Unpaid motor insurance claims under the Green Card system

Mihail Tomov, Lawyer | Varna

At the time of writing, several Bulgarian insurers had come under scrutiny for refusing to pay claims under the Green Card system.

The National Bureau of Bulgarian Motor Insurers was the first to raise the issue. The Financial Supervision Commission is also concerned with the matter.

Under the Green Card system, a vehicle with compulsory third-party liability insurance in one country can travel in the other participating countries. If damage or a road accident occurs, the policy provides cover. The system relies on guarantees from both the insurer and the local bureau, which pays claims if the insurer refuses or is unable to do so.
If an insurer refuses to pay a claim, its correspondent may submit a claim to the local guaranteeing bureau or bring court proceedings.

If you have been served with a claim seeking to have an insurance policy declared invalid, or if you have a claim against an insurer, it is advisable to consult an insurance lawyer experienced in road accident claims.