1.5 million policies and 4.5 billion hryvnias: MTPL is becoming more expensive, demand is falling
During the first three months of 2025, Ukrainian car owners spent significantly more on mandatory civil liability insurance (CLP) than in the previous year. According to the information of the Motor Transport Insurance Bureau of Ukraine (MTSBU), referred to by “Ukravtoprom”, the volume of insurance payments in this segment exceeded 4.5 billion hryvnias. Compared to the same period in 2024, this amount has more than doubled — by 114.81%.
Despite the increase in income, the total number of signed contracts, on the contrary, decreased. In January-March 2025, more than 1.5 million contracts were executed, which is 8.83% less than in the first three months of 2024. About this informs Ukravtoprom with reference to MTSU.
Such multidirectional dynamics do not indicate a decrease in demand, but a change in price policy in the industry. Why did the average amount of the insurance premium (that is, the amount that the car owner pays for the OSCPV policy) increase to 2,975.4 hryvnias, which is almost twice as much as in the first quarter of last year (an increase of 135.61%). The main reason for this is the transition of the market to a free pricing model, which assumes that insurance companies independently form tariffs, taking into account their own strategy, costs, risks and customer base. This model replaced the tightly regulated tariffs that were in effect in previous years.
Three companies demonstrated the largest volumes of autocivilka sales for the first quarter of 2025:
– SC “Oranta” — concluded 267,746 contracts;
– SC “TAS” — 260,009 contracts;
– SC “Knyazha Vienna Insurance Group” — 194,755 contracts.
These companies retain the leadership in the OSCPV market in terms of the number of concluded contracts, confirming their competitiveness even in the conditions of the changed system of tariff formation.
It is expected that in the future, the introduction of market regulation mechanisms, the development of electronic insurance and automated settlement of losses will affect both the structure of tariffs and consumer behavior, stimulating greater personalization of insurance services and the growth of competition between insurers.
