The insurance market is based on the premium - insured event – indemnity system. The reason behind the insurance business is to ensure financial security of individuals in unpleasant situations. Should such unpleasant situation or an insured event occur the insured expects certain compensation or indemnification.
An insured event (Insured Loss) means an event whose risk is insured and which is described in the insurance contract or legislation; upon the occurrence of such event the Insurer is obligated to pay and indemnity to the Insured or another person as may be specified in the Insurance Contract or in accordance with the applicable legislation.
Indemnities are paid in the manner determined by the insurance product and the Insurance Contract unless otherwise provided by the legislation of Ukraine. The indemnity cannot exceed the amount of direct damage caused to the Insured and/or other person provided for in the Insurance Contract. Indirect or consequential losses are considered insured if stipulated so in the Insurance Contract. If the insured amount is a certain share of the actual value of the insured object, the insurance payment is paid in the same share of the actual value of the insured object, unless otherwise provided by the terms of the insurance contract.
Usually, insurance contracts stipulate the size of the deductible.
Deductible is a part of losses that is not compensated by the insurer in accordance with the insurance contract and/or legislation.
Article 91 of the Law of Ukraine "On Insurance" provides for the following duties of the Insured in the event of an Insured Event:
Pay the insurance premium in accordance with the procedure and terms established by the Insurance Contract;
Over the entire term of the insurance contract, notify the Insurer of any changes that may affect the assessment of the insurance risk (the probability and likelihood of an insured event and the amount of possible losses), and/or other circumstances that may affect the amount of the indemnity under an Insurance Contract;
Inform the Insurer about the occurrence of an insured event in the manner and within the time limits specified by the Insurance Contract;
Take measures to prevent and reduce the consequences of an insured event;
Take measures to provide the Insurer with the opportunity to use its right of lodging a claim against the person guilty of the damage by providing the Insurer with all the necessary documents; report the information the Insurer may need to exercise the right of claim against the guilty persons who caused the insured event.
The Insurance Contract or the law may also stipulate other obligations of the Insured.
The Insured’s failure to timely notify about the occurrence of an insured event without valid reasons is one of the reasons for the Insurer to deny an insurance indemnity, the other reasons being: interfering with the Insurer’s efforts to determine the circumstances, nature and amount of losses. (Clause 5 of Article 26 of the Law of Ukraine "On Insurance").
Should an insured event occur, you should immediately notify JSC "USIC" about the event to get your actions approved. You can reach us by the following phone number (except for weekends and holidays): (044) 453-17-16
JSC USIC is a company that always fulfills its obligations to the clients and paying out insurance indemnities.