Zelensky signed a law on 50% discount on “car insurance”: who benefits from the privilege

5 June 18:30
ANALYSIS FROM

President of Ukraine Volodymyr Zelenskyy has signed Law No. 4369-IX, which provides for a 50% discount on compulsory motor third-party liability insurance (the so-called “motor third-party liability insurance”) for certain categories of citizens. This is stated on the official website of the Verkhovna Rada of Ukraine.

The benefit applies to:

  • war veterans;
  • persons who have been disabled as a result of hostilities.

When and how the discount will work

According to the Verkhovna Rada, a 50% reduction in the cost of the policy will come into effect on January 1, 2025. The benefit will be valid for the entire period of martial law and for one year after its termination.

For persons with war-related disabilities, the discount will be permanent, subject to several requirements

  • the car engine capacity does not exceed 2500 cm³, or the electric motor has a capacity of no more than 100 kW;
  • the car is driven only by the owner or another person who is also entitled to this benefit;
  • the vehicle is not used for commercial transportation.

The report states that the state budget will cover the cost of insurance. The procedure for paying compensation will be developed by the Cabinet of Ministers.

Compensation for “auto-citizen” for veterans

On April 17, the Verkhovna Rada supported in the second reading and in general the draft law No. 12295-d, which provides for partial compensation of car insurance costs for war veterans and persons with disabilities sustained as a result of hostilities. This was reported by MP Yaroslav Zheleznyak on his Telegram channel.

The draft law stipulates that persons with war-related disabilities will receive a 50% discount on compulsory motor third-party liability insurance on a permanent basis. The benefit applies to:

  • cars with an engine capacity of up to 2500 cm³;
  • electric vehicles with a capacity of up to 100 kW inclusive.

The reimbursement of the cost of motor third party liability insurance for veterans and other privileged categories will be introduced from 1 January 2025.

It will be valid:

  • throughout the entire period of martial law;
  • for another year after its termination.

Compensation for expenses will be covered by the State Budget of Ukraine. The Cabinet of Ministers will be authorized to determine the exact procedure, terms and amount of compensation.

This allows the government to flexibly adapt the compensation mechanism to the needs of different categories of citizens,” Zheleznyak explained.

“There is also a special mechanism for the transition period. If a veteran or a person with a disability does not have time to take out a policy in the first six months after the law’s launch, then:

“Damages caused by such drivers in road accidents from January 1 to June 30, 2025, will be covered by the centralized insurance reserve fund of the MTIBU,” the MP said.

The bill has already been signed by the President and will officially come into force in the new year. It is expected that the implementation of this initiative will facilitate access to insurance services for veterans and improve their social protection.

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Darina Glushchenko
Автор

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