Motor Third Party Liability (MTPL)

The insurance covers the third party liability of the insured owners and drivers of motor vehicles for third-party personal injuries, death or material damage which have been caused by them with the insured vehicle and for which they are liable under the law, according to Bulgarian legislation or the legislation of the country where the damage occurred.

The MTPL insurance validity period is one year. The conclusion of insurance for a shorter period, but not less than 30 (thirty) days, is allowed only in the following cases:

• when taking out insurance for vehicles that have a temporary or transit registration according to the current Bulgarian legislation;
• when concluding border insurance;
• when concluding insurance by companies engaged in the import and sale of vehicles;
• when taking out insurance of a slow-moving road vehicle;
• when taking out insurance on self-propelled machinery;
• when taking out insurance of motor vehicles categories L1 - L5;
• when taking out insurance of camping trailers or camping cars.
  

The insurance cover takes effect after the payment of the insurance premium or the first premium installment for the policy in case of deferred payment of the premium. The cover is terminated upon the contract’s expiration or in the case of a delay in the payment of a due premium installment when the delay exceeds 15 (fifteen) days after the respective due date.

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The insurance covers the liability of the insured for damage caused in the territory of:

• the Republic of Bulgaria according to the Bulgarian law;
• EU member states, according the law of the respective state.
• A non-EU state, when the damage is caused by persons from an EU state while traveling between two EU states and provided that there is no national bureau responsible for this territory; in such cases liability is covered according to the law of the state where the insured vehicle of the driver at fault is habitually located.
• A non-EU state whose national bureau of insurers has signed the Multilateral Agreement, in accordance with the law of this state.
• A non-EU state whose national bureau of insurers is a member of the Green Card system.

According to the Insurance Code, together with the MTPL insurance policy , are issued a Green Card certificate without an additional fee or other payment by the user of insurance services.

According to the Insurance Code, (Article 492), ) in force from 07.12.2018, for each motor vehicle which is located on the territory of the Republic of Bulgaria and which has not been banned from movement, a compulsory third party liability insurance must be concluded for the following minimum insurance amount (limit of liability):

• for non-material or material damages as a consequence of bodily injury or death - BGN 10,420,000 per each event, regardless of the number of injured persons;
• for damages to property (items) - BGN 2,100,000 per each event, regardless of the number of damaged persons.

The price of the insurance is according to the current tariff conditions of the Insurance Companies.

The main factors influencing the determination of the cost of insurance are:

• The type and technical characteristics of the motor vehicle — engine displacement, engine power, total weight or carrying capacity, number of seats, year of manufacture, type of fuel.
• Age and driving experience of the owner/usual driver.
• Registration address and region of management.

According to the current tariffs, certain Insurers apply additional conditions when determining the price of insurance.

The terms of the MTPL insurance contract, as well as the rights and obligations of the parties to the contract, are legislatively defined in the Insurance Code and other regulatory documents.

Clients may pay a one-off amount on conclusion of the insurance contact or defer the payment in installments. The insurance premium may be paid.