Kopenbur insurance company is considered a new player in the Georgian insurance sector. Besides life and health insurance products, the company also provides a wide spectrum of insurance services with a focus on a vehicle insurance package and competitive tariffs.
Nevertheless, the market monitoring has showed the company provides ambiguous and uncertain information to vehicle owners. As a result, in a number of cases beneficiaries turn out cheated or they pay the service tariffs in vain for nothing.
The Kopenbur’s zero deductable car insurance service does not work to a certain extent. In general, the zero deductable car insurance service calls for compensating even minimal losses. This is a very practical service and it is widely approbated by other insurance companies too.
As to Kopenbur, the company obliges beneficiaries to call the traffic police in case of road accidents despite the scale. This signifies the traffic police will compose a protocol and if the beneficiary is found guilty they, he will pay a 250 GEL fine, including, in case of single-vehicle crash, when no third party is involved in the accident. This signifies beneficiaries have to abstain from applying to the insurance company if the losses do not exceed 250 GEL to avoid the traffic police’s protocol.
This signifies beneficiaries pay money for the zero deductable care insurance service in vain. It should be also noted in 99% of single-vehicle crash cases the losses do not exceed 250 GEL. The traffic police must issue a protocol on the car accident. Therefore, beneficiaries have no interest in applying to the insurance company and this signifies Kopenbur sells nonexistent services.
The Georgian insurance market is oversaturated by various services and there is sharp competition in the insurance sector. Therefore, it is surprising a certain part of clients accepts these terms of Kopenbur. One of the beneficiaries of Kopenbur thinks he has been cheated. This beneficiary has published a due statement in the social network and reaffirmed the same statement in his interview. Nevertheless, the respondent prefers to remain an incognito.
The company agent has deceived me prior to signing the contract agreement and given forged information on traffic police fines, the respondent noted.
“Under the contract agreement, I am a zero deductable car insurance service beneficiary. Prior to signing the agreement, the agent told me traffic police would issue only the so-called dry protocol in case of single-vehicle crash. I did not show interest in the contract details and I signed it. After a certain period, I turned out in a single-vehicle road accident and I called my insurance company. They told me it was necessary that the traffic police compose a protocol and issue a 250 GEL fine to me. After this case, I turned out in another road accident. My vehicle was not damaged in practice, but the vehicle of the third party was seriously damaged and I applied to my insurance company. The agent came to the road accident place and requested from me to call the traffic police. After I called the traffic police, the agent told me the police would fine me, while total losses of both vehicles did not exceed 200 GEL”, a Kopenbur beneficiary said.
Another beneficiary of Kopenbur insurance company has also published his story in the social network.
This story is related to the June 13 natural disaster outcomes. The disaster has damaged his vehicle. He applied to Kopenbur for compensation. The company representatives told the beneficiary he had abandoned the place and did not call the traffic police and the losses could not be remunerated.
Both beneficiaries plan to sue against Kopenbur to the court.
We have contacted the Kopenbur’s office to verify this information. The company representatives dismissed a certain part of the accusations, but refused the responsibility for another part of the accusations.
“Kopenbur offers various car insurance packages, including a package for remunerating losses in the amount of 12% of the insured sum without a traffic police protocol. Consequently, a beneficiary takes a decision on purchase of a desirable package that enables him/her not to call the traffic police in case of car accidents. As to the June 13 natural disaster victim beneficiaries, the company has fully compensated losses we were to do under the agreement. As to the amount of the expected fines, this issue is not the competence of our insurance company and similar decisions are made by authorized representatives of the traffic police”, Kopenbur representatives noted.
Giorgi Gigolashvili, a head of the Georgian Insurance Institute, refers to the European practice and says similar unimportant damages are remunerated without involvement of law enforcers.
“If we rule out deliberate damages, in all other cases, the insurance companies remunerate losses without problem. I can recall the Swedish experience, where insurance companies compensate even 25 USD losses immediately. By the way, similar packages is long practiced in Georgia too”, Gigolashvili said.