MTPL, which means "Motor Third Party Liability Insurance", is a mandatory form of insurance for all motor vehicles in Latvia and throughout the European Economic Area. Its purpose is to cover losses that may occur to third parties as a result of a car accident or other accidents.
MTPL Insurance in Latvia
MTPL is important to all drivers as it provides financial protection for both the victim and the vehicle owner. This insurance is not only required to cover personal liability in the event of a road traffic accident but is also a mandatory requirement to register and operate the vehicle.
The insurance policy covers both personal damages (such as injuries) and material damages (such as damage to vehicles or property) caused by the vehicle driven by the insured person. However, it should be noted that MTPL insurance does not apply to the insurer's own vehicle or personal damage.
From October 1, 2021, changes were introduced in the MTPL Law in Latvia, which establishes a new procedure for compensation for damages. For example, compensation amounts for victims were increased, which are now in line with the minimum requirements of the European Union. These changes provide that compensation for injuries or death can reach up to 5,000,000 euros per road traffic accident, while for material damages - up to 1,000,000 euros.
Generally, MTPL policies are valid for one year after which they need to be renewed. Prices vary depending on many factors, such as vehicle type, driving experience, chosen insurance company and additional risks. Therefore, with OnGo.lv it is possible to compare the offers of different insurers in order to find the most suitable insurance policy.
Before purchasing an MTPL policy, it is also important to evaluate the vehicle itself and personal needs. Some insurers offer additional coverage or discount systems, which can be useful, for example, if you mainly drive outside cities or travel abroad.
It is recommended not to avoid safety measures, such as civil liability of land transport owners, or CASCO insurance, which offers wider coverage, including compensation for damage to the vehicle itself, regardless of who was at fault in the road traffic accident.
Remember that MTPL insurance is mandatory for all car owners and not having it can lead to fines from the Road Safety Directorate as well as potential legal problems in the event of an accident. Therefore, always check the validity period of the insurance policy and ensure that your vehicle is insured according to Latvian legislation.
