Terms and concepts

Insurance Activity – an activity consisting essentially of: providing, negotiation and contracting of insurance and reinsurance contracts, premium collection, liquidation of damages, performing of regression and recovery actions;

Insurance – a transfer of a potential risk, including the risk of a financial loss and / or a material damage from the insured to the insurer under the contract of insurance;

Insurance agent – individual or legal entity performing professional activity under a mandate issued by the insurer, with the right to sign on behalf of and at the expense of the insurer, insurance contracts with third parties, under the conditions specified in the warrant, without being an insurer, reinsurer, bank assurance agent or insurance and / or reinsurance broker;

Insurance and / or reinsurance broker – a legal entity registered in the Republic of Moldova, who under the law “On Insurance” negotiates for his customers individuals or legal entities, insured (reinsured) or potential insured (reinsured), contracting insurance (reinsurance) contracts and provides advisory and risk inspection and assists customers during the contracting period or in connection with the settlement of damages, if any;

Insurer (reinsurer) – a legal entity registered in the Republic of Moldova, according to the Law “On Insurance” who has the right to organize insurance (reinsurance) activity;

Insured – a person who has contracted an insurance contract with the insurer;

Insured Case – an insurance risk provided in the insurance contract, which gives the insured the right to be paid or compensated by the insurer;

Franchise – a part of the damage incurred by the insured, established as a flat fee or a percentage of the total compensation provided in the insurance contract;

Insured risk – a phenomenon, event or group of phenomena or events in the contract of insurance, which once produced, can cause damage to property or person insured.(In life insurance, the phenomenon of survival and the death phenomenon fall within the definition of insured risk);

Motor vehicle accident – an unforeseen accidental event caused by one or more motor vehicles causing injuries to some people and which may give rise to claims for compensation;

Claim file – the file that includes all the necessary documents for finding and settlement of the insured case;

Insurance policy “Green Card” – an international insurance document issued on behalf of a national office, certifying the existence of a motor vehicle compulsory insurance of civil liability valid outside the country of issue, in accordance with Recommendation no.5 from 25 January 1949 adopted by the Subcommittee on Road Transport of the Internal Transport Committee of the Economic Commission for Europe of the United Nations;

Bonus-malus system – a system of premium cuts and increases in motor vehicle compulsory insurance of civil liability granted depending on the damage history;

Insured sum – the amount of money in cash, as indicated in the insurance contract (policy), within which the insurer is liable to the insured (third party);the maximum amount of insurance compensation.The insured amount can not exceed the actual price of the object of insurance;

Wear value – the part of the value of vehicle, the spare parts or parts that are replaced worn through age, use or maintenance condition of the damaged vehicle at the moment of the accident.


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