Liability insurance
1. General civil liability insurance
The object of insurance is the property interest of the Insured (Insured person) related to its obligation provided in accordance with the laws of the Kyrgyz Republic to compensate for harm to life, health and / or third party’s property caused to the Insured while carrying out its activities.
Legal entity may insure its liability while carrying out the following activities:
- Maintenance and operation of buildings, industrial areas and land plots;
- Ownership of the premises;
- Economic activity;
- Organization and holding of public events (marches, rallies, etc.);
- Carrying out of sports and entertainment, cultural and educational events (rallies, sprints, contests, performances, concerts, exhibitions, presentations);
- The organization of fireworks, illuminations;
-Other activities (not including professional activities).
Individual person may insure his liability for causing injury to others at production (to colleagues, representatives of administration board, employers, etc.) which is not associated with the performance of their employment (job) responsibilities and in everyday life while the following:
- Maintenance and operation of living space, land plot;
- Production of construction or repair works;
- Maintenance of animals (dogs, livestock, exotic animals);
- Responsibilities of guardians for their wards;
- Other types of liability.
Insured event shall be recognized as infliction of harm to life, health and / or property of individuals or property of legal entities occurred while carrying out activities by the Insured (Insured person) , which resulted in the emergence of obligations of the Insured (insured person) based on the legislation in force in the territory of insurance, for compensation of the harm.
By harming the lives and health of the injured person should be understood the following:
- Death, injury of the injured person;
-Permanent or temporary loss of ability to work by the injured person.
The sum insured under the insurance contract shall be determined by agreement between the parties and is limiting amount of insurance compensation, which may be paid by all insured events occurred within the insurance period.
Rates of insurance are set individually for each Insured person and shall be set at between 0.6% and 1.5%
2. Insurance of civil-legal liability of vehicle owners for injury to life, health or property of third parties
Object of Insurance: Insured property interests associated with the arising under the legislation of the KR obligations to pay damages as a result of causing harm by the vehicle to lives, health and property of third parties.
Insured events:
• damage to or loss of vehicles of third parties;
• damage to or destruction of property located in the vehicles of third parties;
• damage to or destruction of any other real or personal property in a collision with moving vehicles;
• death or disability (temporary or permanent) of third parties.
The insurance sum under the insurance contract shall be determined by the agreement between the parties and is limiting the amount of insurance compensation, which may be paid by all insured events, occurred within the insurance period.
The basic rates are set from 0.70% to 1.5%.
3. Civil-legal liability insurance for damage to life, health or property of third parties during the construction and assembly works
The object of insurance is the property interests of the Insured relating to his obligation in accordance with the laws of the KR to compensate for harm to life, health and / or third party’s property caused during construction works.
Insurance risks: the insurer is liable if an accident associated with the conduct by the Insured of construction and assembly works has entailed:
- Death, disability, injury of injured third person;
- The destruction or damage to property owned by third parties;
- Costs associated with the court proceedings on the alleged insurance cases.
- The necessary and reasonable expenses on saving of lives and property of persons to whom an insured event caused harm, or to reduce the damage caused by the insured event.
The insurance sum under the insurance contract shall be determined by agreement between the parties and is limiting the amount of insurance compensation, which may be paid by all insured events, occurred within the insurance period.
The basic rates are set from 0.7% to 1.8%
4. Professional liability insurance for injury to life, health or property of third parties while performance of duties
The object of insurance shall not contradict to the legislation of the Kyrgyz Republic and shall be property interests associated with reimbursement by the Insured (Insured person) caused by him personal injury or property interests of individuals or damage to property interests of legal entities, if:
- Insured person's liability to third parties is defined by the relevant legislation;
- Damage to the person and / or property was caused as a direct connection to the professional activities of the Insured (the Insured person), which is specified in the insurance contract;
- Insurance event that caused the damage has occurred within the territory and at the time specified in the contract.
Types of Professional Responsibility:
Notaries, judges, lawyers and attorneys, auditors, private physicians and medical institutions, realtors and real estate companies, architects, designers, architects;
security agencies, manufacturers and sellers of goods and performers of works (services), construction workers, organizations involved in the assessment activity, the organizers of entertainment, recreational, cultural and social activities, other types of business activities.
Insured event shall be understood as justified claim or entered into force court decision on compensation of direct damage to the property interests of third parties arising in the course of professional activities of the Insured (Insured person) as a result of:
- An unintended error in the production of actions provided by the job instructions;
- Unintentional loss and damage to property (documents, materials, etc.) at the time of conduct of professional activities by the Insured (Insured person);
- Performance of other actions related to the professional activities of the Insured (Insured person), direct damage which may be recovered through the court of law and which are specifically stated in the insurance contract.
Total limit of liability shall not be less than the statutory amount of compensation to third parties, and in the absence of legislation regulating the amount of compensation shall be determined by the agreement between the parties;
The basic rates are set from 0.85% to 3.0%;
1. Liability insurance of the carrier (forwarding agent)
The object of the insurance of the carrier's liability is the property interest of the Insured, associated with its obligation in accordance established by the civil legislation of the KR, to pay damages in connection with:
a) loss (destruction) and / or damage to cargo (luggage), belonged to cargo owners or passengers;
b) causing damage to life and health of passengers;
The insured event shall include the following:
a) an accident occurred with a vehicle (accident, crash, collision, plane crash, etc.);
b) the unlawful acts of third parties (theft, robbery, etc.).
Cargo insurance shall include the following reimbursement:
a) loss caused by damage or total loss of all or part of the cargo that had occurred as a result of fire, explosion, lightning, storm, tornado, other natural disasters, accidents, breakdown of vehicle equipment
b) losses incurred as a result of deliberate, intelligent and extraordinary expenses and donations aimed to save the vehicle and herein transported goods away from their common danger, or fire-fighting;
c) all necessary and reasonable expenses incurred while saving the cargo, as well as on reducing the loss and ascertaining its size, if the loss is indemnified under the terms of insurance;
d) damages caused by loss of a vehicle with a cargo without a trace;
e) damages resulting from accidents during the loading, stowage or unloading of cargo and refueling vehicle with fuel;
e) loss from damage to cargo caused by crash or collision of vehicles or with any stationary object, fire or explosion on the vehicle.
Under liability insurance contract the Insurer shall provide insurance protection in case of submission to the Insured person claims by third parties, declared in accordance with and under the rules of the civil legislation of the KR for compensation of harm caused to them by the insured event occurred within the life of the contract which has entailed:
a) injury, loss disability by the victim or his death (damage to life and health);
b) loss (death) or damage of property (including animals) belonging to third parties (actual damages);
c) additional expenses related to ascertain the circumstances of the insured event, to save life and property of persons who suffered damage due to occurrence of an insured event or to reduce the damage caused by the insured event;
d) legal expenses of the Insured for compensation of harm caused to person or property of third parties (if the harm was caused as a result of occurrence of an insured event, and if these expenses together with the amount of indemnity do not exceed the Insurer’s limit of liability prescribed in the agreement).
The responsibility of the Insurer shall occur only if there is a cause-and-effect link between the occurred event and an injury to life, health or property of third parties.
The insurance sum shall be the sum determined by the insurance contract which serves as the basis for determination of the amount of insurance premiums and insurance payments.
The insurance sum under liability insurance contract is determined by the agreement between the Insurer and the Insured.
In determining the insurance sum the parties shall be guided by the amount of annual fee payments for transportation, based on statistical data of the Insured for the previous 3 - 5 years of work as a carrier.
Insurance rates are set from 0.85% to 1.5%.
Final premium rates will depend on:
• Type of transport in use
• Insured losses statistics
• The geographical areas of transportation
• Range of cargo
• The amount of flights
• The composition and technical condition of vehicles.
