Today marks the beginning of the nationwide information campaign on consumer rights protection in insurance services, titled "Know Your Rights: Insurance," organized by the National Bank of Ukraine.
The topic of insurance and insurance services remains underrepresented for consumers. Most Ukrainians only use insurance that is legally mandatory or selected for them by other organizations.
The main goal and purpose of the "Know Your Rights: Insurance" campaign is to protect the rights of policyholders and improve consumer awareness about insurance services. Within the campaign, consumers will receive explanations on the following topics:
Additionally, the National Bank, along with its partners, will explain the changes consumers of insurance services can expect due to updated legislation.
One of the priorities of the National Bank as the insurance market regulator is to update outdated legislation that did not meet the needs of market participants and the demand of insurance service consumers. On January 1, 2024, the new Law of Ukraine "On Insurance" came into effect, with a transitional adaptation period ending on July 1, 2024. Moreover, on June 17, 2024, a new version of the Law of Ukraine "On Compulsory Civil Liability Insurance of Land Vehicle Owners" was adopted. The new legislation not only strengthens the resilience of the insurance market but also includes a significant list of requirements for insurers regarding the mandatory disclosure of comprehensive information about insurance contract terms to consumers.
"The National Bank protects the rights of financial services consumers and conducts systematic work aimed at improving service standards and ensuring transparency and stability of financial institutions. This year, our informational and educational campaign 'Know Your Rights' is dedicated to insurance and aims to remind consumers of the importance of not allowing their rights to be violated when using financial services. The National Bank became the regulator of the insurance market relatively recently, so consumers sometimes do not know that they can turn to us for the protection of their rights. The adoption and improvement of legislation, the development of new regulatory acts that strengthen consumer rights protection in insurance services, enable the prevention of violations. The legislative update contributes to insurers transparently and effectively communicating information about insurance products and services. Informed consumers are better protected because they are capable of making informed decisions regarding insurance contracts," emphasized Kateryna Rozhkova, First Deputy Governor of the National Bank.
The "Know Your Rights: Insurance" campaign is being carried out with the support of an international partner – the USAID Project "Investing for Business Resilience."
The information campaign will run until the end of September 2024 in all regions of Ukraine. The online platform for its implementation will be the National Bank’s financial literacy education website "Harazd." One of the sections of the site is dedicated to insurance and insurance services. Users can also test their knowledge by taking a thematic quiz on insurance on this platform.
This is the third similar educational initiative aimed at informing as many Ukrainians as possible about their rights when using financial services and knowing how to protect them in case of violations. The first campaign, "Know Your Rights," focused on the rights and responsibilities of financial services consumers and was implemented in 2021. The second campaign, "Know Your Rights: Loans," which explained the rights and responsibilities of borrowers, took place in 2022.
