insurable
event to the insurer or the Motor Insurers' Bureau as
follows:
1) if the owner of the motor vehicle is a person who may claim
insurance indemnity, he or she shall submit an application
regarding an insurable event to the insurer that has insured the
liability of the owner of the motor vehicle that has caused the
loss, or to the Motor Insurers' Bureau if insurance indemnity is
to be paid from the Guarantee Fund. A completed agreed statement
shall be enclosed to the application if the circumstances of the
road traffic accident have been recorded using the agreed
statement forms;
2) if the owner of the motor vehicle is a person who may not
claim insurance indemnity, he or she shall submit a completed
agreed statement to the insurer with which the compulsory civil
liability insurance contract has been entered into, or, in the
absence of such, to the Motor Insurers' Bureau within 10 days
after the day of the occurrence of the road traffic accident
where the circumstances of the road traffic accident have been
recorded using the agreed statement forms, or notify of the road
traffic accident in writing if the circumstances of the road
traffic accident have been recorded by the State Police.
(3) If the driver of a motor vehicle has failed to report the
occurrence of a road traffic accident, the duty to report shall
rest with the owner of the motor vehicle or - in the event of the
lease of the motor vehicle - with the lessee in accordance with
Paragraph two of this Section.
(4) A person who may claim insurance indemnity for the loss
caused to property (except the loss caused to the motor vehicle)
or personal losses, shall submit an application regarding an
insurable event to the insurer that has insured the civil
liability of the owner of the motor vehicle that has caused the
loss or the Motor Insurers' Bureau if insurance indemnity is to
be paid from the Guarantee Fund.
(5) If the insurer that has insured the civil liability of the
owner of the motor vehicle that has caused the loss, is not known
or such does not exist, the persons referred to in this Section
have a duty to address the Motor Insurers' Bureau or any insurer.
The respective insurer shall establish, liaising with the Motor
Insurers' Bureau, who should be notified of the insurable event
or submit an application regarding the insurable event, and shall
immediately notify the respective person thereof.
(6) Within five days counting from the day on which the
insurer or the Motor Insurers' Bureau has been notified of the
insurable event in accordance with Paragraph two, Clause 2 of
this Section the insurer or the Motor Insurers' Bureau:
1) shall carry out the inspection of the motor vehicle that
caused the loss in a road traffic accident;
2) is entitled not to carry out the inspection of the motor
vehicle that caused the loss in the road traffic accident,
notifying the person who reported the insurable event thereof in
writing.
(7) The insurer or the Motor Insurers' Bureau may refuse to
pay insurance indemnity if a third person has failed to perform
any of the duties laid down in Paragraph one of this Section in
bad faith or due to gross negligence.
[27 September 2007; 22 September
2011]
Section 37. Procedures for
Evaluating the Losses Caused to Property
(1) An insurer of the civil liability of the owner of the
motor vehicle that caused the loss in a road traffic accident or
of the Motor Insurers' Bureau, if insurance indemnity is to be
paid from the Guarantee Fund, shall ensure, without delay,
however, not later than within five days (counting from the day
on which the person who may claim the insurance indemnity has
notified the insurer or the Motor Insurers' Bureau of the
insurable event), inspection of the property of the person
claiming the insurance indemnity.
(2) If the insurer or the Motor Insurers' Bureau has failed to
ensure the inspection of the damaged property within the time
period referred to in Paragraph one of this Section, a third
person has the right to select an expert for determining the
amount of the losses. In such case the insurer or the Motor
Insurers' Bureau shall:
1) compensate for the losses on the basis of the documents
submitted by the third person to substantiate the amount of the
losses caused;
2) compensate the third person for expenses which the third
person incurred carrying out the examination of the property
damaged in the road traffic accident.
(3) A certified expert of the Motor Insurers' Bureau is
entitled to carry out technical examination related to the damage
caused to a motor vehicle in the Republic of Latvia. If a third
person wishes to receive an insurance indemnity for the losses
referred to in Section 26 or 27 of this Law, the carrying out of
the technical examination of the motor vehicle for the purpose of
assessing the losses shall be compulsory.
(4) If a motor vehicle registered in a foreign state is
involved in a road traffic accident in the Republic of Latvia and
the owner or legal user thereof may not remain in the Republic of
Latvia for three days after the road traffic accident, an expert
is entitled to evaluate the documentation of loss assessment of
the referred-to motor vehicle prepared by a competent person of
the relevant foreign state and, if such documentation is
justified, calculate the relevant losses.
(5) The Cabinet shall issue the regulations of the technical
expert-examination of motor vehicles and specify the procedures
for the certification of technical experts.
[27 September 2007; 22 September
2011]
Section 38. Procedures for
Requesting Insurance Indemnity
(1) An insurer or the Motor Insurers' Bureau (if insurance
indemnity is to be paid from the Guarantee Fund) shall calculate
an insurance indemnity, taking into account the losses caused in
a road traffic accident.
(2) A person who claims to receive insurance indemnity shall
submit a submission regarding an insurance indemnity. The
following shall be attached to the submission:
1) the documents and information recorded in another manner
which supports the facts related to the insurable event, the
losses and their amount, if such information exists;
2) the documents of courts, prosecutor's offices and
investigation institutions or the officers thereof in connection
with the road traffic accident in which the loss was caused to a
third person, if such documents exist;
3) [27 September 2007];
4) a certificate issued by the State Revenue Service regarding
the employment income of the injured person before the road
traffic accident, if the losses referred to in Section 19,
Paragraph one, Clauses 2, 3 and 4 of this Law have been caused.
The certificate need not be appended if the person claiming the
insurance indemnity has agreed that the insurer or the Motor
Insurers' Bureau (if the insurance indemnity is to be paid from
the Guarantee Fund) will request and receive the certificate from
the State Revenue Service. If the losses referred to in Section
19, Paragraph one, Clause 4 of this Law have been caused, the
certificate shall be requested or consent for the certificate to
be received by the insurer or the Motor Insurers' Bureau shall be
given by the survivor who in accordance with this Law has the
right to claim the insurance indemnity or his or her
representative.
(3) The right of a person who claims to receive insurance
indemnity for the loss caused to the property of such person to
raise a claim against the insurer or the Motor Insurers' Bureau
shall cease if such right has not been claimed within a period of
one year from the setting in of an insurable event.
(4) The right of a person who claims to receive insurance
indemnity for the damage caused to health to raise a claim
against the insurer or Motor Insurers' Bureau shall crease if
such right has not been claimed within three years from the
setting in of an insurable event.
(5) If a person who may claim insurance indemnity in
accordance with this Law submits a written request, the insurer
or the Motor Insurers' Bureau shall acquaint such person with the
documents at their disposal which support the decision to pay
insurance indemnity due to such person or to refuse to pay
insurance indemnity, or issue the copies of the referred-to
documents to such person. A person who may claim insurance
indemnity has the right to receive copies of the referred-to
documents at a charge that does not exceed the expenses for
making the copies.
(6) The insurer or the Motor Insurers' Bureau does not have a
duty to acquaint with documents and issue copies of documents in
accordance with the procedures laid down in Paragraph five of
this Section, if the insurer or the Motor Insurers' Bureau has
submitted documents in connection with a road traffic accident to
the law enforcement authorities within the scope of a criminal
matter.
(7) The insurer or the Motor Insurers' Bureau, having
acquainted with documents which support its decision to pay
insurance indemnity or to refuse to pay insurance indemnity, has
the right to require that the person who claims insurance
indemnity, signs a confirmation which indicates the documents
with which such person has acquainted himself or herself. If a
person who claims insurance indemnity refuses to sign such
confirmation, it shall be signed by the insurer or the Motor
Insurers' Bureau, noting specifically that the referred-to person
has refused to sign the confirmation.
[27 September 2007; 22 September
2011]
Section 38.1 Direct Loss
Regulation
(1) Insurers have the right to agree on direct loss regulation
by entering into a mutual contract in accordance with the binding
guidelines of the Motor Insurers' Bureau which lay down the
rights and obligations in the cases involving direct loss
regulation - the insurer's right to join the direct loss
regulation system and withdraw from it, the procedures for
payment of insurance indemnity, the procedures for mutual
settlement of accounts, the procedures for resolving disputes
regarding the insurance indemnity payment obligation, as well as
govern other matters related to the direct loss regulation.
(2) In reaching an agreement on direct loss regulation, an
insurer which has insured the losses of the civil liability of
the owner of the motor vehicle that caused the loss, has the
right to authorise the insurer which has insured the civil
liability of the owner of the motor vehicle that has been damaged
or totally lost in the road traffic accident or the authorised
person thereof, to carry out the following activities:
1) to accept and review an application regarding an insurable
event, as well as to carry out other activities which are
necessary in accordance with this Law in order to take a decision
on insurance indemnity;
2) to take a decision to pay an insurance indemnity and to pay
the insurance indemnity within the time periods laid down in this
Law.
(3) At the time of entering into an insurance contract and
after the road traffic accident an insurer has a duty to ensure
that the persons involved in the road traffic accident are
informed regarding the procedures for reporting an insurable
event and claiming an insurance indemnity.
[22 September 2011]
Section 39. Decision on Insurance
Indemnity
(1) If the fault of the person who caused the loss in a road
accident has been determined or the person that caused the loss
in the road traffic accident is known and the caused losses have
been calculated, an insurer or the Motor Insurers' Bureau shall
take a decision to pay an insurance indemnity within three months
from the day of receipt of the written application referred to in
Section 36, Paragraphs two and four of this Law, but not later
than within one month after all of the necessary documents have
been received, and shall send to the claimant of the insurance
indemnity appropriate written information.
(2) If the fault of the person who caused the loss in a road
accident has not been determined or is contested, or the losses
have not been completely determined, an insurer or the Motor
Insurers' Bureau shall send to the claimant of the insurance
indemnity appropriate written information wherein the
justification for non-payment of insurance indemnity is indicated
within three months from the day of receipt of the written
application referred to in Section 36, Paragraphs two and four of
this Law.
(3) An insurer or the Motor Insurers' Bureau shall pay to a
third person for exceeding the time period referred to in
Paragraphs one and two of this Section (three months from the day
of receipt of the written application referred to in Section 36,
Paragraphs two and four of this Law) 0.1 per cent of the unpaid
insurance indemnity per each day of delay in addition to the
unpaid insurance indemnity or the amount of losses determined by
a court.
(4) If an insurer or the Motor Insurers' Bureau has appealed a
decision of the law enforcement institutions or a court in
accordance with the procedures laid down in laws and regulations,
the time period referred to in Paragraphs one and two of this
Section shall be interrupted until the complaint is examined and
the insurer or the Motor Insurers' Bureau does not have an
obligation to pay the per cent referred to Paragraph three of
this Section if the court has recognised the appeal as justified.
If the appeal is dismissed, the per cent shall be calculated in
accordance with the procedures laid down in Paragraph three of
this Section. The time period referred to in Paragraphs one and
two of this Section shall also be interrupted and the insurer or
the Motor Insurers' Bureau also does not have an obligation to
pay the per cent referred to in Paragraph three of this Section
while a criminal matter is being investigated.
(5) If a third person is not satisfied with the decision of an
insurer regarding the payment of insurance indemnity, such person
has the right to request the Motor Insurers' Bureau to provide an
opinion regarding the referred to decision. In examining a
complaint by the third person according to the substance, the
Motor Insurers' Bureau shall take a decision that shall be a
recommendation by nature.
(6) A third person may appeal the decision of an insurer
regarding the payment of an insurance indemnity to a court even
if such person does not use the right to request the Motor
Insurers' Bureau to provide an opinion regarding the referred to
decision.
(7) If a person claiming an insurance indemnity has agreed in
writing to receive the written information provided for in this
Section through an electronic mail or as an SMS to the mobile
phone, the insurer is entitled to provide such information in
accordance with the consent received.
[27 September 2007; 22 September
2011]
Section 40. Procedures for Payment
of Insurance Indemnity
(1) An insurer or the Motor Insurers' Bureau shall pay an
insurance indemnity within a period of 5 days after a decision to
pay insurance indemnity has been taken.
(2) If the time period referred to in Paragraph one of this
Section is not observed due to a fault of an insurer or the Motor
Insurers' Bureau, in addition to the insurance indemnity to be
paid, the insurer or the Motor Insurers' Bureau shall pay 12 per
cent of the insurance indemnity payable a year.
Section 41. Subrogation Actions of
Insurer and Motor Insurers' Bureau
(1) An insurer is entitled to submit a subrogation action
against:
1) the driver of a motor vehicle that has caused the loss to a
third person in a road traffic accident; if he or she:
a) has driven the motor vehicle under the influence of
alcohol, narcotic, psychotoxic, psychotropic or other
intoxicating substances,
b) has driven the motor vehicle without a licence for the
relevant category of vehicle,
c) has left the site of a road traffic accident after the
accident, notwithstanding the requirements laid down in this Law
or other laws and regulations, or avoided a test for the
determination of the influence of alcohol, narcotic, psychotoxic,
psychotropic or other intoxicating substances to be performed in
accordance with determined procedures, or has used such
substances after the road traffic accident until the relevant
test,
d) has failed to submit a completed agreed statement in
accordance with the procedures laid down in this Law or has
failed to submit information regarding the circumstances of the
road traffic accident to the insurer upon request thereof,
e) has caused losses by committing an intentional criminal
offence;
2) the owner or - in the event of the lease of a motor vehicle
- the lessee of a motor vehicle that caused the loss in a road
traffic accident if:
a) the owner of the motor vehicle has not paid an insurance
premium within the time period determined in an insurance
contract,
b) the driver of a motor vehicle that caused the loss to a
third person in a road traffic accident, has failed to submit a
completed agreed statement in accordance with the procedures laid
down in this Law or has failed to provide information regarding
the circumstances of the road traffic accident to the insurer
upon request thereof and the recovery of the loss from the driver
of the motor vehicle is not possible,
c) the driver of the motor vehicle, notwithstanding the
requirements determined in this Law or other laws and
regulations, has left the site of a road traffic accident and the
concrete person who was driving the motor vehicle at the time of
the road traffic accident has not been determined,
d) the motor vehicle has not undergone a State technical
inspection in accordance with the determined procedures and the
loss caused in a road traffic accident is causally related to the
technical condition of the motor vehicle,
e) the motor vehicle has not been fitted with tyres which are
intended for driving in winter circumstances according to the
road traffic rules during the period from 1 December to 1 March,
and the loss caused in the road traffic accident has a causal
relationship with the referred-to violation;
3) the owner (manager) of the road if the insurer has
compensated for the loss caused in the road traffic accident
instead of the owner (manager) of the road;
4) a person who has caused the loss in bad faith;
5) a commercial undertaking (merchant), if such undertaking
(merchant) has not conformed to the procedures laid down in
Section 5, Paragraph one, Clause 3 of this Law by which motor
vehicles intended for sale participate in road traffic.
(2) The Motor Insurers' Bureau is entitled to submit a
subrogation action against:
1) the owner or - in the event of the lease of a motor vehicle
- the lessee of a motor vehicle that caused the loss in a road
traffic accident if he or she has failed to insure the civil
liability of the owner of a motor vehicle, or against the legal
user of such motor vehicle;
2) the driver of a motor vehicle if he or she has acquired the
motor vehicle through illegal acts;
3) an insurer, if the motor vehicle that has caused the loss
is being determined and the insurer had the obligation to pay
insurance indemnity;
4) an insurer if the insurance indemnity has been paid in the
case referred to in Section 51, Paragraph five or Paragraph
5.1 of this Law and the insurer had the obligation to
pay the insurance indemnity;
5) the Guarantee Fund (compensation authority) of a state of
the European Economic Area, if within three months from the day
of receipt of the written application referred to in Section 36,
Paragraphs two and four of this Law, a foreign insurer who has
insured the civil liability of the owner of the motor vehicle
that caused the loss, or a representative thereof has not sent
written information to the person claiming an insurance indemnity
(the resident of the Republic of Latvia who has brought action
against the insurer of the foreign state due to an insurable
event that has occurred in such state);
6) the Guarantee Fund (compensation authority) of a state of
the European Economic Area, if the insurer of such state has not
appointed a representative in the Republic of Latvia and the loss
has been caused to a resident of the Republic of Latvia in a road
traffic accident which occurred in such state;
7) the Guarantee Fund (compensation authority) of a state of
the European Economic Area, if the loss has been caused by a
motor vehicle registered in the state, the insurer of the civil
liability of the owner of which cannot be identified within two
months after such insurable event in which losses have been
caused to a resident of the Republic of Latvia;
8) the Guarantee Fund (compensation authority) of a state of
the European Economic Area, if such insurable event has occurred
in the state in which losses were caused to a resident of the
Republic of Latvia, but it is impossible to identify the motor
vehicle;
9) the Guarantee Fund (compensation authority) of a state of
the European Economic Area, if losses to a resident of the
Republic of Latvia in a road traffic accident which occurred in
the respective state were caused by a motor vehicle registered
outside the states of the European Economic Area and the insurer
of the civil liability of the owner of which cannot be identified
within two months after occurrence of the insurable event.
(3) The Motor Insurers' Bureau is entitled also to submit a
subrogation action in the cases provided for by international
agreements.
(4) The Motor Insurers' Bureau is entitled to submit a
subrogation claim in the cases referred to in Paragraph one of
this Section if it has paid an insurance indemnity in accordance
with Section 51, Paragraph one, Clause 5 of this Law.
[27 September 2007; 22 September
2011]
Section 42. Insurance Indemnity to
Foreigners
Losses caused to foreigners, as well as foreign legal persons
shall be compensated in accordance with the procedures laid down
in the laws of the Republic of Latvia and international
agreements.
Chapter IV
Administration of the Field of Compulsory Civil Liability
Insurance of Motor Vehicle Owners
Section 43. The Motor Insurers'
Bureau
(1) Proper functioning of the system of compulsory civil
liability insurance of the owners of motor vehicles shall be
ensured by the Motor Insurers' Bureau of Latvia, in accordance
with the purpose and tasks of operation thereof, which unites all
insurance companies that have the right to perform the compulsory
civil liability insurance of the owners of motor vehicles in the
Republic of Latvia.
(2) This Law shall regulate the operation of the Motor
Insurers' Bureau, but the Law On Associations and Foundations
shall specify the legal status of the Motor Insurers' Bureau.
(3) If an insurer is excluded or withdraws from the Motor
Insurers' Bureau, the Motor Insurers' Bureau shall notify the
Financial and Capital Market Commission regarding such exclusion
or withdrawal.
(4) The Motor Insurers' Bureau shall fulfil the functions of
the Republic of Latvia Green Card Bureau.
(5) The Motor Insurers' Bureau shall take decisions
independently within the competence thereof, perform the tasks
assigned to the Bureau and shall be liable for the implementation
of such tasks.
Section 44. Competence, Rights and
Obligations of the Motor Insurers' Bureau
(1) The purpose of the operation of the Motor Insurers' Bureau
shall be to ensure the protection of the interests of third
persons who have suffered in a road traffic accident and promote
the stability and development of compulsory civil liability
insurance of the owners of motor vehicles.
(2) The Motor Insurers' Bureau shall:
1) ensure the operation of the Guarantee Fund;
2) pay insurance indemnity from the Guarantee Fund in the
cases laid down in this Law;
3) in accordance with the competence thereof, develop and
issue proposals to the Ministry of Finance that are associated
with compulsory civil liability insurance of the owners of motor
vehicles;
4) in accordance with the competence thereof, issue to
insurers binding instructions regarding compulsory civil
liability insurance of the owners of motor vehicles;
5) develop an information system necessary for the operation
of compulsory civil liability insurance of the owners of motor
vehicles, ensure the inclusion of such system in the integrated
State information system and operative accessibility of data in
the amount provided for by Cabinet regulations;
6) ensure the provision of the information referred to in
Sections 50 and 50.1 of this Law;
7) develop and implement methodology for the performance of
technical expert-examinations of motor vehicles that is related
to compulsory civil liability insurance of the owners of motor
vehicles;
8) bring subrogation actions to a court in the cases laid down
in this Law;
9) organise international co-operation in the field of
compulsory civil liability insurance of the owners of motor
vehicles and enter into relevant agreements;
10) provide services that are related to the technical, legal
and medical expert-examinations of the compulsory civil liability
insurance of the owners of motor vehicles, the certification and
training (increasing qualification) of technical experts, as well
as the relevant services in the cases provided for in
international agreements binding to the Republic of Latvia;
11) provide assistance to natural and legal persons of the
Republic of Latvia in the defence of the rights and interests of
such persons abroad in fields that are related to compulsory
civil liability insurance of the owners of motor vehicles;
12) handle claims, if there is a conflict between an insurer
and the Motor Insurers' Bureau regarding the obligation to pay
insurance indemnity, and shall take decisions regarding the
payment of insurance indemnity or a refusal to pay insurance
indemnity, as well as ensure the payment of insurance
indemnity;
13) handle the claims of residents of the Republic of Latvia
due to insurable events that have occurred in the states of the
European Economic Area and take decisions to pay an insurance
indemnity or to refuse to pay an insurance indemnity, as well as
ensure payment of the insurance indemnity if:
a) within three months from the day of receipt of the written
application referred to in Section 36, Paragraphs two and four of
this Law, a foreign insurer which has insured the civil liability
of the owner of the motor vehicle that caused the loss, or a
representative thereof has not sent written information to the
person claiming insurance indemnity (the resident of the Republic
of Latvia which brought action against the foreign insurer due to
an insurable event which occurred in a state of the European
Economic Area),
b) the foreign insurer has not appointed a representative in
the Republic of Latvia and losses were caused to a resident of
the Republic of Latvia in an insurable event that occurred in a
state of the European Economic Area;
14) handle the claims of residents of the Republic of Latvia
due to insurable events which have occurred in the states of the
European Economic Area and take a decision to pay an insurance
indemnity or to refuse to pay an insurance indemnity, as well as
ensure payment of the insurance indemnity if:
a) losses have been caused by a motor vehicle registered in a
state of the European Economic Area or another country the
insurer of the civil liability of the owner of which cannot be
identified within two months after an insurable event which
occurred in a state of the European Economic Area in which losses
have been caused to a resident of the Republic of Latvia,
b) the motor vehicle cannot be identified after an insurable
event which occurred in a state of the European Economic Area in
which losses were caused to a resident of the Republic of
Latvia;
15) issue an opinion to third persons regarding the decision
of an insurer with regard to the payment of insurance
indemnity;
16) approve insurance policy forms and regulations for
completing such forms;
17) approve agreed statement forms and regulations for
completing such forms;
18) provide the members of the Motor Insurers' Bureau with
insurance policy and agreed statement forms;
19) provide the information at the disposal thereof to
investigative institutions, a prosecutor's office and a court
free of charge for the examination of the materials submitted for
the records of such institutions, investigation and
adjudication.
(3) The Motor Insurers' Bureau is entitled to:
1) in accordance with the procedures laid down in laws and
regulations request and receive statements from the State Police
regarding road traffic accidents free of charge, as well as from
other State administrative institutions, local governments and
insurance companies - information necessary for work;
2) represent the legal user or owner of the motor vehicle that
has caused the loss in a road traffic accident if a submission
has been submitted to the Motor Insurers' Bureau regarding an
insurance indemnity and the insurance indemnity is to be paid
from the Guarantee Fund.
[27 September 2007; 22 September
2011]
Section 45. Administrative Bodies of
the Motor Insurers' Bureau
The administrative bodies of the Motor Insurers' Bureau shall
be the general meeting and the Board.
Section 46. General Meeting
(1) General meeting shall be the decision-taking body of the
Motor Insurers' Bureau. The general meeting shall be comprised of
all the insurers.
(2) General meeting has the right to:
1) decide on measures against any insurer that does fulfil the
obligations of a member of the Motor Insurers' Bureau;
2) issue instructions binding to all insurers regarding the
compulsory civil liability insurance of the owners of motor
vehicles, insofar as such instructions are not in conflict with
this Law;
3) take a decision to exclude an insurer from the Motor
Insurers' Bureau if the obligations of an insurer referred to in
Section 17 of this Law are repeatedly not fulfilled;
4) recommend insurer representatives to the Minister for
Finance for appointment and dismissal from office in the
consultative council;
5) decide on any issues submitted by the Board or consultative
council, or proposed by an insurer;
6) determine the amount of financial resources necessary to
ensure the operation of the Motor Insurers' Bureau and the
procedures for payment;
7) recommend to the Financial and Capital Market Commission to
suspend or withdraw the relevant rights to perform the compulsory
civil liability insurance of the owners of motor vehicles;
8) decide on other issues that ensure the implementation of
this Law.
Section 47. Board
The executive body of the Motor Insurers' Bureau shall be the
Board of the Motor Insurers' Bureau. The Board shall consist of
the chairperson and two Board members.
[27 September 2007]
Section 48. Financing of the Motor
Insurers' Bureau
(1) The operation of the Motor Insurers' Bureau shall be
financed by insurers in the amount and in accordance with the
procedures laid down in the general meeting.
(2) Insurer payments shall be sufficient in order to ensure
the implementation of the tasks and goals of the Motor Insurers'
Bureau determined in this Law.
(3) The insurer payments referred to in Paragraph two of this
Section shall be transferred into the account of the Motor
Insurers' Bureau and shall be only used to ensure the operation
of the Motor Insurers' Bureau.
Section 49. Co-operation with State
Administrative Institutions and Provision of Information to State
Administrative Institutions regarding Compulsory Civil Liability
Insurance of Owners of Motor Vehicles
(1) The Minister for Finance shall appoint to and dismiss from
office in the consultative council representatives of the
following institutions and organisations: one representative from
the Ministry of Finance, the Financial and Capital Market
Commission, the State Police, the Road Traffic Safety
Directorate, the Ministry of Transport, the Ministry for
Agriculture, the Latvian Auto-motor Society, the Latvian
International Freight Forwarders Association "Latvijas Auto", the
Latvian Passenger Motor Carriers Association, the Latvian
Authorised Car Traders Association, the State Technical
Supervision Agency, the Latvian Association of Insurance Brokers
and the Latvian National Cargo Forwarders Association, eleven
insurers authorised by the Motor Insurers' Bureau who have
received a permit to pursue the compulsory civil liability
insurance of the owners of motor vehicles, and the chairperson of
the Board of the Motor Insurers' Bureau.
(2) The consultative council shall:
1) examine and submit proposals to the Ministry of Finance
regarding the necessary amendments to laws and other laws and
regulations with regard to the compulsory civil liability
insurance of the owners of motor vehicles;
2) examine the reports prepared by the Board regarding the
situation in the compulsory civil liability insurance of the
owners of motor vehicles in the State.
(3) The Motor Insurers' Bureau shall submit aggregated
information to the Ministry of Finance and the Financial and
Capital Market Commission regarding the situation in the
compulsory civil liability insurance of the owners of motor
vehicles in the State not less than once a quarter.
[27 September 2007; 22 September
2011]
Section 50. Providing Information to
Persons Involved in a Road Traffic Accident
(1) A person involved in a road traffic accident has the right
to request and receive the following information from the Motor
Insurers' Bureau:
1) the name and address of the insurer of the civil liability
of the owner of the motor vehicle that caused the loss in a road
traffic accident if such motor vehicle has a number plate of the
Republic of Latvia;
2) the insurance policy number of the owner of the motor
vehicle that caused the loss in a road traffic accident, if such
contract is effective at the time of the road traffic accident
and if the respective motor vehicle has a number plate of the
Republic of Latvia;
3) the name and address of the insurer or the representative
thereof, if the loss in the road traffic accident was caused by a
motor vehicle which has the number plate of a state of the
European Economic Area, or a motor vehicle which has the number
plate of a third country and a civil liability insurance policy
issued by foreign insurer.
(2) In order to exercise his or her lawful rights
substantiated in writing, a third person is eligible to request
and receive the following information regarding the owner or
legal user of a motor vehicle that caused the loss in a road
traffic accident - the given name, surname and address (for a
natural person), the name and address (for a legal person), if
such motor vehicle has a number plate of the Republic of
Latvia.
(3) A person involved in a road traffic accident is entitled
request the information referred to in Paragraphs one and two of
this Section within 10 years from the day of the occurrence of
the road traffic accident.
[27 September 2007]
Section 50.1 Providing
Information to the Owner of a Motor Vehicle
(1) Within 15 days after request of the owner or - in the
event of the lease of a motor vehicle - the lessee of the motor
vehicle, the Motor Insurers' Bureau shall provide the following
information regarding insurance contracts entered into in
previous periods regarding the compulsory insurance of his or her
civil liability and the applications submitted in connection with
insurable events:
1) insurance contracts entered into during the time period
which is not less than the last five years - the series and
number of the insurance contract, the type of the insurance
contract, the date on which the insurance contract was entered
into, the date and time of its entry into effect, the end date of
the validity thereof, the insurer with which the insurance
contract has been entered into;
2) according to the contracts referred to in Paragraph one,
Clause 1 of this Section the number of applications submitted in
connection with insurable events, indicating the date of a road
traffic accident, and whether the payment of the insurance
indemnity has or has not been made on the basis of such
applications.
(2) In the request addressed to the Motor Insurers' Bureau the
registration number plate of a motor vehicle and the data of the
owner of the motor vehicle - the given name, surname, personal
identity number or a person or the name and registration number
of a legal person shall be indicated.
(3) The Motor Insurers' Bureau has the right to charge a fee
for the preparation of the information referred to in Paragraph
one of this Section, the amount whereof does not exceed the
expenses for the preparation of the information.
[22 September 2011]
Section 51. Guarantee Fund
(1) Insurers shall create and the Motor Insurers' Bureau shall
administer the Guarantee Fund. The purpose of the Guarantee Fund
shall be to ensure the payment of insurance indemnity to cover
such losses that have been caused by:
1) a motor vehicle whose owner has not insured his or her
civil liability;
2) an unidentified motor vehicle (in such case, the provisions
of Section 35 of this Law shall be complied with);
3) a motor vehicle the fault of the driver whereof cannot be
proven in the case referred to in Section 31, Paragraph eight of
this Law;
4) a motor vehicle that has left the possession of the owner,
keeper or user not due to his or her fault, but due to illegal
activities of another person;
5) a motor vehicle in respect of the insurer of the civil
liability of which an insolvency procedure has been declared;
6) a motor vehicle registered in the Republic of Latvia the
civil liability insurer of the owner whereof is not possible to
determine;
7) a motor vehicle the insurer of the civil liability of the
owner whereof or a representative thereof has not sent written
information to the person claiming an insurance indemnity (a
resident of the Republic of Latvia who has brought action against
the foreign insurer due to an insurable event that has occurred
in a state of the European Economic Area) within three months
from the day of receipt of the written application referred to in
Section 36 of this Law;
8) a motor vehicle the insurer of the civil liability of the
owner whereof has not appointed a representative in the Republic
of Latvia, if losses were caused to a resident of the Republic of
Latvia in an insurable event that has occurred in a state of the
European Economic Area;
9) a motor vehicle registered in a state of the European
Economic Area or another state if an insurable event has occurred
in a state of the European Economic Area and in which losses have
been caused to a resident of the Republic of Latvia, but it is
not possible to identify the insurer of the civil liability of
the owner of the motor vehicle within two months after the
insurable event;
10) an unidentified vehicle in an insurable event that has
occurred in a state of the European Economic Area, in which
losses have been caused to a resident of the Republic of Latvia.
In such case the losses caused to property referred to in Section
25, Paragraph one, Clauses 1, 2, 3, 6 and 7 of this Law shall be
covered from the Guarantee Fund only if such compensation is
provided for in the laws and regulations of such state of the
European Economic Area in which the insurable event occurred.
(2) A compensation of losses shall be paid from the resources
of the Guarantee Fund in the cases provided for in international
agreements.
(3) The following shall be covered from the Guarantee
Fund:
1) expenses for the expert-examination or other activities
necessary to conform to other requirements, if in accordance with
this Law the Motor Insurers' Bureau takes a decision to pay
insurance indemnity, and expenses incurred due to recovering
insurance indemnities paid out by the Guarantee Fund by way of
subrogation;
2) the compensation laid down in this Law to an insurer for
reduction of the payment of insurance premium;
3) expenses incurred due to ensuring the safeguarding and
investing of the assets of the Guarantee Fund;
4) expenses incurred due to ensuring the transfer of the
insurance indemnity payment risk laid down in Paragraph one,
Clauses 1, 2, 3, 4, 5 and 6 of this Section.
(4) Losses to a foreigner or foreign legal person the laws and
regulations of the place of residence or the state of
registration of such person restricts the payment of compensation
for losses from the Guarantee Fund or a corresponding institution
in the relevant foreign state shall be compensated by applying
the same restrictions.
(5) The resources of the Guarantee Fund shall be used to pay
compensation for losses in one of the following cases:
1) if a dispute arises between an insurer and the Motor
Insurers' Bureau regarding the duty to pay an insurance
indemnity;
2) if a dispute arises between insurers regarding the duty to
pay an insurance indemnity when losses to a third person have
been caused by several persons, including the drivers of motor
vehicles, and within three months from submitting the application
regarding an insurable event it is impossible to determine the
degree of liability of the driver of each motor vehicle.
(51) The resources of the Guarantee Fund shall be
used to cover the indemnity paid in accordance with Section
38.1 of this Law by an authorised insurer in the cases
of direct loss regulation if upon its request the insurer that
has insured the civil liability of the owner of the motor vehicle
that has caused the losses has not compensated, in whole or in
part, for the claimed losses. In such case the insurer whose
actions have been recognised by the Motor Insurers' Bureau as
unjustified, shall reimburse the resources used from the
Guarantee Fund and pay for the use of the resources of the
Guarantee Fund 12 per cent per year from the amount of the
insurance indemnity paid from the Guarantee Fund from the day
when payment was performed up to the day when the insurer
reimbursed the insurance indemnity paid.
(6) The resources of the Guarantee Fund shall be comprised
of:
1) single payments made by insurers;
2) deductions from the premiums of the compulsory civil
liability insurance of the owners of motor vehicles;
3) additional payments made by insurers;
4) sums recovered by the Motor Insurers' Bureau through
subrogation actions regarding losses caused in a road traffic
accident;
5) donations and gifts;
6) revenue from the safeguarding and investing of the
resources of the Guarantee Fund.
(7) The holder of the Guarantee Fund shall be the Motor
Insurers' Bureau. The Motor Insurers' Bureau shall take decisions
regarding the utilisation of the resources of the Guarantee Fund
for the determined goals.
(8) The Council of the Guarantee Fund shall supervise the
utilisation of the resources of the Guarantee Fund. The Council
shall consist of an authorised representative of each insurer and
an authorised representative of the Board of the Motor Insurers'
Bureau.
(9) The Cabinet shall determine the procedures for the
creation, accumulation and administration of the Guarantee Fund.
The Financial and Capital Market Commission shall supervise the
compliance with the procedures for the creation, accumulation and
administration of the Guarantee Fund.
[27 September 2007; 23 October
2008; 22 September 2011]
Section 51.1 Safeguarding
and Investing of the Resources of the Guarantee Fund
(1) The Motor Insurers' Bureau shall keep the resources of the
Guarantee Fund in a credit institution registered in the Republic
of Latvia, another Member State of the European Union or a state
of the European Economic Area (hereinafter also - Member
State).
(2) The investments of the resources of the Guarantee Fund may
be made and managed, entering into a contract with the Motor
Insurers' Bureau regarding the management of the resources of the
Guarantee Fund:
1) a credit institution entitled to provide investment
services and investment ancillary services in the Republic of
Latvia;
2) an investment brokerage company entitled to provide
investment services in the Republic of Latvia;
3) an investment management company entitled to provide
management services (also individually managing the financial
instruments of investors) in the Republic of Latvia.
(3) The resources of the Guarantee Fund shall be invested in
accordance with the procedures laid down in this Section,
implementing such investment policy that ensures the performance
of payment obligations from the resources of the Guarantee Fund
and the liquidity of investments laid down in this Law.
(4) The resources of the Guarantee Fund may be invested
in:
1) the securities issued or guaranteed by the governments of
the Republic of Latvia, Member States of the European Union or
states of the European Economic Area and the local governments
thereof or in money market instruments;
2) term deposits with a credit institution that has received a
licence for the operation as a credit institution and which has
the right to provide financial services in a Member State;
3) investment funds or mutual investment undertakings
(hereinafter - investment funds) equivalent thereto if they have
been registered in a Member State or a member state of the
Organisation for Economic Co-operation and Development and the
investors thereof are entitled to alienate their investment
certificates without restrictions;
4) the securities issued or guaranteed by the member states of
the Organisation for Economic Co-operation and Development or the
money market instruments if the long-term credit rating of the
respective currency in a foreign currency meet the category of
investments according to the assessment of the international
rating agencies;
5) shares and other equity securities if they are included in
the official listing or a listing comparable thereto (hereinafter
- official listing) of a stock exchange (regulated market)
registered in a Member State or in the official listing of a
stock exchange registered in a member state of the Organisation
for Economic Co-operation and Development - a fully-fledged
member of the International Securities Exchange, or are traded in
other regulated and openly accessible financial instrument
markets;
6) debt securities of commercial companies if they are
included in the official listing of a stock exchange (regulated
market) registered in a Member State or in the official listing
of a stock exchange registered in a member state of the
Organisation for Economic Co-operation and Development - a
fully-fledged member of the International Securities Exchange, or
are traded in other regulated and openly accessible financial
instrument markets;
7) equity and debt securities of commercial companies if they
are not included in the official listing of a stock exchange
(regulated market), however, the prospectus of which provide for
the inclusion of the securities in the official listings of a
stock exchange registered in a member state of the Organisation
for Economic Co-operation and Development - a fully-fledged
member of the International Securities Exchange will be included
within one year from the day on which subscription thereto begins
in order to perform transactions with these securities;
8) immovable property registered in a Member State, if it has
a valuation which supports that the investment corresponds to the
value of the immovable property.
(5) The resources of the Guarantee Fund shall be invested in
conformity with the following restrictions:
1) investments in securities or money market instruments
issued or guaranteed by a single state or local government may
not exceed 25 per cent of the resources of the Guarantee
Fund;
2) investments in debt securities issued by a single
commercial company may not exceed 10 per cent of the resources of
the Guarantee Fund and 10 per cent of the total amount of debt
securities issued by a single issuer;
3) investments in equity securities issued by a single
commercial company may not exceed 10 per cent of the resources of
the Guarantee Fund and 10 per cent of the equity capital and the
shares carrying voting rights of the respective issuer;
4) deposits with a single credit institution may not exceed 20
per cent of the resources of the Guarantee Fund, but total
receivables against a single credit institution may not exceed 25
per cent of the resources of the Guarantee Fund, except
receivables that are due upon request against the holder of the
funds;
5) investments in a single investment fund may not exceed 10
per cent of the resources of the Guarantee Fund;
6) investments in a single undivided immovable property may
not exceed 10 per cent of the resources of the Guarantee Fund,
but total investments in immovable property may not exceed 25 per
cent of the resources of the Guarantee Fund;
7) investments in financial instruments issued by commercial
companies belonging to a single group of companies may not exceed
25 per cent of the resources of the Guarantee Fund;
8) the resources of the Guarantee Fund may not be used for a
borrowing and lending purposes, as well as for issuing
guarantees.
[27 September 2007]
Section 51.2 Providing
Information to the Credit Register
[22 September 2011]
Chapter V
Co-operation with State Administrative Institutions
Section 52. Obligations of the Road
Traffic Safety Directorate and the State Technical Supervision
Agency in the Field of Inspection and Control of Compulsory Civil
Liability Insurance of Motor Vehicle Owners
[27 September 2007]
(1) Prior to technical inspection of a motor vehicle the Road
Traffic Safety Directorate and the State Technical Supervision
Agency shall examine the validity of the compulsory civil
liability insurance contract of the owner of the relevant motor
vehicle.
(2) Technical inspection shall not be performed if the civil
liability insurance of the motor vehicle owner has not been
insured.
[27 September 2007]
Section 53. Rights and Obligations
of the State Police in the Field of Compulsory Civil Liability
Insurance of Motor Vehicle Owners
(1) An employee of the State Police is entitled to ascertain
the existence of the validity of an insurance contract, using the
data which are available in the information system of the
compulsory civil liability insurance of the owners of road motor
vehicles or on the basis of an insurance policy if such policy
has been issued.
(2) If it is determined in an inspection that the civil
liability of the owner of a motor vehicle has not been insured,
the State Police shall carry out the activities laid down in laws
and regulations, including take a decision to apply an
administrative punishment.
(3) Upon request of an insurer or the Motor Insurers' Bureau,
the State Police shall acquaint the insurer or the Motor
Insurers' Bureau with the information at the disposal thereof
regarding a road traffic accident free of charge and shall issue
a statement regarding the road traffic accident, as well as, if
necessary, issue copies of documents drawn up regarding the
relevant road traffic accident for a fee.
[27 September 2007; 22 September
2011]
Section 54. Co-operation with the
State Social Insurance Agency and Medical Treatment
Institutions
(1) Upon request of an insurer or the Motor Insurers' Bureau,
the State Social Insurance Agency shall provide information
regarding:
1) the amount of the State social insurance service and the
State social benefit calculated for the injured person for the
time period indicated in the application to enable the insurer
and the Motor Insurers' Bureau, in accordance with this Law, to
take a decision to pay an insurance indemnity;
2) the amount of the wage subject to insurance contributions
of the injured person for the time period indicated in the
application to enable the insurer and the Motor Insurers' Bureau,
in accordance with this Law, to take a decision to pay an
insurance indemnity;
3) the employer of such person with whom the driver of the
motor vehicle that caused the losses is in an employment or
service relationship and against whom the Motor Insurers' Bureau
is entitled to submit a subrogation claim if the employer has
calculated social insurance contributions during the time period
indicated in the application.
(2) In order to take a decision on an insurance indemnity, an
insurer or the Motor Insurers' Bureau, which is covering
expenses, is entitled to;
1) request in writing and receive from a medical treatment
institution information regarding the medical treatment of a
person who has suffered in a road traffic accident, his or her
diagnosis of disease and prognosis, which is related to the
particular road traffic accident (the data that the referred to
persons have acquired regarding the treatment, disease diagnosis
and prognosis shall be confidential);
2) use opinions of forensic medical expert-examination only
with a written permission of the performer of procedures;
3) send the injured person to a medical examination that is
related to the health problems caused in the particular road
traffic accident.
[22 September 2011]
Section 55. Obligations and Rights
of the State Border Guard in Inspecting the Compulsory Civil
Liability Insurance of Motor Vehicle Owners when Motor Vehicle
Crosses the State Border of the Republic of Latvia that is
simultaneously the External Border of the European Economic
Area
If it is determined in an inspection that the civil liability
of the owner of a motor vehicle registered in the Republic of
Latvia has not been insured, or the driver of such motor vehicle
that is normally based outside the territory of the European
Economic Area is unable to present a document that certifies the
validity of the contract of compulsory civil liability insurance
of the motor vehicle owner:
1) the entry of the motor vehicle into the Republic of Latvia
is permissible only after the civil liability of the owner of
such vehicle is insured;
2) when the motor vehicle is departing from the Republic of
Latvia the State Border Guard shall carry out the activities laid
down in laws and regulations, including take a decision to apply
an administrative punishment.
[22 September 2011]
Section 56. Obligations and Rights
of the State Border Guard in Performing Inspection of the
Compulsory Civil Liability Insurance of Motor Vehicle Owners in
the Territory of the Republic of Latvia
If it is identified in an inspection that the civil liability
of the owner of a motor vehicle registered in the Republic of
Latvia or such motor vehicle that is usually located outside the
territory of the Republic of Latvia, has not been insured, the
State Border Guard shall carry out the activities laid down in
laws and regulations, including take a decision to apply an
administrative punishment.
[22 September 2011]
Section 57. Prevention of Road
Traffic Accidents
[27 September 2007]
(1) Every quarter insurers shall transfer two per cent of the
amount of the signed insurance premiums indicated in an insurance
contract at the time of entering into it, deducting the part of
the premium refunded to the policy holder in the cases laid down
in Section 10 of this Law into the account of the Motor Insurers'
Bureau for the performance of measures to prevent road traffic
accidents. In the cases referred to in Section 14, Paragraphs two
and three of this Law a signed insurance premium is a premium
that is calculated at the time of entering into an insurance
contract, deducting from it the reduction of the insurance
premium payment which is compensated to the insurer by the Motor
Insurers' Bureau from the Guarantee Fund.
(2) A consultative body - the Road Traffic Safety Council -
established by the Cabinet shall decide on the utilisation of the
money, the purpose of operation of which shall be to promote the
development and implementation of a unified State policy in the
field of road traffic safety in order to increase the overall
level of road traffic safety within the State, taking into
account that not less than half of the resources referred to in
Paragraph one of this Section is utilised by institutions
subordinated to the Ministry of the Interior.
[27 September 2007]
Chapter VI
Information System of Compulsory Civil Liability Insurance of
Owners of Motor Vehicles
Section 58. Structure of the
Information System of Compulsory Civil Liability Insurance of
Owners of Motor Vehicles
(1) The information systems and registers of insurers, the
Motor Insurers' Bureau, the Road Traffic Safety Directorate, the
State Technical Supervision Agency, the Ministry of the Interior
and other institutions shall form the information system of the
compulsory civil liability insurance of the owners of motor
vehicles - an aggregate of structured information technologies
and databases (hereinafter - information system).
(2) The data which are necessary for ensuring the functioning
of the compulsory civil liability insurance of the owners of
motor vehicles shall be aggregated and processed in the
information system.
(3) The Cabinet shall determine the amount the types of data
necessary for the operation of the information system, as well as
the procedures for the exchange and utilisation of the data. The
obligation to provide the referred to information shall be
included in agreements that the institutions referred to in
Paragraph one of this Section mutually enter into.
[27 September 2007]
Section 59. Rights and Obligations
of an Insurer and the Motor Vehicles' Bureau in Processing Data
in the Information System
[27 September 2007]
(1) Prior to entering into an insurance contract, an insurer
has the right to receive from the information system the
necessary data for entering into the insurance contract and
determining the amount of the insurance premium, including the
data on the number of insurance indemnities paid during the term
of validity of the previous insurance contracts, the number of
cases identified in accordance with the procedures laid down in
laws and regulations, when administrative violations which
attract the registration of the violations carrying points and
criminal offences against the safety of traffic have been
committed while driving a motor vehicle.
(2) An insurer, upon entering into an agreement, has a duty to
transfer the data regarding the respective contract to the
information system.
(3) An insurer or the Motor Insurers' Bureau has the right to
receive from the information system the necessary data for
administering the insurable event, and the duty to transfer to
the information system data regarding:
1) reported insurable events;
2) the decision taken on the insurance indemnity.
(4) The Cabinet shall determine the amount of and the
procedures for the provision of the data referred to in this
Section.
(5) In obtaining and processing the data of natural persons,
an insurer or the Motor Insurers' Bureau shall conform to the
requirements laid down in the Personal Data Protection Law.
(6) After transferring the data to the information system any
adjustments thereto may only be made by the insurer who has
transferred them, or the Motor Insurers' Bureau.
[27 September 2007]
Transitional
Provisions
1. With the coming into force of this Law, the Law On
Compulsory Civil Liability Insurance of Owners of Motor Vehicles
(Latvijas Republikas Saeimas un Ministru Kabineta
Ziņotājs, 1997, No. 8, 2000, No. 3, No. 23) is repealed.
2. A complex and a group contract that has been entered into
before the coming into force of this Law shall be effective until
the expiration of the time period indicated in such contract.
3. The Motor Insurers' Bureau shall cover to an insurer a
portion of a paid insurance indemnity from the Guarantee Fund
that exceeds the insurer liability limit effective at the time an
insurance policy was issued, if the insurance policy was issued
and entered into effect before the coming into force of this Law
or will enter into effect within a period of one month after the
coming into force of this Law.
4. Section 19, Paragraph two of this Law shall come into force
on 1 May 2005.
5. Section 24 of this Law shall come into force on 1 January
2005.
6. Section 48 of this Law shall come into force with the day
when the property, obligations, as well as the security of
obligations of the Traffic Bureau are transferred to the Motor
Insurers' Bureau.
7. Up to the coming into force of the relevant Cabinet
Regulations, the following Cabinet Regulations shall be in force,
insofar as they are not in conflict with this Law:
1) Cabinet Regulation No. 179 of 13 May 1997, By-law of the
Fund for Protection of Interests of Insurance Takers of
Compulsory Civil Liability Insurance of Motor Vehicle Owners;
2) Cabinet Regulation No. 180 of 13 May 1997, By-law of the
Guarantee (Reserve) Fund of Compulsory Civil Liability Insurance
of Motor Vehicle Owners;
3) Cabinet Regulation No. 252 of 15 July 1997, Regulations
regarding Technical Expert-Examination of Motor Transport in
Compulsory Civil Liability Insurance of Motor Vehicle Owners;
4) Cabinet Regulation No. 308 of 26 August 1997, Regulations
regarding Procedures for Calculation of Insurance Indemnity for
Dependants Due to the Death of the Person Injured in Road Traffic
Accident;
5) Cabinet Regulation No. 31 of 2 February 1999, Regulations
regarding Co-operation in the Field of Information Exchange
regarding Compulsory Civil Liability Insurance of Motor Vehicle
Owners;
6) Cabinet Regulation No. 209 of 2 June 1998, Procedures by
which Compensation of Losses is Paid to Sickness Funds and the
Central Fund of State Compulsory Health Insurance Due to Medical
Treatment of Persons Injured in Road traffic Accidents.
8. The resources accumulated in the Fund for the Protection of
the Interests of Insurance Takers of Compulsory Civil Liability
Insurance of Motor Vehicle Owners shall be included in the
Guarantee Fund by 1 January 2005 in accordance with the
procedures laid down in the Cabinet.
9. Until the day when the property, obligations, as well as
the security of the obligations, of the Traffic Bureau is
transferred to the Motor Insurers' Bureau, Cabinet Regulation No.
182 of 13 May 1997, Traffic Bureau By-law, shall be in force,
insofar as this Regulation is not in conflict with this Law.
10. The Motor Insurers' Bureau shall be the successor of the
property, obligations, as well as the security of the
obligations, of the Traffic Bureau from the day when the Motor
Insurers' Bureau is registered in accordance with the procedures
laid down in laws and regulations.
11. The Cabinet shall determine the procedures by which the
Ministry of Finance, in accordance with the requirements of this
Law, shall transfer the property, obligations, as well as the
security of the obligations, of the Traffic Bureau to the Motor
Insurers' Bureau by 1 September 2004. Until the day of
acquisition of the property, obligations, as well as the security
of the obligations, of the Traffic Bureau, the Traffic Bureau
shall perform the functions of the Motor Insurers' Bureau
determined in this Law.
12. Resources of the Guarantee Fund shall be stored in the
Treasury until 31 December 2005 are kept in the State
account.
13. Amendments to Section 15, Paragraph one, Clauses 1 and 2
of this Law regarding the new wording of these Clauses shall come
into force on 1 June 2012. Until 31 May 2012, upon the occurrence
of an insurable event, an insurer or the Motor Vehicles' Bureau
shall cover the losses without exceeding the determined liability
limit of the insurer:
1) from 1 November 2007 until 30 November 2009:
a) for indemnification of personal losses - up to 350 000
euros equivalent in lats in accordance with the currency exchange
rate set by the Bank of Latvia on the date on which the decision
to pay the insurance indemnity to each injured person is taken,
but for a road traffic accident - up to 2 500 000 euros
equivalent in lats in accordance with the currency exchange rate
set by the Bank of Latvia on the date on which the decision to
pay the insurance indemnity is taken,
b) for indemnification of property loss - up to 100 000 euros
equivalent in lats in accordance with the currency exchange rate
set by the Bank of Latvia on the date on which the decision to
pay the insurance indemnity is taken, regardless of the number of
third persons;
2) from 1 December 2009 until 31 May 2012:
a) for indemnification of personal losses - up to 2 500 000
euros equivalent in lats in accordance with the currency exchange
rate set by the Bank of Latvia on the date when the decision to
pay the insurance indemnity is taken, regardless of the number of
injured persons;
b) for indemnification of property loss - up to 500 000 euros
equivalent in lats in accordance with the currency exchange rate
set by the Bank of Latvia on the date on which the decision to
pay the insurance indemnity is taken, regardless of the number of
third persons.
[27 September 2007]
14. Sections 23.1 and 51.2 of this Law
shall come into force on 1 January 2008 and shall apply to
insurable events occurring after 31 December 2007.
[27 September 2007]
15. Amendments to Section 44, Paragraph two, Clause 6 of this
Law regarding the provision of information in accordance with
Section 51.2 of this Law shall come into force on 1
January 2008.
[27 September 2007]
16. Section 4.1 of this Law, amendments regarding
the new wording of Section 8, amendments to Section 16, Paragraph
one, Section 17, Paragraph six and Section 53, Paragraph one of
this Law shall come into force on 1 January 2008.
[27 September 2007]
17. Until legal regulation governing the status, foundation
and operational basis of agricultural farms and fish farms is
ensured in accordance with the Law On Agricultural Farms and Fish
Farms, the reduction of the insurance premium payment referred to
in Section 14, Paragraph three of this Law shall also apply to
the owner of an agricultural farm or fish farm as long as the
agricultural farm or fish farm is not registered with the
commercial register.
[23 October 2008]
Informative
Reference to the European Union Directives
[27 September
2007; 22 September 2011]
This Law contains legal norms arising from:
1) Council Directive 72/166/EEC of 24 April 1972 on the
approximation of the laws of Member States relating to insurance
against civil liability in respect of the use of motor vehicles,
and to the enforcement of the obligation to insure against such
liability;
2) Second Council Directive 84/5/EEC of 30 December 1983 on
the approximation of the laws of the Member States relating to
insurance against civil liability in respect of the use of motor
vehicles;
3) Third Council Directive 90/232/EEC of 14 May 1990 on the
approximation of the laws of the Member States relating to
insurance against civil liability in respect of the use of motor
vehicles;
4) Council Directive 92/49/EEC of 18 June 1992 on the
coordination of laws, regulations and administrative provisions
relating to direct insurance other than life assurance and
amending Directives 73/239/EEC and 88/357/EEC (third non-life
insurance Directive);
5) Directive 2000/26/EC of the European Parliament and of the
Council of 16 May 2000 on the approximation of the laws of the
Member States relating to insurance against civil liability in
respect of the use of motor vehicles and amending Council
Directives 73/239/EEC and 88/357/EEC (Fourth motor insurance
Directive);
6) Directive 2005/14/EC of the European Parliament and of the
Council of 11 May 2005 amending Council Directives 72/166/EEC,
84/5/EEC, 88/357/EEC and 90/232/EEC and Directive 2000/26/EC of
the European Parliament and of the Council relating to insurance
against civil liability in respect of the use of motor
vehicles;
7) Directive 2009/103/EC of the European Parliament and of the
Council of 16 September 2009 relating to insurance against civil
liability in respect of the use of motor vehicles, and the
enforcement of the obligation to insure against such
liability.
This Law shall come into force on 1 May 2004.
This Law has been adopted by the Saeima on 7 April
2004.
President V. Vīķe-Freiberga
Rīga, 27 April 2004
1 The Parliament of the Republic of
Latvia
Translation © 2014 Valsts valodas centrs (State
Language Centre)