What KASKO covers
KASKO is voluntary insurance of the car itself. Unlike OSAGO (compulsory motor third-party liability insurance), which pays the people you harm, KASKO pays to repair or replace your own car — whoever was at fault, and even if the culprit is never found.
A policy usually includes two main risks:
- Damage — from road accidents, falling trees and objects, natural disasters, fire, unlawful acts of third parties (such as vandalism).
- Theft — the car is stolen or driven away.
A policy with both risks is called full KASKO. Partial KASKO covers only damage, or only theft and total loss. Many insurers also sell simplified programmes: for example, cover only for an accident with another insured party, or with a deductible on the first claim. Common add-ons are GAP (the difference between the payout and the price of a new car or the car loan balance), towing, an accident commissioner, and accident cover for the driver and passengers.
Who needs KASKO
The law does not require KASKO: it is a contract under Chapter 48 of the Russian Civil Code and the insurer's own policy wording. But it is almost always required when you buy a car on credit — the bank holding the car as collateral wants to be sure it can be restored. Without a loan, KASKO is most useful for owners of new and expensive cars, people who park on the street in big cities, and inexperienced drivers.
Laws and your rights
The relationship is governed by the Civil Code, Russian Federation Law No. 4015-1 on the organisation of insurance business, and the policy wording on which the contract is based. The wording is part of the contract — read it before you pay.
Under Bank of Russia Directive No. 3854-U, an individual can cancel KASKO within 14 calendar days of signing (the cooling-off period) if no insured event has occurred. If cover has not yet started, the premium is refunded in full; if it has, the part for the days already elapsed is withheld. Disputes with an insurer of up to RUB 500,000 go first to the Financial Ombudsman.
What drives the price
- make, model, year and market value of the car — the sum insured depends on it;
- theft and repair statistics for the model;
- age and experience of the drivers, their accident history, how many are allowed to drive;
- region of use;
- the set of risks and add-ons;
- the deductible — the higher it is, the cheaper the policy;
- anti-theft systems and parking conditions;
- form of settlement: repair at an official dealer is usually dearer than at a repair shop chosen by the insurer.
You can get an estimate with the KASKO calculator; the insurer gives an exact offer after checking the car and drivers.
Deductible and sum insured
A deductible is the part of the loss you pay yourself. An unconditional deductible is subtracted from every payout; a conditional one means a loss below the deductible is not paid, while a larger loss is paid in full. A deductible on minor damage lowers the price the most.
An aggregate sum insured is reduced by each payout: after a major repair, less cover is left for later claims. A non-aggregate sum is restored after each claim. Another key parameter is whether the sum is depreciating or fixed: a depreciating sum goes down during the year in line with the car's value.
How to choose an insurer
- Compare like with like: risks, deductible, type of sum insured, form of settlement.
- Ask which dealers and repair shops the company works with in your city.
- Check whether police certificates are needed for damage to glass, lights and body panels — many insurers pay a limited amount without them.
- See how claims are filed: at an office, online, through a mobile accident commissioner.
Compare companies in the directory of insurers, or send a request and Polis Re specialists will help you find KASKO cover.
How to claim
- Record the incident: for an accident, use the europrotocol or call traffic police; for vandalism, theft or fire, contact the police or the Emergencies Ministry.
- Notify the insurer within the time set in the policy wording — usually a few days.
- File a claim with documents and present the car for inspection.
- Receive a repair referral or a payout within the time set by the wording.
What to do in different situations is explained in the Insurance claim section.
Common mistakes
- Not reading the exclusions. Typical ones: driving under the influence, a driver not on the list, keys and documents left in the car, use as a taxi without the insurer's consent.
- Missing the notification deadline. The insurer may refuse if it could not establish the circumstances in time.
- Starting repairs before the insurer's inspection.
- Choosing the cheapest policy without noticing a high deductible or a payout only for total loss.
- Renewing late: after a gap in cover, a new insurer may require a fresh inspection of the car.
