LegalActs

On Insurance Activities

Edict of the President of the Republic of Belarus

No. 530 of August 25, 2006

[Amended as of May 12, 2009]

1.1. legal persons of the Republic of Belarus, as well as foreign legal persons that carry out their activities in the territory of the Republic of Belarus, citizens of the Republic of Belarus and stateless persons which do not reside permanently in the territory of the Republic of Belarus, shall insure their property interests in the Republic of Belarus only with the commercial organizations that have been established for the purpose of carrying out insurance activities and have obtained special permits (licenses) for carrying out insurance activities in the Republic of Belarus, with the exception of the cases provided for in part three of the present subclause.

The Republic of Belarus and its administrative and territorial units, state bodies, state legal persons, and legal persons, the decisions of which may be influenced by the State due to holding the control packet of shares (allotments, deposits, interests) or in another way which not contradict the legislation insure their property interests according to the types of insurance not related to the life insurance in the Republic of Belarus only at the insurance organizations – state legal persons or legal persons, in the statutory funds of which more than 50 percent of allotments (common (ordinary) or other voting shares) are in the ownership of the Republic of Belarus and/or its administrative and territorial units, unless otherwise established by the President of the Republic of Belarus.

While carrying out the state procurement of goods, provided that the supplier of such goods is a non-resident of the Republic of Belarus, the goods shall be insured by legal persons and individual entrepreneurs, who carry out the procurement of goods, or by the suppliers of goods, if they supply the goods on CIF and CIP conditions (according to the valid version of the INCOTERMS), in the state insurance organizations and/or insurance organizations, in the statutory funds of which more than 50 percent of allotments (common (ordinary) or other voting shares) are in the ownership of the Republic of Belarus and/or its administrative and territorial units. In the case of the refusal of specified insurance organizations to render such insurance, the legal person and the individual entrepreneur, who carry out the state procurement of goods, or the supplier of these goods implement it in other insurance organizations.

Commercial organizations, established after April 1, 2008, except for those, established in the result of reorganization, which reside and carry out their activity in areas with the population not more than 50,000, according to the list approved by the Council of Ministers of the Republic of Belarus by the agreement with the President of the Republic of Belarus, with the exception of organizations, specified in subclause 1.8 of clause 1 of the Decree of the President of the Republic of Belarus of January 28, 2008 No. 1 “On Stimulation of Production and Realization of Goods (Works, Services)”, while carrying out agricultural activities on production of goods (works, services) and its realization, are entitled to insure their property interests at the insurance organizations and insurance brokers, established outside the territory of the Republic of Belarus.

Foreign citizens staying in the Republic of Belarus, stateless persons who temporarily staying or temporarily residing in the territory of the Republic of Belarus are entitled to insure their property interests in the Republic of Belarus at the Belarusian commercial organizations that have been established for the carrying out insurance activities and have obtained special permits (licenses) for carrying out insurance activities in the Republic of Belarus, if the obligation of mentioned organizations is not provided for in accordance with the present Edict.

Activities in the territory of the Republic of Belarus of the insurance organizations, insurance brokers established outside the Republic of Belarus, is illegal and shall not be allowed without the state registration at the Ministry of Finance and obtaining the special permit (license) for carrying out insurance activities, with the exception of the cases, provided for in part four of the present subclause.

1.2. as provided by legislative acts, the courts, other state bodies and other organizations, the lawyers, notaries, and individual entrepreneurs are obliged to submit free of charge the documents and findings necessary for solving the issue on awarding insurance payments upon the request of the state insurance organizations, the Belarusian Transport Insurance Bureau, and/or insurance organizations, provided more than 50% of allotments (common (ordinary) or other voting shares) of their statutory funds are in the ownership of the Republic of Belarus and/or its administrative and territorial units.

1.3. disputes arising from the insurance relationships, and disputes concerning the regulation of insurance activities are settled in the court.

2. To determine that the following sums paid by insurance organizations are to be included into the costs on producing and realization of products, goods (works, services) that are taken into account for taxation purposes (hereinafter – costs):

- allocations into insurance reserves, guarantee funds, and funds of precautionary (preventive) measures, expenses for payment of insurance coverage, insurance compensation, case administration, payment of insurance fees under the re-insurance contracts, as well as other expenses to be included into the costs according to the legislation;

- payment to insurance agents and insurance brokers of remunerations for rendered services, performed at the expense of allocations from the insurance fees received, in the amount established by the Ministry of Finance.

3.1. insurance reserves, the balance of the funds of precautionary (preventive) measures, funds formed according to the contracts of voluntary insurance related to the insurance of life at the expense of net profit gained from carrying out investment activities, to be transferred by one insurance organization to another insurance organization, simultaneously with transferring obligations upon the contracts of voluntary insurance, are not taken into account for taxation purposes within the incomes while determining the taxable base of the insurance organization that accepts specified obligations;

3.2. insurers and the Belarusian Transport Insurance Bureau are obliged to perform insurance payment for the damage inflicted to life, health of the victim regardless of the sums paid by the bodies on labor and social protection, paid under the social insurance or according to other concluded compulsory or voluntary insurance contracts.

3.3. for every day of delay of the insurance payment through the fault of the insurer, the Belarusian Transport Insurance Bureau they shall pay a penalty at the amount of 0.1% (to the legal person) or 0.5% (to the natural person) of the sum payable.

4. To approve the enclosed Regulations on Insurance Activities in the Republic of Belarus.

6.1. bringing the insurer to the responsibility for the evasion to conclude a compulsory insurance contract or change and (or) add it in the cases provided for by the Regulations on Insurance Activities in the Republic of Belarus approved by this Edict does not exempt the insurer from concluding or changing (adding) the respective compulsory insurance contract, unless otherwise established by the President of the Republic of Belarus.

The fines to be charged for operation or bringing into operation of vehicles without conclusion of contracts for compulsory insurance of the civil liability of owners of the vehicles are entered;

50% – on the account of the Belarusian Transport Insurance Bureau for replenishment of the funds of social guarantees and protection of the victims of traffic accidents, formed by the Bureau;

6.2. contracts of compulsory insurance of liability of owners of the transport facilities or buildings belonging to the citizens, or contracts of compulsory medical insurance of foreign citizens and stateless persons temporary staying or residing in the territory of the Republic of Belarus, having been concluded before entry into force of the present Edict, are in effect until the term thereof expires on the same terms on which they have been concluded, and are not subject to bringing in conformity with this Edict;

6.3. legal acts regulating insurance relations, before bringing them in conformity with the present Edict, are in effect in the part which does not contradict this Edict.

If the norms of the treaties which are in effect for the Republic of Belarus establish other norms than those provided for in the present Edict, the norms of the treaty are to be applied.

6.4. 50 percent of the profit gained by the Belarusian Republican Unitary Enterprise “Belgosstrakh” in the result of investing special insurance reserve funds for compulsory insurance against industrial accidents and occupational diseases, is annually directed before January 1, 2018 for the increase of its statutory fund and statutory funds of subsidiary enterprises established by the former for carrying out life insurance activities according to types of insurance related with life insurance and from January 1, 2018 that sum is monthly transferred to the republican budget.

A part of profit of the state insurance organizations, gained from investing their statutory funds, allocated to them from the republican budget, is directed for the increase of those funds in the amount, determined by the Ministry of Finance.

7. To recognize as invalid Decrees and Edicts of the President of the Republic of Belarus, certain provisions of Decrees and Edicts of the President of the Republic of Belarus according to the appendix.

8. Insurance organizations, insurance brokers, and insurers’ associations established prior to the entry this Edict into force, shall bring their constituent documents in conformity with this Edict before August 2, 2007.

The constituent documents of any insurance organizations, insurance brokers, and insurers’ associations, before bringing in conformity with this Edict, are in effect in the part which does not contradict this Edict.

Insurance organizations established prior to the entry of this Edict into force are obliged to form their statutory funds:

- before the 1st of May, 2008 – in the amount of at least one half of the minimum rate of the statutory fund fixed in clause 15 of the Regulations of Insurance Activities in the Republic of Belarus, approved by this Edict;

- before the 1st of May, 2011 – in the amount not less than the minimum rate of the statutory fund fixed in clause 15 of the Regulations of Insurance Activities in the Republic of Belarus, approved by this Edict.

Non-fulfillment of the requirements set forth in the parts one–three of this clause is the ground for liquidation of the insurance organizations, insurance brokers, and insurers’ associations.

Insurance organizations established after the entry this Edict into force are obliged to form their statutory funds according to the minimum rate of the statutory fund fixed in clause 15 of the Regulations of Insurance Activities in the Republic of Belarus, approved by this Edict.

9. The Council of Ministers of the Republic of Belarus shall, within two months, establish an insurance organization performing insurance activities exclusively in the field of re-insurance having include to its statutory fund the monetary contribution in the amount equivalent to 20 million Euro from the funds provided for in the republican budget for the increase of the State’s interest in the statutory funds (including the purchasing of shares) (Appendix 1 to the Law of the Republic of Belarus of December 31, 2005 “On the Budget of the Republic of Belarus for 2006”, (National Register of Legal Acts of the Republic of Belarus, 2006, No. 7, 2/1178), and take any other measures necessary for the implementation of the present Edict.

Clause 5 of this Edict is in effect prior to entry into force of the laws on introducing changes and (or) additions into the Code on Administrative Offences of the Republic of Belarus of April 21, 2003 and (or) the Procedural and Executive Code of the Republic of Belarus on Administrative Offences of December 20, 2006.

APPROVED

Edict of the President

of the Republic of Belarus

No. 530 of August 25, 2006

- any insurers’ associations (except for cases set forth in Chapter 11 of the present Regulations) established by the decision of the President of the Republic of Belarus and carry out their activities in the order established by the President of the Republic of Belarus. As a rule, no articles specifying the procedure and terms of insurance may be contained in the legal acts that do not regulate insurance issues on the whole.

2. The following terms that have the following meanings are used in the present Regulations:

“the bank authorized to serve state programs” means the organization included into the banking system of the Republic of Belarus, to which the right to serve the state programs was granted by the Government of the Republic of Belarus in accordance with established procedure;

“the state bank” means the bank which property belongs to the Republic of Belarus and/or its territorial administrative unit; the bank for which the Republic of Belarus and/or its territorial administrative unit may govern any decisions to be taken by the bank under the predominant participation in its statutory fund (controlling interest possession).;

“diversification” means the term of placement of the insurance reserves by the insurer which expects their simultaneously allocation for the investment projects that are not connected to each other;

“investment activity” means the insurer’s activity aimed at investment of its insurance reserves in any securities, immovable property, precious metals, and any other property, in the order established by the legislation; and aimed at any other investment not prohibited by the legislation, for profit (income) deriving;

“the insurers’ association” means non-profit organization established by the insurers and insurance brokers in the form of the association/union with a view of coordinating the activities of its members, defending their interests, joint fulfilling of certain tasks and which is not entitled to keep entrepreneurial activities, including those established by the way of formation of commercial organization and/or participation therein;

“the insurance object” means any property interests that are not contrary to the legislation and are connected with the following:

infliction of the harm to health or life of the insured or any other natural person stipulated in the insurance contract (personal insurance which is related to life insurance);

reaching, by the citizens, of a certain age, or occurrence of any other insured accident provided for in the insurance contract (personal insurance concerned with life insurance);

loss (destruction) or impairment of any property owned, used or disposed of by the insured or any other beneficiary stipulated in the insurance contract; or infliction of any damage to their proprietary rights, including those connected with damages arising from entrepreneurial activities in connection with non-fulfillment or improper fulfillment, by the contractors of any legal person, of their respective obligations, or as a result of changing conditions of such entrepreneurship beyond reasonable control of the entrepreneur (property insurance);

liability for the obligations arising in the case of infliction of the harm to life, health, or property of other persons by the insured or another person on whom such responsibility may be imposed; or liability under the insurance contract (liability insurance);

“re-insurance” means insurance by the insurer (re-insurer) of any portion of its own obligations with any other insurer (re-insurer) on the risk conditions stipulated in the insurance contract;

natural persons who have their permanent residence in the Republic of Belarus, including those who temporary stay outside the Republic of Belarus;

legal persons located in the Republic of Belarus, established in compliance with the legislation of the Republic of Belarus, including legal persons into which the investments were made by non-residents of the Republic of Belarus;

organizations that are not legal persons, located in the Republic of Belarus, established in accordance with the legislation of the Republic of Belarus;

diplomatic representations and other official representations of the Republic of Belarus located outside the Republic of Belarus;

the representations of organizations, established in accordance with the legislation of the Republic of Belarus and located outside the Republic of Belarus;

natural persons who have their permanent residence outside the Republic of Belarus, including those who temporary stay in the Republic of Belarus;

legal persons established by the laws of the foreign states, including legal persons into which the investments were made by any residents of the Republic of Belarus;

organizations that are not legal persons, located outside the Republic of Belarus, established in accordance with the law of foreign states;

diplomatic representations and other official representations of the foreign states located in the Republic of Belarus;

the representations of the organizations, established on accordance with the law of foreign states and located in the Republic of Belarus;

“co-insurance” means insurance of the same insurance object under the same insurance contract by several insurers;

“insurance” means relations aimed at protection of property interests of the citizens of the Republic of Belarus, foreign citizens, stateless persons, organizations including foreign and international ones, as well as of the Republic of Belarus, its administrative and territorial units, foreign states, at occurrence of certain events (insured accidents), at the expense of the insurance reserves formed by the insurers from payable insurance fees (insurance premiums);

“insured” means citizens of the Republic of Belarus, foreign citizens, persons, organizations including foreign and international ones, as well as the Republic of Belarus, its territorial administrative units, and foreign states who/that have concluded insurance contracts with the insurers or who/that are deemed the insured under the law or the act of the President of the Republic of Belarus;

”insurance payment” means any sum of money to be paid to the insured (insured person, beneficiary) at occurrence of any insured accident. The insurance payment is made in the form of insurance indemnity in the case of property insurance or liability insurance, and in the form of insurance coverage in the case of personal insurance;

”insurance activities” means activities in the field of insurance, including co-insurance and re-insurance;

“sum insured (limit of liability)” means any sum of money fixed by the law, act of the President of the Republic of Belarus, or insurance contract, within which the insurer is obliged to make any insurance payment at occurrence of any insured accident, unless otherwise provided for by such law or act of the President;

“insurable value” means actual value of the property or entrepreneurial risk. The following shall be deemed insurable value:

for the property – its real value at its location as of the day of concluding the insurance contract;

for entrepreneurial risk – losses incurred from entrepreneurship, which could be incurred by the insured at occurrence of any insured accident;

“an insurance agent” means any natural person or organization involved in insurance mediation in the name of any insurance organization;

“an insurance broker” means any commercial organization involved in insurance mediation in its own name, or according to the assignment of the insurance organization or the insured, or both, on the basis of a special permit (license) for carrying out insurance activities issued by the Ministry of Finance;

“insurance fee (insurance premium)” means sum of money to be paid by the insured to the insurer for insurance unless otherwise established by these Regulations or other acts of the President of the Republic of Belarus;

“insurance risk” means any expected event that has the constituent elements of probability and randomness, at the occurrence of which the insurance is to be performed;

“an insured accident” means any event stipulated by the insurance contract or the legislation, at which occurrence the insurer’s obligation arises to make insurance payment to the insured (insured person, beneficiary);

“insurance tariff” means the rate of any insurance fee from a unit of the sum insured;

“the insurers” means any commercial organization established for carrying out investment activities, that have obtained special permits (licenses) for carrying out insurance activities (hereinafter the insurers or insurance organizations).

3. Insurance may be performed in the form of voluntary and compulsory insurance.

Voluntary insurance is carried out by the way of concluding an insurance contract and between the insured and the insurer in accordance with the legislation.

The terms under which the voluntary insurance contract is concluded are determined in the rules of the respective kind of insurance approved by the insurer or by the insurers’ association and agreed with the Ministry of Finance. The validity period of any voluntary life insurance or additional pension insurance contracts may not be less than three years.

The insurance tariff according to the types of voluntary insurance is fixed by the insurers upon the agreement with the Ministry of Finance.

Obligatory insurance is performed by the State insurance organizations and/or by other insurance organizations, the statutory funds of which consist of more than 50% of interests (common or other voting shares) are in the ownership of the Republic of Belarus and/or its territorial administrative units, unless otherwise provided for by the acts of the President of the Republic of Belarus.

The State guarantees insurance payments under any kinds of insurance related to life insurance, any kinds of compulsory insurance, provided the insurance contracts have been concluded with the state insurance organizations.

The President of the Republic of Belarus establishes the insurance tariff or insurance fee according to the types of compulsory insurance.

The procedure and terms of compulsory insurance, with the exception of compulsory state insurance, are determined in laws and the present Regulations.

compulsory insurance of the civil liability of the carrier before the passengers ;

compulsory medical insurance of foreign citizens and stateless persons who temporary stay or reside in the territory of the Republic of Belarus;

compulsory insurance of liability of commercial organizations involved in realtor’s activity, for the harm inflicted in the course of its carrying out;

compulsory insurance of civil liability of temporary (crisis) managers in economic insolvency (bankruptcy) proceedings;

compulsory insurance against any accidents at workplace, and compulsory insurance against occupational diseases;

compulsory state insurance (compulsory insurance of life, health and/or property of the citizens at the expense of funds of the appropriate budget, as provided for in the legislation);

other kinds of compulsory insurance specified in the acts of the President of the Republic of Belarus or in the laws;

4.2. the kinds of compulsory insurance in accordance with the rules of insurance approved by the insurer or insurers’ association and agreed with the Ministry of Finance, including the following:

insurance of life (only against death or for attaining a certain age of the insured person; against death and for attaining a certain age of the insured person; and life insurance on the terms of regular insurance payments (rent)). Additionally, the voluntary insurance contract may provide for insurance against any harm to life or health of the insured person as a consequence of any accident, including loss of ability to work and getting the disability, as well as occurrence, to the insured person, of any other insured accident stipulated for in the insurance contract;

insurance of liability of the organizations that represent augmented danger to the surroundings;

insurance of liability of the employer for any damage inflicted to life and health of the employees;

insurance of liability for any damage inflicted in connection with carrying out one’s professional activity;

5. The insured are entitled to conclude insurance contracts with the insurers, in their own favour or in behalf of any other civil law subjects (beneficiaries), with the exception of the cases provided for by the legal acts.

Insurance broker is entitled to carry out mediation activities according to the kinds of voluntary insurance, re-insurance.

6. While performing kinds of insurance concerning the life insurance, the insurer may pay out to the insured (beneficiary), in addition to the insurance payment, a portion of the income derived from the insurer’s investment activity, provided it has been established in the insurance terms.

7. Only the citizens of the Republic of Belarus, as well as any foreign citizens and stateless persons who are permanently reside in the Republic of Belarus may execute duties of a director, deputy directors, and a chief accountant of the insurer, and only on the basis of labour contracts.

The labour contracts with director, deputy director, and the chief accountant of the insurer or insurance broker, which has got the state registration, are concluded after the certification of their professional qualification in the Ministry of Finance; and termination of labour relations with that persons with notification of the Ministry of Finance within 5 days after the day of termination from of the labour contract.

The labour contract with the head of the insurers’ association is concluded after the approval of the nominee with the Ministry of Finance.

8. The directors, deputy directors and chief accountants of any insurers, insurance brokers, as well as the directors of any separate subdivisions may not be engaged in any paid work on the terms of regular jobs combining, except for teaching and other creative activities and medical practice.

10. State regulation of insurance activities is performed by specification of the following:

procedure of registration, reorganization, and dissolution of any insurance organizations, insurance brokers and insurers’ associations;

requirements to formation, allocation, and use of insurance reserves and other funds that ensure financial stability of insurance organizations.

specifies the main orientations of the state policy in the field of insurance activities;

specifies, on annual basis, the rate of deductions, the order and cources of allocation of money from any funds of precautionary (preventive) measures on voluntary life insurance, insurance of medical expenses, compulsory kinds of insurance (except for compulsory state insurance), compulsory insurance of liability of commercial organizations involved in realtors’ activity against any harm inflicted to health in connection with carrying out thereof, compulsory insurance of civil liability of temporary (crisis) managers in economic insolvency (bankruptcy) proceedings;

agrees republican insurance development programs, procedure of investment and allocation of funds from the insurance reserves, admission of interests in the statutory funds or common (ordinary) or any other voting shares of any insurance organizations to the ownership of the Republic of Belarus and/or its administrative and territorial units;

fixes the amounts of insurance fees and insurance tariffs for compulsory kinds of insurance, in particular (on annual basis), for compulsory insurance against accidents at workplaces and against occupational diseases, the limits of liability for compulsory insurance of liability of owners of any transport facilities;

approves the procedure of investment and allocation of funds from the insurance reserves, upon the contract with the President of the Republic of Belarus;

issues, upon the agreement with the President of the Republic of Belarus, the decisions on taking into the ownership of the Republic of Belarus interests in the statutory funds, common (ordinary) or other voting shares of the insurance organizations;

adopts any legal acts regulating relations in the field of insurance, including specifying cases of insurance of liability for the breach of contract; exercises other powers in the field of state regulation of insurance activities, in accordance with the laws and acts of the President of the Republic of Belarus.

adopts legal acts regulating relations in the field of insurance, in particular, with a view to ensure unified accounting and bookkeeping and formation of insurance reserves by the insurers;

performs the state registration of insurance organizations, insurance brokers, and insurers’ associations;

issues special permits (licenses) for carrying out insurance activities to the insurance organizations and insurance brokers;

issues, to any Belarusian insurance organizations and insurance brokers, permits for establishment of their separate subdivisions, in particular, outside the Republic of Belarus; as well as for participation in establishing, outside of the Republic of Belarus, of any organizations with a view of carrying out insurance activities, including the insurance brokers, or for the purchase of the interests (shares) in the statutory finds of such organizations;

generalizes the practice of insurance activities; give explanations to the insurers’ associations on the issues of the insurance laws application; elaborate proposals on improvement of the legislation;

represents the Republic of Belarus before the international organizations on the issues of insurance policy;

The state registration of insurers, insurance brokers, insurers’ associations, as well as bringing changes and additions into their constituent documents are performed in the order established by the legislation on state registration of economic entities, with respect to peculiar features specified in the present Regulations.

– 1 million Euro – for the insurer that carries out any kinds of insurance not related to life insurance;

– 2 million Euro – for the insurer that carries out any kinds of insurance related to life insurance;

– 5 million Euro – for the insurer that carries out re-insurance activities only.

Conformity of the statutory fund of the insurer with the minimum amount of the statutory fund is determined through conversion of any monetary funds contributed to the statutory fund in foreign currency and/or Belarusian roubles, at the official rate of such respective currency to Euro, fixed by the National Bank as of the date of conversion.

16. Statutory fund of the insurer shall be completely formed by its founders by the date of the state registration.

A portion of the statutory fund equal to its minimum amount fixed by clause 15 of the present Regulations shall be contributed in the form of monetary funds in any foreign currency and/or Belarusian roubles, on the basis of the official rate of such respective currency to Euro, fixed by the National Bank as of the date of making an appropriate decision by the founders, shareholders (members), or property owners.

A portion of the statutory fund exceeding its minimum amount fixed by clause 15 of the present Regulations may be formed through making non-monetary contributions by the insurer’s founders in the order established by the legislation and the constituent documents of such insurance organization.

Payment by the foreign insurance brokers of their respective interests (shares) in the statutory funds of the insurers and insurance brokers is performed exclusively in monetary funds.

After the state registration the insurer must have on its accounts the monetary funds in the sum that corresponds to a minimum amount of the statutory fund provided for in clause 15 of the present Regulations.

The property to be contributed into the statutory fund of the insurer shall belong to its founders (members) under the right of ownership (the right of economic management), and be necessary and fit for use in the course of activities of that insurer.

The amount of contribution of each founder (the amount of interest of each member) into the statutory fund of the insurer, established in the form of a joint stock company, limited liability company, and supplementary liability company, may not exceed 35 percent of the amount of such authorized capital, except for contribution (interest) of the Republic of Belarus and/or its administrative and territorial units into the statutory fund of the insurer.

17. For the state registration of insurer, insurance broker, such insurer or insurance broker submits to the Ministry of Finance, in addition to the documents submitted for the state registration of any economic entities in compliance with the legislation, the data on professional qualification of the nominees to the posts of directors, deputy directors, and chief accountants of such insurer or insurance broker, as well as the documents evidencing the origin of monetary assets of the founders (members) of such insurer.

Professional qualification of the nominees to such mentioned posts is determined in accordance with the procedure established by the Ministry of Finance.

18. Insurance organization may be the founder (member) of any other legal persons.

The total amount of a contribution made by any insurance organization to the statutory fund of the commercial organization may not exceed 35% of the statutory fund (except for contributions, made by republican unitary enterprises carrying out insurance activities), unless otherwise provided for by the acts of the President of the Republic of Belarus, and is contributed at the expense of profits remaining at the disposal of such insurance organization.

19. The insurance organization which is affiliated (subordinate to) a foreign investor, has the right to carry out insurance activities in the Republic of Belarus, provided such foreign investor is an insurance organization for at least 10 years and is involved in insurance activities according to the law of the respective state.

20. A quota of foreign investors in the statutory funds of the insurance organizations of the Republic of Belarus is fixed by the Council of Ministers of the Republic of Belarus upon the agreement of the President of the Republic of Belarus.

In the case of the exceeding of the quota, the Ministry of Finance terminates the registration of insurance organizations with foreign investments and/or issue, to such organizations, of licenses for carrying out insurance activities.

21. The insurance organization is obliged to obtain a prior permit of the Ministry of Finance, to:

- increase of the amount of its statutory fund at the expense of the funds of foreign investors and/or insurance organizations which are affiliated (subordinate) economic entities of such foreign investors;

- disposal of any interests (shares) of its authorized capital in favour of any foreign investors and/or insurance organizations, which are affiliated (subordinate) economic entities of such foreign investors.

The Belarusian members of any insurance organizations of the Republic of Belarus are obliged to obtain a prior permit of the Ministry of Finance to dispose their respective interests (shares) in the statutory funds into the ownership (economic jurisdiction, operational management) of the foreign investors and/or insurance organizations which are affiliated (subordinate) economic entities of such foreign investors.

Such prior permit is refused if the quota mentioned in clause 20 has been exceeded or will be exceeded while performing actions named in the present clause.

22. The insurance organizations which are affiliated (subordinate) economic entities of any foreign investors and/or which have the shares of such foreign investors in their respective statutory funds exceeding 49%, may establish their separate subdivisions in the territory of the Republic of Belarus, and be the founders (members) of other insurance organizations after the receipt of the prior permit of the Ministry of Finance.

Such a permit is not issued in the case of the exceeding of the quota fixed in accordance with clause 20 of the present Regulations.

23. The insurers and insurance brokers establish separate subdivisions in the Republic of Belarus upon consent of the Ministry of Finance in the order established by the Council of Ministers of the Republic of Belarus.

Establishment, by the insurance organizations and insurance brokers, of their separate subdivisions outside the Republic of Belarus, and participation in establishment of the insurance organizations and/or insurance brokers outside the Republic of Belarus, or obtaining interests (shares) in the statutory funds of such organizations, upon the permit of the Ministry of Finance in accordance with the procedure established by the Council of Ministers of the Republic of Belarus, taking into account peculiarities specified by the legislation of the Republic of Belarus and the law of the foreign states wherein such actions are performed.

24. Authorized employee of the registering body doesn’t perform state registration of the insurance organization in the cases provided in legislative acts on state registration and also in the following cases:

- failure to confirm, in accordance with established procedure, the source of monetary funds belonging to the founders (members) to be contributed into the statutory fund of the insurance organization (according to the report of the auditing company or auditor of an individual entrepreneur);

- exceeding the quota fixed in accordance with clause 20 of the present Regulations;

- professional ineligibility of the nominees to the posts of a director, his/her deputy directors, and a chief accountant of the insurance organization;

- necessity to ensure national security of the Republic of Belarus, including in the field of economy; defense of interests of the national insurance organizations.

25. Reorganization and liquidation of any insurance organization, insurance broker shall be carried out in compliance with the appropriate legal acts.

26. While liquidating the insurance organization , the fulfillment of its obligations before the insured (beneficiaries) is performed ahead of the schedule at the expense of the insurance reserves and owned capital.

27. The insurance organization, irrespective of its form of ownership, in the case of liquidation thereof or expiration of a special permit (license) for insurance activities, is obliged to, and in the case of bankruptcy proceedings commenced by the economic court against such insurance organization which is a debtor, is entitled to, transfer its respective obligations under voluntary insurance contracts to any other insurance organization in accordance with established procedure, or to dissolve such voluntary insurance contracts. At the existence of a written application of the insured, the insurance organization is obliged to transfer its respective obligations under voluntary insurance contracts to other insurance organization named in the application of such insured, provided such another organization meets the criteria established by the present clause.

In the case of dissolution of the voluntary insurance contract in accordance with part one of the present clause:

- any obligations of the insurer under such contract are terminated with the exception of the cases when such obligations to make insurance payment have been arisen prior to the dissolution of the contract;

- the insurer has the right to be distributed a portion of its/his/her insurance fee proportional to the time during which such insurance, based on the signed contract of voluntary insurance other than life insurance, has been in effect; or according to the voluntary insurance contracts which are related to the life insurance, to be distributed a portion of its/his/her insurance fee in accordance with the terms set forth in the rules of voluntary insurance on which such contract has been signed.

According to the criteria established by the legislation, the insurance organization that undertakes the obligations under voluntary insurance contracts shall be solvent with account of obligations newly undertaken by itself, and properly fulfill them in accordance with the terms on which such voluntary insurance contracts have been signed; and shall have its insurance reserves in the amount adequate for fulfillment of its all obligations, including the ones being newly undertaken.

Simultaneously with the transfer of obligations under the voluntary insurance contracts, the insurance reserves formed in compliance with the legislation are transferred in the amount adequate to all transferred obligations, as well as the balance of the preventive measures fund.

Any insurance organization involved in carrying out the kinds of insurance related to life insurance, are not entitled to be involved in any other kinds of insurance.

The subject of activity of insurers shall be specified, without fail, in its constituent documents.

29. Insurance organizations acquire the right to carry out insurance activities and the insurance brokers acquire the right to carry out insurance mediation from the date of obtaining a special permit (license) for carrying out insurance activities issued by the Ministry of Finance in accordance with the procedure established by the legislation on licensing.

30. Any works and services included therein are listed in such special permit (license) for carrying out insurance activities according to the kinds of insurance permitted for carrying out by the entity/person that/who has obtained such special permit (license) for carrying out insurance activities.

31. Any insurance organizations which are affiliated (subordinate) economic entities of any foreign investors and/or which have the share(s) of such foreign investors in their respective statutory funds exceeding 49%, may not be involved, in the Republic of Belarus, in life insurance or compulsory insurance (including compulsory state insurance), or property insurance related to supplies, rendering services or execution of any contractual work for the state needs, as well as in the insurance of property interests of the Republic of Belarus and its administrative and territorial units.

- insure the risk of fulfillment of 10% of their liabilities assumed under any voluntary insurance contracts (other than life insurance) under which their limit of liability exceeds the same fixed by the legislation, with subsequent annual 10-percent increase of insurance of such liabilities, and to do the same only with the insurance organization established by the Council of Ministers of the Republic of Belarus in the form of the state-owned legal person involved in insurance activities in the field of re-insurance only (hereinafter the re-insurance organization), in accordance with the procedure established by the legislation and on the grounds of any signed re-insurance contracts;

- notify such re-insurance organization on any re-insurance contracts signed with any other insurance organizations, in accordance with the procedure established by the Ministry of Finance.

The amount of remuneration payable to any insurance organization from each re-insurance contract signed with the re-insurance organization may not exceed 4% from the amount of insurance fee received by such re-insurance organization under the re-insurance contract.

33. Insurance mediation is an insurance activity carried out by the insurance brokers and insurance agents.

34. Any natural persons, except for individual entrepreneurs, and organizations other than the insurance ones may act as insurance agents.

35. An insurance agent is a natural person that has not a status of individual entrepreneur and carries out, on the basis of a labour contract or any other civil contract, insurance mediation in the field of insurance related to life insurance – in the name of several insurance organizations, and on other kinds of insurance – in the name of only one insurance organization.

In order to be involved in insurance mediation, such natural persons shall have at least general secondary education.

36. An insurance agent is an organization that carries out insurance mediation in the name of any insurance organization on the basis of a civil contract. At that such organization which is a state legal person, or a state bank, or a bank authorized to service the state programs, or a republican state public association, is entitled to carry out insurance mediation in the field of all kinds of voluntary and compulsory insurance. Any other organizations shall only be entitled to carry out insurance mediation in the field of voluntary insurance.

37. The insurance agent acts within its/his/her competence granted by the insurer, and acts on behalf of the name of such insurant when carrying out insurance mediation.

38. The insurer acquires the rights and obligations arising from any actions of the insurance agent.

In the case of lack or exceeding of the powers granted by the insurers to any insurance agent, the insurance contract is deemed concluded, provided the insurer apparently approves such contract subsequently.

Approval of such contract by the insurer creates, changes and terminates civil rights and obligations for him/her/it under the contract, starting from the date of its entering into force.

39. Insurance fees are calculated and received by the insurance agents from the insured in accordance with the procedure established by the legislation and rules of insurance.

The insurance agents are obliged to deliver such received insurance fees to the insurer or to transfer the same to the insurer’s bank account in accordance with the procedure and in time established by the insurer in compliance with the legislation and upon contract with the bank that services such insurer. Such insurance fees shall be in the amount and currency mentioned in the insurance contracts under which the insurance agent has collected the same.

40. The form, system and amount of remuneration of labour of any insurance agent who is a natural person, and payment for services to any insurance agent which is a legal person, are specified in the labour contract or civil contract respectively in compliance with the legislation.

The insurance agents conclude voluntary insurance contracts with any legal persons on unpaid basis.

Any insurance organization is entitled to pay out bonuses to its insurance agent on the basis of the results of entering into voluntary insurance contracts.

41. The subject-matter of activities of any insurance broker is the insurance mediation only.

- receive insurance fees under insurance (re-insurance) contracts, provided the appropriate provision has been included in the contract signed with the insurer;

- render assistance in preparation (drawing up) of the documents required for receipt of insurance fee;

- issue insurance policies (certificates) and any other documents required for conclusion of the voluntary insurance contract;

- render assistance in doing services to any interested parties in the field of insurance risk assessment when concluding insurance contracts, damage assessment and calculation of the amount of insurance money payable, and payment of damages at occurrence of any insured accident.

An exact list of services rendered by any insurance broker, as well as the list of its rights and obligations to the insured and/or insurer is specified in the contracts signed by and between them.

Such contracts shall stipulate the procedure of mutual settlements between the insurance broker and the insurer, time of insurance fees transfer to the insurer’s account, terms and procedure of brokerage payment, and any other terms specified by mutual contract of the parties.

- activities on behalf of any insurance organizations established outside the Republic of Belarus;

- mediation concerned with any kinds of compulsory insurance, re-insurance of any kinds of compulsory insurance;

- mediation concerned with certain kinds of voluntary insurance not mentioned in a special permit (license) for carrying out insurance activities.

- receive, from the insurer, information on insurance tariffs, obligations assumed under insurance (co-insurance, re-insurance) contracts, insurance reserves and the amount of owned capital;

- be engaged in insurance mediation concerned with the kinds of voluntary insurance, re-insurance, in accordance with the works and services included into insurance activities which are listed in a special permit (license) for carrying out insurance activities;

- receive remuneration for services rendered both from the insurer and the insured.

- fulfill its obligations under the contracts concluded with the insured and/or insurers;

- render assistance to the insured in concluding insurance contracts with the insurers that have stable financial standing;

- submit the accounts of its insurance mediation and any other information on its financial and economic activities to the Ministry of Finance in accordance with established procedure.

46. Insurance mediation concerned with concluding insurance contracts in the territory of the Republic of Belarus in the name of the insurance organizations established outside the Republic of Belarus is prohibited.

- coordination of activities of the insurers and insurance brokers being the members of such insurers’ association;

- elaboration and fulfillment of joint action programs by the members of the insurers’ association.

- establish rules and standards of work binding for the members of such insurers’ association;

- cooperate with the authorized state bodies on the insurance issues, render assistance to its members in defending their rights and interests;

49. The articles of formation and the statute are the constituent documents of the insurers’ association.

50. Reorganization and liquidation of the insurers’ association are performed in the order specified for reorganization and liquidation of economic entities, unless otherwise established by the legislative acts.

CHAPTER 6

PROCEDURE OF ACCEPTANCE INTO THE STATE OWNERSHIP

OF INTERESTS IN THE STATUTORY FUNDS,

COMMON (ORDINARY) OR OTHER VOTING SHARES

52. The Republic of Belarus or its administrative and territorial unit may accept such interests (shares) into ownership only on unpaid basis, unless otherwise established by the acts of the President of the Republic of Belarus.

53. For the transfer of interests (shares) of the members into the ownership of the Republic of Belarus, the insurance organization shall file an appropriate application at the Ministry of Finance.

- a decision of the general meeting of shareholders (members) of the insurance organization on unpaid transfer of certain interests (shares) into the ownership of the Republic of Belarus;

- application of each shareholder (member) of the insurance organization on waiver of their preemptive right to purchase interests (shares) disposed of by any other shareholders (members) of such insurance organization (except for an insurance organization established in the form of the open joint stock company);

- copies of any documents evidencing the payment by the insurance organization of interests (shares) to be purchased from its shareholders (members) and transferred into the ownership of the Republic of Belarus;

- copies of the reports drawn up by the auditing commission of the insurance organization, profit and loss statements, auditors’ reports, evidencing the reliability of accounting of such insurance organization for the recent two years certified by its director and chief accountant;

- predictive calculation of profits of the insurance organization (for five years immediately following the month of lodging the application).

54. The documents required for the transfer of interests (shares) into the state ownership are considered by the Ministry of Finance together with the State Committee on Property within a month from the date of receipt thereof.

The Ministry of Finance shall notify the insurance organization about the results of such consideration.

In the case of reasonability to accept such interests (shares) into the state ownership, the Ministry of Finance, in the order established by the legislation submits the respective draft decision of the Council of Ministers of the Republic of Belarus to the Council of Ministers of the Republic of Belarus.

Acceptance of such interests (shares) into the ownership of the Republic of Belarus is carried out by the Council of Ministers of the Republic of Belarus upon the agreement with the President of the Republic of Belarus.

After the Council of Ministers adopts a decision on this issue, the State Committee on Property shall ensure acceptance of interests (shares) into the ownership of the Republic of Belarus in accordance with the procedure established by the legislation.

55. While transferring interests (shares) into the communal ownership the insurance organization submits an application into the regional (Minsk City) executive committee with enclosure of the documents listed in clause 53 of the present Regulations, and the opinions of the Ministry of Finance and the State Committee on Property on reasonability of acceptance of such interests (shares) into the communal ownership.

56. Acceptance of such interests (shares) into the communal ownership is carried out by the regional (Minsk City) executive committee upon the agreement with the President of the Republic of Belarus.

In the case of alienation of interests (shares) from the communal ownership, the regional (Minsk City) executive committee shall, within a month, inform the Ministry of Finance and the State Committee on Property on the decision made.

The order and conditions of formation of insurance reserves are determined by the Ministry of Finance..

The insurance reserves are estimated at the Belarusian roubles and foreign currency in which such insurance organization has collected insurance fees or assumed its obligations on respective kinds of insurance (re-insurance). Allocation and accounting of any funds of such insurance reserves are carried out on special accounts opened for this purpose with the banks that service such insurance organization.

The insurance organizations which are the state legal persons or the legal persons in which statutory funds more than 50% interests (common (ordinary) or any other voting shares) are in the ownership of the Republic of Belarus and/or its administrative and territorial units, place their own funds and funds of the insurance reserves with the state-owned banks. At the same time, the organization’s own funds may be placed in the state securities, the securities of the National Bank, or of local executive and administrative bodies, only through the state banks or structural subdivisions of the National Bank, as well as in the securities of the state banks and in real estate property.

No funds of the insurance reserves may be subject to seizure from the insurance organization; they shall be destined for a special purpose, used only for insurance payments, and may not be included into the cost of property of such insurance organization that falls into the share of each member in the statutory fund. Property purchased at the expense of such funds is subject to separate accounting.

The insurance organization invests and places (allocates) the funds from its insurance reserves in accordance with the procedure specified by the Council of Ministers of the Republic of Belarus upon the agreement with the President of the Republic of Belarus.

The funds of such insurance reserves shall be invested and placed under the conditions of redemption, profitability, liquidity, and diversification.

58. The measure of effectiveness of the insurance organization is a profit to be determined as the difference between its income derived from insurance (including co-insurance, re-insurance) and from investing and other activities related to the subject of its activities, and expenses for carrying out such activities.

59. Solvency of any insurance organizations required for guaranteeing fulfillment of their insurance (co-insurance, re-insurance) obligations are assessed in accordance with solvency criteria to be determined by the Ministry of Finance.

The insurer that has assumed the obligations exceeding its solvency, is obliged to conclude a contract of re-insurance of a portion of the insurance risk assumed by the same under the respective insurance contract.

60. The details of carrying out accounting and reporting of insurance organizations are specified by the Ministry of Finance. The Ministry of Finance specifies the scope and the term of submission, by the insurance organizations, of their financial reports required for fulfillment of its control function.

The insurance organizations shall, in accordance with the procedure and in time established by the legislation, publish their annual balance sheets and profit and loss statements after confirmation by the auditors of reliability of data contained therein.

62. Such guarantee funds are formed by the insurer in Belarusian roubles and accounted separately, regardless of any other insurance reserves.

63. The rate of deductions to the guarantee funds is 2% for compulsory kinds of insurance, and 1% for the kinds of insurance related to life insurance.

64. The insurer shall monthly, by the 22nd day of the month immediately following the reporting one, transfer cash resources of such guarantee funds to the republican budget.

65. The insurers are obliged to transfer, to the republican budget, cash resources of any guarantee funds formed prior to entering into force of the Edict which has approved the present Regulations, within a month after the entry into force of this Edict.

66. Cash resources of guarantee funds are used according to the intended purpose and are allocated to the insurer by a decision of the President of the Republic of Belarus, in the case of impossibility to fulfill its respective obligations on the kinds of insurance related to life insurance, compulsory kinds of insurance (except for compulsory state insurance), compulsory insurance against accidents at workplace and occupational diseases, compulsory insurance of civil liability of transportation means owners, unless otherwise provided for by the President of the Republic of Belarus.

67. Cash resources of guarantee funds not spent within a fiscal year are used in the following fiscal year in accordance with the procedure established by the legislation.

68. The insurance organizations are obliged to form funds of precautionary (preventive) measures at the expense of insurance fee collected from the kinds of compulsory insurance (except for compulsory state insurance) and the kinds of voluntary insurance (except for voluntary supplementary pension insurance).

As regards voluntary life insurance, insurance of medical expenses, compulsory kinds of insurance (except for compulsory insurance of liability of any commercial organizations involved in realtors’ activities against any damage inflicted in connection with carrying out thereof, compulsory insurance with state support of harvest of crop, cattle and poultry, compulsory insurance of civil liability of temporary (crisis) managers in economic insolvency (bankruptcy) proceedings) the President of the Republic of Belarus annually fixes the rate of deductions to the funds of precautionary (preventive) measures , as well as the order and purposes of use of the sources thereof.

As regards compulsory insurance of liability of the commercial organizations involved in realtors’ activities against any damage inflicted in connection with carrying out thereof, compulsory insurance with state support of harvest of crop, cattle and poultry, compulsory insurance of civil liability of temporary (crisis) managers in economic insolvency (bankruptcy) proceedings, the details of formation and spending of assets from the funds of precautionary (preventive) measures are specified in chapters 16, 17 and 18 of the present Regulations.

Funds of precautionary (preventive) measures have designated purpose and are used for financing the measures aimed at reducing probable losses from insured accidents and at preventing them.

Assets are deducted to preventive measures funds in Belarusian roubles and accounted separately from assets of other funds and insurance reserves.

The insurer shall monthly, by the 22nd day of the month immediately following the reporting one, transfer assets from the funds of precautionary (preventive) measures formed for voluntary life insurance, insurance of medical expenses, compulsory insurance, into the republican budget.

Amount of assets deducted to the funds of precautionary (preventive) measures, the order and purposes of use of such funds on the kinds of voluntary insurance (except for voluntary life insurance and insurance of medical expenses) are determined by the Council of Ministers of the Republic of Belarus.

70.1. supervision over compliance by insurers, insurance mediators, and insurers’ associations with the requirements of the legislation on insurance;

70.2. supervision over fulfillment by insurance organizations and insurance brokers of the legislation on labour remuneration;

70.3. control over financial standing and financial outcomes of activities of any insurance organizations, including observance of:

- the standards established by the legislation including the rate of expenses for the business administering;

- structure and value of tariff rates by the kinds of compulsory insurance including the rate of deductions to the guarantee funds and funds of precautionary (preventive) measures ;

71. In the course of the state supervision over the activities of the insurance organizations, the Ministry of Finance is entitled in the established order to:

71.1. perform inspections of compliance of the insurance organizations, their separate subdivisions and insurance mediators with the legislation on insurance;

71.2. submit to the insurance organizations and insurance brokers prescriptions obligatory for the fulfillment according to elimination of any violations discovered;

71.3. apply to such insurance organizations, insurance brokers or the officials thereof any sanctions for infringement of the legislation of insurance;

71.4. make decisions on suspension or termination of special permits (licenses) for carrying out insurance activities issued to such insurance organizations and insurance brokers;

71.5. apply to the economic court for insolvency (bankruptcy) of any insurance organization, insurance broker;

71.6. receive from such insurance organizations and insurance brokers any prescribed accounts as regards insurance activities and insurance mediation, and any other information on their financial and economic operations necessary for supervision over insurance activities, apply for such information to other state bodies, banks, non-banking financial institutions, other legal persons and naturals persons;

71.7. institute a mandatory audit (if necessary), enlist the services of any experts to participate in the same, at the expense of funds of such insurance organization, insurance broker;

SECTION II

COMPULSORY KINDS OF INSURANCE

CHAPTER 10

PROCEDURE AND CONDITIONS OF COMPULSORY INSURANCE

OF THE STRUCTURES BELONGING TO THE CITIZENS

73. The subject of compulsory insurance of the structures belonging to the citizens shall be the property interests of the citizens of the Republic of Belarus, foreign citizens and stateless persons (hereinafter in this Chapter “the insured”) related to loss (destruction) or damage of such structures registered in accordance with the procedure established by the legislation and belonging to such citizens by the proprietary right, and are permanently used for residence and keeping household by such owner or their family members or any other persons by consent of the owner.

The structures for the purposes of mentioned compulsory insurance are dwelling houses and adjoining structures, apartments in the blocked dwelling houses.

74. In the case of death of the insured , the beneficiaries under compulsory insurance of the structures belonging to the citizens are deemed to be his/her heirs.

75. The following are not subject to compulsory insurance of the structures belonging to the citizens:

- structures in the settlements used intermittently by the citizens as garden lodges (summer cottages);

- husbandry constructions (subsidiary and outbuildings), garages detached from the dwelling house;

76. Local administration bodies are obliged to render assistance to the insurers in compulsory insurance of the structures belonging to the citizens, and submit annually, by request of the same, the lists of stuctures permanently used for residence and keeping household by their owner or their family members or any other persons by consent of the owner.

The organizations engaged in the state registration of immovable property, rights thereto and transactions therewith, shall submit free of charge, by request of the Belgosstrakh, the documents and information on the real estate objects registered in the Unified State Register of Immovable Property, Rights Thereto and Transactions Therewith, as required for keeping records of such objects for compulsory insurance of structures belonging to the citizens.

77. Insured accidents under such compulsory insurance of structures belonging to the citizens are loss (destruction) of such structures as a consequence of strong wind (including squall, sandstorm, hurricane), hail, heavy rain, heavy snowfall, hard frost, intense heat, and other dangerous natural phenomena, which by their strength, extent of spreading and/or duration can cause damage to the buildings, high water (as a consequence of flood, freshet, jam, obstruction), vent of subsoil water, subsidence of ground, landslide, mudslide, earthquake, lighting stroke, fire, explosion, damage of a heating system or water-supply or drainage system, aircraft downfall, as well as the cases when it is necessary to demolish such structures or carry them to another place in order to stop propagation of fire or because of a sudden threat of a natural disaster mentioned in this clause.

78. The sum insured under compulsory insurance of any structures belonging to the citizens makes 50% of insurable value (insurance valuation) (hereinafter in this Chapter “insurable value”) of the structures subject to this kind of insurance.

79. Registration of the structures subject to compulsory insurance, and assessment of insurable value thereof shall be made by the insurer annually as of January 1.

80. In the case of the structures are in the shared ownership, each part thereof is subject to the accounting proportionally to the shares of the members of shared ownership to those structures. 81. Insurable value of structures is assessed in compliance with the statutory procedure of assessment of any buildings and structures belonging to natural persons.

82. Insurable value of the structures shall be assessed in the obligatory presence of the insured or his/her authorized person.

83. Should the insured disagree with such assessed insurable value of the structures, it/he/she is entitled to apply to the expert for assessment. Services of such expert are performed at the expense of the insured.

84. Should the structure, which is the subject to compulsory insurance, be transferred to another owner, the rights and liability of the insured pass to such new owner, provided the same for residence permanently uses such structure and keeping household. In all other cases of transferring the right of ownership, the insurance is terminated from the date of change of the right of ownership.

85. While detecting missed structures , the insurer assesses insurable value thereof as of January 1 of the current year.

86. Any erected, reconstructed, overhauled structures after their registration in the order established by the legislation are accounted for assessing their insurable value and calculating insurance fee for the succeeding calendar year.

87. Insurance fee is calculated by the insurer on the basis of insurance tariffs fixed by the President of the Republic of Belarus.

88. The insurer calculates the amount of insurance fee as of January 1 of the current year.

89. The amount of insurance fee payable may not exceed 0.5% of such insurable value.

90. The insurer shall annually, by May 1, send to the insured by registered mail information containing the following:

91. Should the composition and value of such structures change within the current year, no recalculation of insurance fee for the current year shall be made.

93. Should any insured fail to comply with the time of payment of insurance fee, a penalty shall be charged at the rate of 1/360 of refinance rate of the National Bank per each day of delay.

94. In the case of refuse of the insured to pay insurance fee and/or a debt on the same or penalties, it is charged by the court.

95. The following insured are exempted from payment of insurance fees under this compulsory insurance:

- disabled veterans of World War II and the persons equated with the same; as well as persons whose structures are in shared ownership of the spouses one of which is a disabled veteran of World War II or a person equated with the same;

- not-employed pensioners and disabled people whose amount of pension for January of the current year has not exceeded three base units fixed as of January 1, provided no able-bodied family members reside together with the same or, if reside, do not keep joint household with the same;

- citizens whose total revenue for the past calendar year per one family member has not exceeded three base units per month.

96. The amount of insurance fee under this kind of compulsory insurance shall be reduced by 50% for any not-employed pensioners and disabled people whose amount of pension for January of the current year has not exceeded four base units fixed as of January 1, provided no able-bodied family members reside together with the same or, if reside, do not keep joint household with the same.

97. Exemption from payment of insurance fees or granting preferences as regards payment of insurance fees is made on the basis of the insured’s application lodged not later than by April 1 of the current year with Belgosstrakh representative office located in the district where structures belonging to such insured are located.

98. certificates evidencing of the amount of a pension, salary and any other income, extracts from the house-register (copies of a personal account) are requested by the insurer from the appropriate organizations in accordance with established procedure or submitted by the insured at his/her wish.

99. The insurer takes a decision upon consideration of such mentioned application and the documents enclosed thereto and notify thereof such applying citizen in writing within fifteen days from receipt of the application and the documents enclosed thereto.

100. A decision on exemption from payment of insurance fee or reduction the amount thereof is valid within one calendar year.

101. The application for exempt from payment of insurance fee or reduction the amount thereof may be rejected if no grounds thereto exist.

102. Should it become known that a citizen has deliberately submitted false evidences on which grounds he/she has been exempt from payment of insurance fee or the amount thereof has been reduced, such insurance fee under compulsory insurance of the structures belonging to the citizens are collected from him/her in the order established by the legislation.

103. Should any insured accident occur, to the insured, who has been exempt from payment of insurance fee or for whom the amount of insurance fee has been reduced, the insurance money for loss (destruction) of his/her structure shall be paid by the insurer in accordance with the procedure established by the present Regulations.

104. At payment of insurance money the amount payable is reduced by the amount of insurance fee or penalty charged but unpaid by the insured.

105. The period of compulsory insurance of the structures belonging to the citizens is fixed annually from January 1 till December 31.

106. Should within the period of insurance any insured cease to use his/her insured structures for permanent residence or household keeping, insurance shall terminate from the date of cessation of such permanent residence in the structure.

107. The insured is obliged to notify, within five days, the insurer of cessation of use of his/her insured structure for permanent residence and household keeping. At that the insured is reimbursed for the portion of insurance fee proportionate to the time remaining to expiration of insurance, within three working days from filing written application by such insured.

108.2. notify the insurer of any change of the title for his/her structures, or cessation of use such insured structure for permanent residence and household keeping;

108.3. should any event occurs which consequently may be recognized as an insured accident, the insurant is obliged to:

- take measures for reduction of the extent of damage and follow the instructions of the insurer (if any);

- notify immediately, after he/she has become aware, the appropriate bodies of internal affairs, bodies or divisions of emergency situations, emergency services, of destruction of or damage to his/her structures as a result of such event;

- submit, not later than within 3 working days following loss (destruction) of such structures, a written application to the insurer and submit an inventory of such lost or destroyed structures;

- preserve the structures in the condition in which they have come to be in consequence of such event, until arrival of the insurer’s representatives.

In the case of impossibility of the insured to perform the actions mentioned in subclause 108.3 of the present clause, such actions may be performed by any family member of the full legal age who resides with such insured, or by any person authorized by such insured, or by the beneficiary.

109. After the insurer has received the application of the insured or of his/her authorized persons or of the beneficiary stating the loss (destruction) of or damage to his/her structures, it is obliged to:

109.2. make inspection of such destroyed or damaged structures within three working days from the date of lodging the application, and draw up an inspection report on the loss (destruction) of or damage to such structures.

One copy of the inspection report on the loss (destruction) of or damage to the structures is drawn up for each insured, in the mandatory presence of the insured of his/her authorized person (beneficiary) and two witnesses; it is signed by all persons who have participated in drawing up thereof, and attested with the insurer’s seal;

109.3. request, within three working days from the date of inspection, from the authorized bodies and institutions (the law-enforcement bodies, the state fire prevention service, the state hydrometeorological service, etc.) about all necessary documents evidencing of the circumstances and causes of destruction or damage to such structures which may be recognized as an insured accident subsequently;

109.4. make a decision on recognizing or non-recognizing such event as an insured accident or on refusal to pay out insurance money, on the grounds of such obtained necessary documents;

109.5. in the case of recognizing the stated event as an insured accident, the report of the insured accident and calculation of losses shall be made within three working days.

Should it be batch damage to the structures when 50 and more reports of the insured accident are drawn up, the time of drawing up such reports are extended by the insurer up to one month; and when 500 and more reports are drawn up, the time of drawing up such reports are extended up to two months;

109.6. should such events be recognized as an insured accident, insurance money shall be paid within the terms fixed by the present Regulations.

110. After receipt of the application and drawing up the inspection report on the loss (destruction) of or damage to certain structures, the insurer is obliged to check-up accuracy of assessment of insurable value, fixing the sum insured, and charging insurance fees.

111. Accuracy of assessment of insurable value of any destroyed or damaged structure is checked-up on the basis of the documents on the value of such structure, and at the scene through inspection of such damaged structure, and on the basis of the debris thereof. Copies of the documents on assessment of insurable value of such structures (assessment lists, technical logs or inventory files for the house and grounds, etc.) shall be enclosed to the report.

112. Should it be ascertained in the course of inspection that insurable value of the lost (destroyed) or damaged structure was not assessed or was inaccurately assessed, insurable value thereof shall be assessed or adjusted as of the date of inspection; the appropriate document shall be drawn up to than end, indicating the reason of drawing up the same. The amount of damage in this case is calculated on the basis of the newly assessed or adjusted insurable value of the structure .

113. Should a criminal case be instituted based on the fact of loss (destruction) of or damage to any structure and should the insured (beneficiary) be the accused, the insurer has the right to make a decision on recognizing/non-recognizing the event an insured accident following the verdict of the court.

in case of loss (destruction) of any insured structures – on the basis of their actual value as of the date of occurrence of the insured accident, without taking account of the value of the remainder fit for further use according to its initial purpose, but taking account of depreciation thereof;

in case of damage of the insured structures – on the basis of their replacement cost calculated on the basis of prices for similar materials (equipment) and job rates in force as of the date of the insured accident.

115. Any insurance money payable is calculated at the rate of 50% from the amount of damage calculated in accordance with clause 114 of the present Regulations, but not exceeding the sum insured per each structure calculated as of January 1 of the year within which such insured accident has occurred.

116. Insurance money is paid to the insured or the person entitled to be paid the same in accordance with the legislation, in cash or by cashless settlement (by their wish) within five working days from the date of signing the report of the insured accident by the insurer.

117. The insurer has the right to refuse to pay insurance money for the structures lost (destroyed) or damaged by a fire, provided the insured has committed gross negligence or has violated fire safety rules and/or the rules of storage of flammable or explosive substances and articles.

118. A decision to refuse to pay insurance money, containing justification of such refusal, is informed in writing to the insured or the person entitled thereto in compliance with the legislation, within five working days from the date of making the same.

120. For the tasks of compulsory insurance of civil liability of transportation means owners the following main terms are to be used:

“transportation means, which owners’ civil liability is a subject to compulsory insurance” means any lorries, cars, goods-and-passenger carriers, trucks, buses, trolleybuses, trams, cycle-cars, and motorcycles, motor scooters, special purpose vehicles (field ambulances, fire-engines, etc.), tractors (including any transportation means designed on the basis thereof), single-bucket wheel loaders, motor-driven graders, self-propelled vehicles for maintenance and repair of roads (except for earth movers), trailers and semi-trailers for such automotive vehicles, which are subject to the state registration and are used in the traffic within the territory of the Republic of Belarus, as well as imported to such mentioned territory for temporary use and chassis of lorries, trailers to them, goods-and-passenger carriers, trucks manufactured in the Republic of Belarus and being delivered to the consumer or to the place of state registration under their own power (further in this chapter – transport facilities);

“owners of transportation means” means any legal persons and natural persons that/who are the owners or other lawful holders of any transportation means in accordance with the legislation (by virtue of the right of economic management, operative administration, or on the grounds of a lease contract or a power of attorney for driving such transportation means or on any other grounds stipulated by the legislation or contract);

“driver” means a natural person who drives the transportation means, except for the person who is instructed in driving any automotive vehicle (takes his/her practical promotional examination for the right to drive any automotive vehicle). A person who instructs in driving any automotive vehicle (administers a practical promotional examination for the right to drive any automotive vehicle) and sits therein on this account, shall be deemed a driver;

“traffic accident” means an accident committed with participation of at least one moving automotive vehicle, in consequence of which damage to health or life of a natural person or to his/her property or to the property of a legal person has been inflicted;

“victim” means a person to whose health, life and/or property a damage was inflicted as a consequence of a traffic accident registered by the State Automobile Inspection of the Ministry of Internal Affairs;

“insured” means an owner of the transportation means who has concluded a contract of compulsory insurance of civil liability of transportation means owners;

“insurer” means insurance organization which is a state-owned legal person or a legal person the statutory fund of which consists of more than 50% of interests (common (ordinary) shares or any other voting shares) owned by the Republic of Belarus and/or its administrative and territorial units; which has a special permit (license) for carrying out insurance activities, in particular, for compulsory insurance of civil liability of transportation means owners; and is a member of the Belarusian Bureau;

“use of transportation means” means running of such transportation means in traffic;

“placing of transportation means” means stop or parking of transportation means in accordance with the Rules of the Road approved by the Edict of the President of the Republic of Belarus No. 551 of November 28, 2005 “On Measures for Road Safety Improvement” (National Register of Legal Acts of the Republic of Belarus, 2005, No. 189, 1/6961) (hereinafter the Rules of the Road);

“Green Card” System” means an international system of motor transport insurance to which the Republic of Belarus is a member state.

121. The compulsory insurance object are the property interests related to civil liability of the transportation means owners for a harm inflicted to life or health of natural persons, or to their property or to the property of legal persons, in consequences of traffic accidents.

122. The following kinds of contracts of compulsory insurance of civil liability of transportation means owners are concluded in writing in the Republic of Belarus:

The “Green Card” insurance contracts concluded with the insurance organizations of the system “Green Card” member-states are valid in the territory of the Republic of Belarus provided their authorized organizations have concluded contracts of compulsory insurance of civil liability of transportation means owners with the Belarusian Bureau, the “Green Card” insurance contracts concluded between the Belarusian insurance organizations and transportation means owners – non-residents of the Republic of Belarus are valid in the territory of the Republic of Belarus as well.

The “Green Card” insurance contract concluded between the transportation means owner – resident of the Republic of Belarus and the insurance organization of the system “Green Card” member-state in respect of a transportation means, purchased outside the territory of the Republic of Belarus is valid in the territory of the Republic of Belarus prior to the state registration of this transportation means in the State Automobile Inspection of the Ministry of Internal Affairs.

The Ministry of Internal Affairs, the Ministry of Transport and Communications and the Border Committee carry out control over the transportation means owners (drivers) to have the contracts of compulsory insurance of civil liability of transportation means owners.

123. The internal insurance contract is concluded with the owner who is a resident of the Republic of Belarus or with a non-resident of the Republic of Belarus who temporary stays in the territory of the Republic of Belarus, on all transportation means used in the traffic within the territory of the Republic of Belarus.

An insurance license is a document issued according to the established form, certifying conclusion of such internal insurance contract.

The boundary insurance contract is concluded with the owner or, in the owner’s name, with a driver, that/who is a non-resident of the Republic of Belarus and has no an internal insurance contract or a “Green Card” insurance contract, being valid in the territory of the Republic of Belarus, on transportation means entering the territory of the Republic of Belarus.

An insurance policy is a document issued according to the established form, certifying conclusion such boundary insurance contract.

The “Green Card” insurance contract is concluded with the owner on transportation means registered in the Republic of Belarus, which leaves its territory for participation in the traffic of the system “Green Card” member-state, and also with the owner of transportation means registered in the state that is not a member of the “Green Card” system, provided that the Belarusian Bureau has concluded the contract of compulsory insurance of civil liability of transportation means owners with an authorized organization of such state.

An insurance certificate is a document issued according to the established form, certifying the conclusion of such “Green Card” insurance contract.

The Belarusian Bureau upon the agreement with the Ministry of Finance approves the forms of the insurance license, insurance policy and insurance certificate.

The Belarusian insurance organizations are entitled to commit to insurance organizations of the states that are not “Green Card” system member-states to conclude “Green Card” contracts in their name.

124. An insured accident is deemed to be the fact of inflicting harm to life, health and/or property of the victim suffered as a result of any traffic accident within the period of the internal, boundary, or valid on the territory of the Republic of Belarus “Green Card” contract, in which connection insurance money is paid in accordance with the present Regulations.

125. The following facts of inflicting damage are not deemed to be insured accidents:

to life, health and/or property of the person occurred as a consequence of force majeure circumstances or due to intent of the victim;

to the owner (a driver) of any transportation means, provided he/she has been recognized a person who has inflicted damage in a result of the same traffic accident;

to the transportation means, and any equipment mounted therein, and any goods transported thereby, or to any person sitting therein, provided such damage has been inflicted by the person driving such transportation means;

to the property in the form of cash, jewelry, securities, documents and collections;

as a result of any traffic accident not registered by the State Automobile Inspection of the Ministry of Internal Affairs;

as a result of use of the transportation means for any sporting contests, rallies, coaching, as well as in areas not destined for road traffic;

as a result of any military actions and events, and any consequences thereof, or a civil war, civil unrest and strikes;

pollution of the environment, or damage to its objects as a result of such traffic accident;

to the owners of transportation means whose civil liability is subject to compulsory insurance according to the present Regulations (i.e. railway transport, cartage, bicycles, motorized bicycles, motor-units, agricultural machines, land-improvement machines, construction machines and other transportation means not mentioned in part two of clause 120 of the present Regulations, as well as any transport facilities of the Armed Forces not used for the economic activities);

by the cargo dropped from the transportation means, or by any article that has dashed from under the wheel, or due to operation of any mechanism mounted on the transportation means (operation of a hoisting truck crane, sand spreader, etc.);

to the victim, provided he/she has failed to preserve his/her transportation means and/or other lost (destroyed) or damaged property in its post-damage state until the inspection thereof by the valuator’s experts with a view to assess the value of such transportation means, or until the inspection by the specialist of the insurer (Belarusian Bureau) is made in accordance with clause 167 of the present Regulations, in case it prevents from reliable ascertaining the occurrence of such insured accident and/or assessment of the amount of recoverable damage;

by transpotration means owners – to each other or to anyone of them, provided their transportation means have been hitched to each other or otherwise coupled to each other;

as a result of interaction of several transportation means belonging to the same owner in one and the same traffic accident, provided such owner is both a tortfeasor and a victim.

In all listed cases, a victim or any heir thereof may raise a claim for payment of damages against the person who has inflicted the same, in accordance with the legislation.

126. The limits of liability within which the insurer is obliged to reimburse the victims for any damage incurred as a consequence of each insured accident (irrespective of quantity thereof) occurred in the territory of the Republic of Belarus within the validity period of the internal insurance contracts, boundary insurance contracts, and “Green Card” insurance contracts valid in the territory of the Republic of Belarus are fixed by the President of the Republic of Belarus.

127. In the case the amount of insurance money exceed such fixed limits of liability, the victim or his/her heir is entitled to claim for payment of damages to the sum exceeding such fixed liability against the person who have inflicted damage.

Owners of transportation means may additionally conclude voluntary civil liability insurance contracts to guarantee full reimbursement of damage, inflicted to the victim’s life, health or property, if the amount of insurance payment under the contract of compulsory insurance of civil liability of transportation means owner is deficient for such reimbursement, as well as contracts of voluntary insurance of surface transport facilities.

128. The amount of insurance fee under the internal insurance contract concluded with the resident of the Republic of Belarus is differential depending on the type of the transportation means, its performance specifications, term of insurance and insurable risk, and is adjusted in regard the location (place of residence) of the owner of such transportation means, length of driving experience of the insured – a natural person, and accident rate of use of such transportation means. Adjustment coefficients applied to insurance fee, and the rules of application of a deduction and bonus system on the basis of the accident rate of use of such transportation means (bonus – malus system) under internal insurance contracts are fixed by the President of the Republic of Belarus.

under the boundary insurance contract and internal insurance contract concluded with any non-resident of the Republic of Belarus temporary staying in the territory of the Republic of Belarus – depending on the type of his/her transportation means and term of insurance thereof;

under the “Green Card” insurance contract – depending on the type of the transportation means, the country to which territory the owner (driver) of such transportation means will travel, and the term of insurance.

Natural persons who are the residents of the Republic of Belarus, who have received their transportation means free of charge or on beneficial terms from the bodies of labour and social protection or from Belgosstrakh in connection with compulsory insurance against accidents at workplace and occupational diseases, as well as any disabled veterans and persons equated with the same, pay insurance fees under any internal insurance contracts at the rate of 50% of the amount of such insurance fee, provided they use their transportation means personally.

Insurance fee under the internal insurance contract may not be reduced, on all grounds, for a certain transportation means more than by 50%; and for the persons who have received their transportation means free of charge or on beneficial terms from the bodies of labour and social protection or from Belgosstrakh in connection with compulsory insurance against accidents at workplace and occupational diseases, as well as for any disabled veterans and persons equated with the same it may not be reduced by more than by 70%.

129. The contract of compulsory insurance of liability of the transpotration means owner concluded for a certain transportation means covers all persons entitled to drive such transportation means according to the legislation.

130. Generally, insurance fee is paid as a non-recurring payment. At the conclusion of internal insurance contract for a period of one year, insurance fee may be paid twice: 50% is paid while concluding that contract, and the remaining 50% is paid within six months from the date of entering such contract into force.

The amount of insurance fee under any internal insurance contract, with exception of the insurance contract concluded with a non-resident of the Republic of Belarus, shall be denominated in Belarusian roubles on the basis of the official rate of Belarusian rouble to Euro fixed by the National Bank:

Such insurance fee is paid in a free convertible currency or Russian roubles – for any boundary insurance contract or internal insurance contract concluded with a non-resident of the Republic of Belarus; and in a free convertible currency – for any “Green Card” insurance contract.

131. Should any insured, within the period of the internal insurance contract, has started to use its/his/her transportation means as a taxi or for passengers carriage in regular traffic or by any other reason has increased the insurable risk, such insurer shall lodge the appropriate application with the insurer and pay the remainder of insurance fee,

In the case of reduction and absence of insured accident within the period of the internal insurance contract, the insured has the right to receive a portion of insurance fee for the period equal to the number of full months past from the date of lodging the respective application and to the expiration of the term of insurance, less the sum (pro rata to such portion) deducted to the preventive measures fund and guarantee funds of the Belarusian Bureau, and a commission fee paid.

In the case of seasonal use of the transportation means the contract may be concluded for a period from one to two months.

While purchasing and receiving the transportation means prior to the registration thereof the specified contract shall be concluded for a period of fifteen days.

133. The owner of transportation means or the driver who is a non-resident of the Republic of Belarus, if enters into the territory of the Republic of Belarus, shall conclude the boundary insurance contract for the entire period of use of his/her transportation means within mentioned territory, but not less than for 15 days (360 hours).

In the case of refusal of the owner (driver) of such transportation means to conclude a contract, the transportation means is not subject to entry into the territory of the Republic of Belarus.

No boundary insurance contract shall be concluded at the entry into the territory of the Republic of Belarus, provided the owner of the transportation means has insured his/her civil liability in the state, which authorized organization and the Belarusian Bureau have concluded the contract of compulsory insurance of civil liability of transportation means owners.

134. Prior to travel to the “Green Card” system member states, which authorized organization and the Belarusian Bureau have concluded the contract of compulsory insurance of civi liability of transportation means owners, the owner of any transportation means shall sign the “Green Card” insurance contract for the entire period of use of his/her transportation means abroad, but not less than for 15 days.

135. According to this chapter the internal insurance contracts and boundary insurance contracts valid in the territory of the Republic of Belarus, and the “Green Card” insurance contracts are concluded with the transportation means owners.

The driver does not bear the obligation of conclusion of internal insurance contract, except for the owner of the transportation means.

In relation to transportation means not participating in traffic, the conclusion of insurance contract in not obligatory.

136. The insured has the right to choose the insurer which has grounds according to legislation for signing respective kind of insurance contract, and the insurer has no right to refuse of conclusion of such contract with the insured.

137. In order to conclude the internal insurance contract, the owner of transportation means lodges an application with the insurer which contents is determined by the Belarusian Bureau, and submits a vehicle registration document or any other document evidencing of its/his/her right to own such transportation means. Natural person also submits his/her identity document to the insurer.

Should any insured deliberately submit false information in his/her application, or should the insured fail to notify the insurer of increase of the insurable risk within the period of the internal insurance contract, which fact has entailed underpay of insurance fees, the insurer has the right to demand of payment thereof in corpore. Should this be ascertained after occurrence of any insured accident, the insurer has the right to choose in action according to clause 178 of the present Regulations.

The boundary insurance contract and the “Green Card” insurance contract are concluded on the basis of a vehicle registration document without lodging an application.

Only one contract of the appropriate kind of insurance may be signed with any one transportation means owner. All subsequent insurance contracts with concurrent periods of validity are recognized in the established order to be invalid.

138. The insurance contract enters into force from the moment of payment of insurance fee (or any portion thereof) in cash, or by request of the insured – from any date within a month from payment such insurance fee. While depositing the insurance fee (part thereof) by cashless settlement, the insurance contract enters into force from the moment of issue of an insurance certificate (insurance policy, insurance license) or, by request of the insured, from any date within a month from issue thereof. At the conclusion of the insurance contract prior to expiration of the preceding one, it enters into force from the date of expiration of such preceding contract.

The internal insurance contract may be concluded for a new period not exceeding one month prior to expiration of the preceding contract. Should any insured accident occur within this period, the insured is obliged to pay the remainder of insurance fee to the insurer, on the basis of an adjustment coefficient of accident rate of use of such transportation means as fixed by the President of the Republic of Belarus.

139. The insurance certificate (insurance policy, insurance license) is issued to the insured:

while paying insurance fee (part thereof) by cash resources simultaneously with its payment;

while paying insurance fee (part thereof) in the cashless order with the exception of the case specified by indent four of the present part not earlier than a day of the receipt of funds to the insurer’s account;

in the case of payment of the insurance fee with using bank plastic card – at the day of documentary proof of performing such clearing transaction.

In the case of lost of the insurance certificate (insurance policy, insurance license) within the period of the respective insurance contract, a duplicate document is issued by the insurer to the insured upon the written application. After issuance of such duplicate the lost insurance certificate (insurance policy) is deemed null and void, and no payment shall be made under the same.

140. While using transportation means in the traffic within the territory of the Republic of Belarus, the driver is obliged to have with him/her the insurance license (insurance policy, insurance certificate valid in the territory of the Republic of Belarus) to be submitted to the officer of the State Automobile Inspection of the Ministry of Internal Affairs upon his/her request.

141. The State Automobile Inspection of the Ministry of Internal Affairs and other authorized state bodies carry out registration and re-registration and checkup of transportation means only if an appropriate insurance license (insurance policy, insurance certificate of a foreign insurance organization, valid in the territory of the Republic of Belarus) is available with the owner except for the case provided for in part three of clause 135 of the present Regulations.

142. At departure of any transportation means, registered abroad, from the territory of the Republic of Belarus, the insurance policy (insurance license, insurance certificate valid in the territory of the Republic of Belarus) shall be produced by the driver at the border to the official of the body of border service or of the Ministry of Transport and Communication.

Should any transportation means be used in the traffic in the territory of the Republic of Belarus without signing the appropriate insurance contract or longer than the period of the appropriate insurance contract, the person who drives such transportation means shall be brought to responsibility, at that no insurance contract is concluded.

143. At departure of any transportation means registered in the Republic of Belarus to the “Green Card” system member states, the insurance certificate issued by the Belarusian insurer and valid in such countries is produced by the driver at the border to the official of the body of border service or of the Ministry of Transport and Communication.

144. The insurance contract is terminated at expiration of its period or failure of the insured to pay the second portion of insurance fee in due time.

An insurance contract may be terminated before the appointed time in cases of disposal of the transportation means, or impossibility to use the same due to any circumstances beyond control of the insured (loss or destruction of such transportation means not connected with any insured accident under this kind of insurance, withdrawal from ownership due to unlawful actions of any other persons), or liquidation of the insured – legal person, or writing off such transportation means from the balance sheet of the legal person, or early termination of any contract of gratuitous use (provided the insurer is a loan recipient (lessee)), and at any other reasonable excuse.

A written application of the insured together with an insurance certificate (insurance policy, insurance license) and a copy of the document evidencing the opportunity to terminate the insurance contract is the ground for early termination of the same.

In the case of decease of the insured , the insurance contract may be terminated by an application of his/her heirs.

Should any insurance contract be terminated before the appointed time, the insurer shall repay to the insured (his/her heirs) a portion of insurance fee for the period equal to the number of full months past from the date of lodging the respective application and to the expiration of the term of insurance, less the sum (pro rata to such portion) deducted to the preventive measures fund and guarantee funds of the Belarusian Bureau, and a commission fee paid.

In the case of termination of the insurance contract prior to entering into force, the insured is repaid insurance fee in full.

A portion of insurance fee is not subject to repayment under the early terminated insurance contract if insurance money has been paid under the same.

If in the cases specified in part 2 of the present clause (except for liquidation of the insured - legal person), the application for early termination of the insurance contract has not been submitted to the insurer such contract is valid up to the date of its expiration.

145. Should any other transportation means be purchased or received to replace the disposed transportation means, or should a legal person be reorganized, the insurance contract may be re-issued for the period remaining to the expiration thereof, for such new transportation means or with the assignee of such legal person. Should the amount of insurance fee for such purchased or received transportation means be larger than for the disposed one, the insurance contract may be re-issued only subject to additional payment of the respective portion of insurance fee.

Should the insured fail to terminate the insurance contract before the appointed time and re-issue the same for such transportation means purchased or received to replace the disposed one, he/she shall be entitled, by his/her written application, to transfer such insurance contract to the insurance organization for re-issuing the same for a new owner.

146. The Belarusian Bureau has been established for carrying out compulsory insurance of civil liability of transportation means owners in the Republic of Belarus.

147. The Belarusian Bureau carries out its activities in accordance with the Statute of the Belarusian Transport Insurance Bureau approved by the President of the Republic of Belarus.

148. In order to fulfill its obligations to the insured and victims, the Belarusian Bureau forms the following guarantee funds:

the insurance guarantee fund for compulsory insurance of civil liability of transportation means owners – with a view to ensure solvency of the Belarusian Bureau at mutual settlements with the authorized organizations of any other countries with which the Belarusian Bureau has concluded contracts of compulsory insurance of civil liability of transportation means owners (or mutual recognition of such insurance contracts and mutual regulation of issues concerned with compensations for losses to, and making settlements with a victim);

the fund for protection of traffic accident victims – with a view to making settlements with the accident victims in cases provided for by the Statute of the Belarusian Bureau.

The Regulations on such mentioned funds are approved by the Council of Ministers of the Republic of Belarus at the suggestion of the Belarusian Bureau.

as regards the internal insurance contracts and boundary insurance contracts – to the Belarusian Bureau’s fund for protection of traffic accident victims (up to 10%);

s regards the “Green Card” insurance contract – to the Belarusian Bureau’s insurance guarantee fund for compulsory insurance of civil liability of transportation means owners (up to 10%).

Such deductions include prime cost of insurance services and shall be taken into account for the task of taxation of insurance organizations.

The exact rate of deductions is fixed by the Council of Ministers of the Republic of Belarus.

The amount of entrance fees (paid by the insurer, when joining the Belarusian Bureau, at the expense of profits remaining at its disposal) allocated for formation of the insurance guarantee fund and the fund for protection of traffic accident victims makes Euro 100 000 and Euro 60 000 respectively.

149. The Belarusian Bureau has the right in action against the insurer concerning any amount paid to the victim, at ascertaining the circumstances under which insurance money for the damage inflicted has to be paid by such insurer.

The insurers may not pay insurance money in cases when the Belarusian Bureau in accordance with the Statute of the Belarusian Bureau makes settlement with the victims for any damage inflicted as the result of a traffic accident.

150. Any damage inflicted to the victim under the internal insurance and boundary insurance is reimbursed by the insurer or by the Belarusian Bureau (in cases stipulated by the Statute of the Belarusian Bureau) in compliance with the legislation and within the fixed limits of liability provided such damage has been inflicted:

by the transportation means which owner has signed or should sign the insurance contract;

as a result of movement or placement of the transportation means, provided there is a causal relationship between such movement or placement of the transportation means and inflicting damage;

by the transportation means owner for whom a civil liability has arisen to reimburse for such damage and who has failed to prove that such damage has occurred due to any force majeure circumstances or intent of the victim.

Gross imprudence of the victim or absence of guilt of the tortfeasor shall not be taken into account.

Any damage inflicted to the victim under the “Green Card” insurance is reimbursed by the insurer which has concluded the contract in compliance with the laws of the country in which territory an insured accident has occurred, unless otherwise provided for by the management directives of the “Green Card” civil liability insurance system.

If the victim of traffic accident is insured under the contract of voluntary insurance of land transportation means, concluded by him/her or for his/her benefit, and the contract of compulsory insurance of civil liability of transportation means owner concluded for his/her benefit, the damage inflicted to the victim shall be primarily reimbursed under the contract of compulsory insurance of civil liability of transportation means owner in the order, established by the present Regulations. If the amount of damage reimbursement, calculated according to the present Regulations, is less than one, calculated under the contract of voluntary insurance of land transportation means, the relevant difference between the insurance payment and the factual amount of damage is subject to reimbursement by the insurer under the contract of voluntary insurance of land transportation means according to its terms and within the sum of insurance payment determined in this contract.

151. Any material damage caused through death or mutilation or any other bodily injury or undermining or loss of health of the victim, damage to or loss of the property, including the road, road structures, technical means of traffic regulation, and any other objects are subject to reimbursement under the insurance contract. No moral damage, loss of profit, or loss of a commodity value shall be subject to reimbursement to the victim.

Should mutilation or any other bodily injury or undermining or loss of health of the victim occur as a result of any traffic accident, the amount of damage and procedure of reimbursement thereof shall be established in accordance with the rules of assessment of the amount of damage inflicted to life or health of the victim in consequence of any traffic accident, for the purposes of compulsory insurance of civil liability of the transportation means owners, as approved by the Belarusian Bureau upon agreement with the Ministry of Health and the Ministry of Labour and Social Protection.

152. Should any damage be inflicted by more than one transportation means owner, the respective insurers (the Belarusian Bureau) shall reimburse for such damage proportionate to the extent of inflicting thereof, established on the basis of the reports of the competent authorities. The victim has the right to apply to anyone of such insurers, which is obliged to reimburse for such damage in accordance with the present Regulations. The insurer, which has fully reimbursed for the damage to the victim, has the right to demand of repay of the appropriate share of insurance money from the remaining insurers.

153. Should, in consequence of injuries, the victim decease or become disabled within a year from the traffic accident, extra payment of insurance money shall be made to his/her heirs or to him/her (taking into account any amounts paid out earlier for any damage to life or health of such victim but not exceeding the fixed limit of liability), in accordance with the procedure and in the amount established according to the Rules of Assessment of the Amount of Damage Inflicted to Life or Health of the Victim in Consequence of any Traffic Accident for the Purposes of Compulsory Insurance of Civil Liability of Transportation Means Owners.

154. Should, in consequence of the same traffic accident, any damage be inflicted to more than one person, insurance money shall be paid to each of them in accordance with clause 150 of the present Regulations, but the total amount paid out may not exceed three limits of liability. Should the total amount of insurance money payable under a single insured accident exceeds three limits of liability, the amount of insurance money payable to each victim shall be decreased proportionately.

155. The persons who have given their transportation means for conveyance of the victims to the medical institutions engaged in rendering medical care, or have participated in elimination of the consequences of the traffic accident, or have rendered any other assistance in reduction of damage caused by the transportation means, shall be entitled to be reimbursed by the insurer for their expenses. The extent of participation and the amount of reimbursement are determined by the agreement between mentioned persons and the insurer or, if there is no agreement between the parties, – by the court.

156. Assessment of severity of disability and assigning the group of disability are made by the medical and rehabilitation commission of experts which shall draw up its report to confirm the needs in additional kinds of damage compensation.

157. Should mutilation or any other bodily injury or undermining or loss of health be inflicted in consequence of any traffic accident to a natural person who is a citizen of a foreign country, expenses for medical treatment and prosthesis carried out in the territory of the Republic of Belarus shall be subject to reimbursement; should the victim decease, the cost of repatriation shall be reimbursed in the amount not exceeding the limit of liability fixed.

158. In case of loss (destruction) of the transportation means, the amount of damage is assessed on the basis of: the actual value of such transportation means as of the date of occurrence of the insured accident; cost of evacuation thereof from the place of the traffic accident to the place of permanent storage thereof in the territory of the Republic of Belarus (to the border of the Republic of Belarus for non-residents of the Republic of Belarus); utilization of the remainder; drawing up necessary documents in connection with such insured accident, and calculation of the amount of damage.

The transportation means is deemed to be lost (destroyed) if the repair thereof is impossible from the technical point of view or is economically unreasonable. The repair adjusted for VAT is deemed economically unreasonable, if the expected repair cost of such transportation means less the cost of renewal thereof and including VAT exceeds 80% of the actual value (depreciated cost) thereof as of the date of occurrence of the insured accident.

Should the insurer fully reimbursed damage inflicted through loss (destruction) of the transportation means, it shall be entitled to receive the remainder of the same. Should the victim refuse to transfer such remainders, their cost shall be excluded from the assessed damages.

The insurers uses the funds received after sale of the remainders of the transportation means in accordance with the legislation.

Should any transportation means be damaged, the amount of damage shall include the cost of its repair as of the date of occurrence of the insured accident less cost of renewal thereof, evacuation from the place of the traffic accident to the place of permanent storage in the territory of the Republic of Belarus or to the border of the Republic of Belarus for non-residents of the Republic of Belarus, drawing up necessary documents on connection with such insured accident; and calculation of the amount of damage. The cost of repair of a transportation means is assessed on the basis of calculation, drawn up according to the legislation.

The sum of insurance payment shall be paid on the basis of the calculation of the repair cost of a transportation means less the cost of renewal thereof with deduction of VAT and other taxes (duties) that are included in the cost of services, provided by auto service centers. After the victim submits the documents evidencing of the fact of the transportation means repair by an organization or an individual entrepreneur which/who has got the appropriate permit, the insurer (Belarusian Bureau) is obliged to pay additional insurance money equal to the amount of VAT and other taxes (duties) that is included in the cost of services provided by auto service centers, for elimination of damage incurred from the insured accident within the fixed limits of liability. The cost of renewal is the difference between the cost of new parts and the cost of damaged parts less the amortization cost that has been changed.

159. Should any other property of the victim be lost (destroyed), the amount of damage shall be calculated on the basis of its actual value as of the date of occurrence of the insured accident; should the same be damaged, the amount of damage shall be calculated on the basis of the sum equal to the difference between its actual value and the value after depreciation (loss of quality) less the cost of drawing up all necessary documents related to the insured accident and calculation the amount of damage.

160. Should the road, road structures, technical means of traffic regulation, and any other objects or articles be damaged (destroyed), the amount of damage shall be calculated on the basis of actual value of such property as of the date of occurrence of the insured accident or by the cost of renewal thereof taking into account amortization and the cost of drawing up all necessary documents related to the insured accident and calculation the amount of damage.

161. Should any domestic animals be lost (become dead), the amount of damage shall be calculated on the basis of actual value thereof as of the date of occurrence of the insured accident, less the cost of the remains fit for use.

162. The amount of damage is assessed by specially trained experts of the insurer or of the Belarusian Bureau or by the valuator’s specialists in assessment of the transportation means value certified by the Belarusian Bureau in accordance with established procedure.

The Belarusian Bureau upon the agreement with the Ministry of Transport and Communications approves the rules of assessment of damage inflicted to any transportation means in consequence of a traffic accident, for the purposes of compulsory insurance of civil liability of transportation means owners.

Should the insurer (Belarusian Bureau) fail to draw up the documents for payment of insurance money to the victim (or for making calculation) within two months from the date of the traffic accident, it is obliged to re-calculate the amount of damage inflicted to such victim on the basis of the official rate of Belarusian rouble to Euro fixed by the National Bank as of the date of drawing up the report of the insured accident. In case of appreciation (revaluation) of the official rate of Belarusian rouble to Euro within mentioned period no recalculation shall be made.

Should the victim, having the opportunity, has failed to lodge the appropriate application with the insurer (Belarusian Bureau) within five working days after the traffic accident, the amount of damage shall not be recalculated in case of failure of the insurer (Belarusian Bureau) to draw up the documents for payment of insurance money to such victim (or for making calculation) within two months from the date of the traffic accident.

163. Should any traffic accident occur, the persons involved therein are obliged to tell each other and to the victims their respective names and surnames, addresses, names of the insurers and submit their insurance licenses (insurance policies, insurance certificates issued by foreign insurance organizations and valid in the territory of the Republic of Belarus).

The participants of any traffic accident notify thereof the State Automobile Inspection of the Ministry of Internal Affairs, and act in accordance with the Rules of the Road.

The participants of any traffic accident shall take all necessary measures to reduce severity of such traffic accident.

164. The participants of any traffic accident notify thereof, within five working days from the date of such traffic accident, the insurer which has insured civil liability of the transportation means owner who has committed such traffic accident, or to notify thereof the Belarusian Bureau in the cases stipulated for in the Statute of the Belarusian Bureau. The application may be accepted by the insurer after expiration of such fixed time, provided the victim proves that he/she has got no opportunity to notify of the traffic accident by any good reason.

165. The person claiming for insurance money shall, within five working days after the traffic accident, submit to the insurer (or to the Belarusian Bureau in cases stipulated for in the Statute of the Belarusian Bureau) his/her written explanation of circumstances of such traffic accident. If necessary, similar explanations may be required from the other participants of such traffic accident.

166. The insurer (or the Belarusian Bureau in appropriate cases) shall, not later than within five working days from the days of receipt of the application of any traffic accident, sent its request for information on such traffic accident to the State Automobile Inspection of the Ministry of Internal Affairs, send the valuator’s specialists in assessment of the transportation means value or the Bureau expert, for making inspection of the damaged property. If the insurer’s expert fail to arrive by the time fixed, the victim has the right to choose the valuator’s specialists in assessment of the transportation means value certified by the Belarusian Bureau, by himself/herself.

167. The person claiming for insurance money shall, preserve his/her transportation means or any other lost or damaged property in its postdamage state until the inspection is done in the territory of the Republic of Belarus by the valuator’s specialists on assessment of the transportation means value or by the expert of the insurer (Belarusian Bureau).

168. In exceptional cases by request of the insurer (Belarusian Bureau), the persons involved in any traffic accident shall, within five working days after the date of claiming, show their transportation means to the appropriate specialist for inspection at the place of location thereof.

169. The insurer (Belarusian Bureau) shall draw up the report of the insured accident, on the basis of written explanations of the persons mentioned in clause 165 of the present Regulations and the documents received from the State Automobile Inspection of the Ministry of Internal Affairs in reply to the request of the insurer (Belarusian Bureau) and any other documents evidencing of the amount of damage, within five working days from the date of receipt of the same.

170. Insurance money are paid out to the victims (their heirs) or, on their behalf, to any organization or individual entrepreneur which/who has rendered services for repay of the transportation means on the basis of the documents listed by the Belarusian Bureau.

171. The insurer (Belarusian Bureau) pays insurance money to the victim not later than within 50 working days from the date of receipt of the application of the traffic accident except for the cases when no documents necessary for deciding the issue of insurance money payment are available not through the fault of the insurer (Belarusian Bureau), and when the disputes related to insurance money payment are settled in the court.

Payment of insurance money to a natural person is made by means of transfer to the deposit, drawing a cheque under the recipient’s name, postal money order or in cash from the cash desk, and to a legal person – through transfer to the current (settlement) account with the bank. Settlement is performed within ten working days from the date of drawing up the report of the insured accident by the insurer or the Belarusian Bureau, except for the cases when disputes related to insurance money payment are settled in the court.

172. Payment of insurance money is made in Belarusian roubles (to any residents of the Republic of Belarus) or in a convertible currency or Russian roubles (to any non-residents of the Republic of Belarus).

- submit to the insurer, at signing the insurance contract, reliable information which has essential value for insurable risk assessment;

- notify the insurer of increase of insurable risk within the period of the insurance contract;

- notify the insurer, within five working days from the date when the insured has got to know about occurrence of any insured accident, of occurrence of the same and give his/her transportation means to the insurer by its request for inspection;

- notify the State Automobile Inspection of the Ministry of Internal Affairs of occurrence of the traffic accident in accordance with established procedure and within the time specified by the legislation;

- take appropriate measures to prevent from occurrence of the insured accident or to reduce damage at occurrence of the same;

- submit to the State Automobile Inspection of the Ministry of Internal Affairs, the victim or his/her relatives all necessary information on the insurer with which the insurance contract has been concluded.

- sign the insurance contract with the transportation means owner who has applied for the same;

- draw up, at occurrence of any insured accident, the appropriate report and pay insurance money within the period specified by the present Regulations, to the victim (his/her heirs) or, on their behalf, to the organization or individual entrepreneur which/who has rendered services for repair of the transportation means, in the amount not exceeding the fixed limit of liability;

- repay damages incurred by the insured and/or any other person in consequence of any measures taken for elimination of the traffic accident, reduction of the amount of damage at occurrence of any insured accident;

- refrain from disclosure of any information received from the insured at signing the insurance contract;

- inform the insured on the terms of compulsory insurance of civil liability of transportation means owners.

175. In the course of investigation of the traffic accident the workers of the State Automobile Inspection of the Ministry of Internal Affairs shall check its participants for availability of their insurance contracts, ascertain the circumstances of the traffic accident, draw up the appropriate documents related thereto and shall submit them to the insurer (Belarusian Bureau) by their written request within 20 working days, and carry out other duties within their competence.

- receive insurance protection within the specified time, should any insured accident occur;

- demand from the insurer of fulfillment of the terms set forth in the insurance contract;

- be informed on the terms of compulsory insurance of civil liability of transportation means owners.

- validate information disclosed by the insured at signing the insurance contract, and checkup compliance of the same with the terms and conditions of such insurance contract;

- obtain, in accordance with the established procedure, any documents and data necessary for deciding the issues related to insurance money payment under the insurance contract, from the bodies of internal affairs, office of public prosecutor, courts, medical institutions and other organizations;

- raise a regressive claim in cases stipulated by clause 178 of the present Regulations;

- make inspection of the transportation means at signing the insurance contract.

178. The insurer (Belarusian Bureau) has the right to chose in action, within the sums paid, against any legal persons or natural persons guilty of inflicting damage, in the cases of:

- any deliberate actions except for the actions committed in the case of absolute necessity or necessary self-defense;

- driving the transportation means in a state of alcoholic intoxication or in another state caused by abuse of drugs, psychotropic or toxic or any other fuddling substances; or giving a transportation means steering wheel to a person in a state of alcoholic intoxication or in another state caused by abuse of drugs, psychotropic or toxic or any other fuddling substances; as well as refusal to undergo medical examination after occurrence of the traffic accident;

- lack of the grounds to drive the transportation means provided for in the legislation for the person who has inflicted damage;

- non-fulfillment by the person who has inflicted damage the Rules of the Road mentioned in clause 163 of the present Regulations;

- infliction of damage by the person who has withdrawn the transportation means from ownership of the owner without fault of the latter as a result of any felonious actions;

- use of the transportation means in the traffic without concluding the insurance contract;

- fault of the organization responsible for proper maintenance and repair of roads, ascertained in the court.

The insurer has no right of claim, within the sums paid, against any non-residents of the Republic of Belarus who have got insurance certificates issued by foreign insurance organizations and valid in the territory of the Republic of Belarus, and who are guilty of inflicting damage in cases stipulated in abstracts five and six of part one of this clause.

Should it be ascertained after payment of insurance money that payment thereof was fully or partially ungrounded, the insurer (Belarusian Bureau) is entitled to reclaim such sum paid out without any grounds in the order established by the legislation.

Should it be ascertained after occurrence of an insured accident that the insured has failed to notify the insurer of increase of insurable risk within the period of the insurance contract or has deliberately disclosed any false information in his/her application for insurance thereby entailing underpay of insurance fee, the insurer has the right to chose in action against such insured within the amount of insurance money paid out.

180. For the purposes of compulsory insurance of civil liability of the carrier before the passengers the following main terms are used:

“insurer” – means the state-owned commercial organization created for carrying out insurance activities, to which a special permit (license) for carrying out insurance activities has been issued in the established order, which gives the right to conduct compulsory insurance of civil liability of the carrier before the passengers;

“insured” – means the carrier which/who has concluded the contract of compulsory insurance of civil liability of the carrier before the passengers with the insurer in accordance with the procedure and on conditions provided for in the present Regulations and which/who pays insurance fee;

“carrier” – means any legal person or individual entrepreneur registered in the Republic of Belarus and carrying out transportation of passengers and luggage in the established order using the transportation means for these purposes;

“passenger” – means a natural person who, in accordance with the transportation contract, concluded by the same or in his/her name, gets in the transportation means, is carried to the destination place by the carrier, gets out of the transportation means;

“passenger turnover” – means the average number of passengers carried by one and the same transportation means within a calendar year immediately preceding the year when the contract has been concluded ;

“victim” – means a passenger to whose life or health a damage was inflicted, and/or whose luggage has been lost, destroyed or damaged (spoiled) at loading, transportation or unloading;

“luggage” – means any property registered with the carrier by any passenger, for the carrier to deliver such luggage to the destination place and return the same on the basis of a luggage ticket;

“insured accident” – means the fact of inflicting damage to life or health of any passenger and/or loss, shortage of, or damage to his/her luggage, at getting in, carrying, getting out of the passenger, or loading, transportation, or unloading of his/her luggage;

“sum insured” – means a sum fixed in the contract of compulsory insurance of civil liability of the carrier before the passengers, within which the insurer is obliged to pay out insurance money at occurrence of any insured accident, unless otherwise provided for by legislative acts;

“transportation means” – means any transportation means belonging to motor, air, water, or railway transport, urban electric transport, as well as subway, destined for the passengers and luggage transportation.

181. The object of compulsory insurance of civil liability of the carrier before the passengers are the property interests of the insured connected with the risk of civil liability which can arise in consequence of inflicting damage to life or health of any passenger and/or loss, shortage of, or damage (spoiling) to his/her luggage.

182. Compulsory insurance of the carrier to the passengers liability is carried out on the basis of the insurance contract concluded between the carrier and the insurer.

183. Any carrier is obliged to insure its/his/her civil liability before the passengers prior to carriage.

184. In order to conclude the insurance contract prior to carriage, the carrier submits to the insurer, the application in which the following is indicated:

the name and location of the carrier (for a legal person) or the surname, name, patronymic and residential address of an individual entrepreneur, and its/his/her current (settlement) account;

information on the number of transportation means used for passenger traffic, and performance specifications thereof;

information on the passenger turnover and quantity of luggage transported during the calendar year immediately preceding the year when the insurance contract has been signed. The carrier which/who has not been involved in the passenger traffic and luggage transportation in the year immediately preceding the year when the insurance contract has been concluded specifies information on expected passenger turnover and quantity of luggage;

information on the number of insured accidents occurred with the carrier during two calendar years immediately preceding the year when the insurance contract has been signed.

185. The insurance contract is concluded in writing, upon conclusion thereof a written insurance policy (insurance license) is issued by the insurer to the insured in accordance with a set form, in which essential terms of insurance are specified in compliance with the Civil Code of the Republic of Belarus.

186. In the case the carrier has failed to conclude the insurance contract or has signed the same on terms that impair the state of the passengers as compared to that specified in the Civil Code of the Republic of Belarus and this Chapter, such carrier bears responsibility before the passengers according to the terms on which insurance money would have been payable under proper insurance.

187. Unless otherwise provided in the insurance contract, it enters into force from the date immediately following the date of payment of insurance fee or the first portion thereof. The date of payment of such insurance fee by the insured or the first portion thereof is deemed to be the date of writing off of the funds from the insured’s account.

188. Any carrier is obliged to conclude insurance contracts for the entire period of carrying out activities on the passengers and luggage transportation, but not longer than for one year.

189. The insurance tariffs are fixed differentially depending on the type and quantity of transportation means owned by the carrier, and are adjusted taking into account existence or non-existence of any insured accidents occurred with such carrier within the calendar year preceding the year when the insurance contract has been concluded, and correlation between the quantity of insured accidents occurred with the carrier within the calendar year preceding the year when the insurance contract has been concluded, and the quantity of transportation means owned by the carrier within the calendar year preceding the year when the insurance contract has been concluded. The insurance tariffs and adjusting indexes are fixed by the President of the Republic of Belarus.

- for damage inflicted to life or health of the passenger – is determined by the insurer on the basis of the insurance tariffs fixed for inflicting damage to life and health of the victim, sum insured fixed for damage inflicted to life and health of such victim, and the passenger turnover (or of any expected annual passenger turnover);

- for loss, shortage or damage (spoiling) of luggage – is specified by the insurer on the basis of the insurance tariffs fixed for loss, shortage or damage (spoiling) of luggage of the victim, sum insured fixed for loss, shortage or damage (spoiling) of luggage of such victim, and the number of pieces of luggage transported within a calendar year preceding the year when the insurance contract has been signed (or of any expected annual quantity of transported luggage).

191. Insurance fee is paid in Belarusian roubles at the official rate of Belarusian rouble to Euro fixed by the National Bank of the Republic of Belarus as of the date of payment of such insurance fee.

192. The date(s) of payment of insurance fee is (are) specified in the insurance contract.

Should the insurance contract provide for the insurance fee payment by installments, it may stipulate for any consequences of failure to pay a regular portion of such insurance fee in due time.

validate, at signing the insurance contract, any information submitted by the insured and checkup of observing by the insured of the terms and conditions of such insurance contract;

refuse to pay insurance money if damage inflicted to life or health of the victim and/or any damage in connection with loss, shortage of, or damage (spoiling) to luggage have been caused through deliberate actions of such victim committed with a view to cause an insured accident, or by any unlawful actions of the victim declared unlawful by the investigation bodies and other competent authorities, or by any actions of the victim committed in the state of alcohol or drug intoxication.

193-1. The insurer has the right to exercise within the sum of paid insurance money a subrogated claim, which the insured has in respect of a person (except for the insured) liable for the damage reimbursed under the insurance, in cases of:

intended actions, except for actions, committed in the state of extreme necessity or necessary defense;

transportation means driving under alcoholic, drug, psychotropic, toxic or other intoxication, as well as transfer of driving to a person who is under alcoholic, drug, psychotropic, toxic or other intoxication, and in case of refusal of medical examination after traffic accident;

a person inflicted damage is not entitled to drive a transportation means according to the legislation;

a person inflicted damage has not comply with the requirements of the Rules of the Road to inform the State Automobile Inspection of the Ministry of Internal Affairs about the traffic accident, and to take other measures prescribed by the above Rules in the case of traffic accident;

a person inflicted damage has illegally seized a transportation means without owner’s fault;

a person responsible for maintenance and service of the road has been found by the court guilty.

conclude the insurance contract with the carrier which/who applies for the same; notify the carrier of the terms and conditions of compulsory insurance of civil liability of the carrier before the passengers;

should any insured accident occur, the insurer is obliged to draw up a report on such insured accident and pay out insurance money to the victim or, in case of his/her death, to his/her heirs, within the time fixed in clause 202 of the present Regulations;

repay expenses incurred by the insured in consequence of any measures taken with a view to reduce damage at occurrence of any insured accident, provided such expenses were made in order to fulfill instructions of the insurer;

transfer cash resources from the preventive measures fund to the republican budget in due time;

refrain from disclosure of any information on the insured and the victim obtained in the course of its professional activities, except for the cases provided for by the legislation.

familiarize himself/herself with the terms of compulsory insurance of civil liability of a carrier before the passengers;

pay insurance fee in the amount and by the time specified in the provisions of the insurance contract;

submit to the insurer, by its request, a copy of a luggage ticket within three working days, should it be lost by the victim or should such victim decease;

notify the insurer of any existing grounds to refuse to pay insurance money or to reduce the amount of claim of the victim;

take measures for prevention from occurrence of an insured accident, and for reduction of the amount of damage inflicted in consequence of such insured accident.

Furthermore, the insured (the workers who are employed by the insured under labour contracts according to the list of the posts (professions) entitled to draw up the damage reports in any transport organizations) is obliged to draw up the report on inflicting damage to life and health of the passenger and/or on loss, shortage or damage (spoiling) of his/her luggage at getting in, carriage, getting out of the passenger or at loading, transportation, or unloading of luggage (hereinafter in this chapter – the damage report) in accordance with the form set by the insurer under the agreement with the Ministry of Finance, and submit the same to the insurer within five working days from the date when the insured has become aware of inflicting damage to life and health of the passenger, and/or loss, shortage or damage (spoiling) of his/her luggage at getting in, carriage, getting out of the passenger or at loading, transportation, or unloading of luggage.

The minimum sum insured under compulsory insurance of civil liability of the carrier before the passengers for any damage inflicted to life or health of the victim at occurrence of any insured accident shall be fixed in the amount equivalent to Euro 3000, and for loss, shortage or damage (spoiling) of his/her luggage – in the amount equivalent to Euro 1000.

198. The amount of insurance money to be paid to the victim depends on the severity of damage inflicted to his/her life or health, the sum insured, and may not be less than:

fixed minimum of sum insured – should the victim decease or should dangerous bodily injure be inflicted to him/her;

60% of fixed minimum of sum insured – should less dangerous bodily injure be inflicted to the victim;

20% of fixed minimum of sum insured – should minor bodily injure be inflicted to the victim, which has entailed short-term health disorder or negligible permanent loss of ability to work;

10% of fixed minimum of sum insured – should minor bodily injure be inflicted to the victim, which has not entailed short-term health disorder or negligible permanent loss of ability to work.

199. In case of loss, shortage or damage (spoiling) of luggage belonging to the victim, insurance money shall be paid on the basis of damage inflicted (within the sum insured) fixed in the insurance contract. Damage shall be calculated only in the case of:

damage (spoiling) of luggage – in the amount to which its value has reduced, or (should it be impossible to restore such damaged luggage) in the amount of its value.

Should liability of the carrier for loss, shortage or damage (spoiling) of luggage be insured under several compulsory insurance contracts, the amount of insurance money payable in case of loss, shortage or damage (spoiling) of their luggage under the contract of compulsory insurance of civil liability of the carrier before the passengers shall be assessed on the basis of insurance money paid under the other contracts of compulsory insurance of civil liability.

200. The amount of insurance money payment is denominated in Belarusian roubles at the official rate of Belarusian rouble to Euro fixed by the National Bank as of the date of payment.

201. The insurer is obliged to draw up the report of the insured accident within three working days from receipt, from the victim (or, in the case of death of the victim - from his/her heirs), their application together with enclosed documents mentioned in parts two to four of this clause.

In the case the harm has been inflicted to health of the victim, he/she submits:

the document certifying rendering medical care, issued by the medical institution; and the opinion of the State Forensic Examination Service on severity of bodily injures inflicted to the victim.

In the case loss, shortage or damage (spoiling) of the luggage the victim (or, in the case of the decease thereof – his/her heirs) submit:

a copy of the luggage ticket in case of loss, shortage or damage (spoiling) of luggage unless otherwise is established in part five of this clause.

In the case of loss by the victim of his/her luggage ticket or victim`s decease, the insurer has the right to demand a copy of such luggage ticket from the insured.

202. Insurance money are paid to the victim or, should the victim decease, to his/her heirs, through transfer of money to his/her current (settlement) account, drawing a cheque, postal money order, or payment at cash-desk of the insurer, within five working days after the insurer has drawn up the report of the insured accident.

203. Control of availability, with the carrier, of the contract of compulsory insurance of civil liability of the carrier before the passengers is performed by the State Control Committee, the Ministry of Transport and Communications, the regional executive committees and the Minsk City Executive Committee.

“insurer” means the state commercial organization established for carrying out insurance activities, to which a special permit (license) for carrying out insurance activities has been issued in the established order, which gives the right to carry out compulsory medical insurance of foreign citizens and stateless persons who temporary stay or temporary reside in the Republic of Belarus;

“insured” means any legal person or natural person which/who has concluded the contract of compulsory medical insurance of foreign citizens and stateless persons who temporary stay or are temporary reside in the Republic of Belarus (hereinafter in this chapter – the contract of compulsory medical insurance);

“insured person” means foreign citizen or a stateless person (hereinafter in this chapter – the foreign citizen) in whose favour the contract of compulsory medical insurance has been concluded);

“term of insurance” means the period of stay of the foreign citizen in the Republic of Belarus, for which the contract of compulsory medical insurance is concluded;

“first aid and ambulance service” means a package of medical services rendered to any insured person in case of acute disorder of his/her physical or mental health that threaten to his/her life or to health of people around him/her, and in cases when the state of such insured person requires urgent medical intervention (accidents, injuries, poisoning or any other urgent states and acute painful diseases);

“sudden disease” means abrupt deterioration of the state of health of the insured person;

“accident” means any sudden unexpected event occurred to the insured person within the period of the contract of compulsory medical insurance, which has entailed injuries, wounds, mutilation, and other damage to health;

“medical institutions” means state health care institutions of the Republic of Belarus;

“beneficiary” means medical institution than has incurred expenses for rendering first aid and ambulance service to the insured person.

205. The object of compulsory medical insurance are property interests of the insured related to inflicting damage to health or life of the insured person, as well as to expenses incurred by the medical institutions for rendering first aid and ambulance service to such insured person.

206. Disorder of health of any insured person in consequence of sudden disease or accident which has occurred within the period of the contract of compulsory medical insurance, required rendering first aid and ambulance service, and entailed expenses of the medical institutions for rendering the same is deemed to be the insured accident.

207. Foreign citizens who enter the Republic of Belarus produce the contract of compulsory medical insurance concluded with any Belarusian insurance organization, or the contract of medical insurance concluded with any foreign insurance organization providing for rendering first aid and ambulance service by the medical institutions.

Availability of the contract of compulsory medical insurance concluded with the Belarusian insurance organization, and the contract of medical insurance signed with any foreign insurance organization is proved by the insurance policy.

The contract of medical insurance concluded with any foreign insurance organization shall:

- indicate the name, location, current (settlement) account of the foreign insurance organization; the name, given name, and address of the foreign citizen;

- be valid within the entire period of stay of such foreign citizen in the territory of the Republic of Belarus;

In the case of the foreign citizen fail to produce the contract of medical insurance which has been signed with any foreign insurance organization and meets the criteria established by this clause, and at the he/she refusal to conclude the contract of compulsory medical insurance, such foreign citizen is not admitted through the frontier of the Republic of Belarus in accordance with the procedure established by the legislative acts.

- the heads of the States and Governments of any foreign countries; the heads and the members of any parliamentary, State and other official delegations; other persons, in particular, operating personnel of such delegations, family members of such mentioned persons, who arrive at the Republic of Belarus by invitation of the President of the Republic of Belarus, the Houses of the National Assembly of the Republic of Belarus, the Council of Ministers of the Republic of Belarus, the Constitutional Court, the Supreme Court, the Higher Economic Court, the Administration of the President of the Republic of Belarus, the State Secretariat of the Security Council of the Republic of Belarus, the State Control Committee, the General Prosecutor's Office, the National Bank, the Administrative Department of the President of the Republic of Belarus;

- the persons who arrive at the Republic of Belarus with the passports issued by the United Nations Organization;

- the heads and the members of any diplomatic representatives and consular institutions, the staff members of the military attachй, trade missions of any foreign states, and their family members;

- the workers of the representative offices of any international organizations in the Republic of Belarus who enjoy diplomatic privileges and immunity, and their family members;

- the persons included into the crews or any civil aircrafts of the international airlines, or crews of the trains of the international railway communication;

- the crew members of any foreign military aircrafts, military men of any foreign countries who arrive at the Republic of Belarus for participation in co-manoeuvres;

- the persons who arrive at the Republic of Belarus to be engaged in the boundary representation activities;

- the citizens of the states with which contracts of cooperation in the field of health protection and medical science as regards rendering first aid and ambulance service free of charge;

- the citizens of the states which are the members of the Commonwealth of Independent States, to whom first aid and ambulance service is rendered free of charge in accordance with the Contract of Rendering Medical Aid to the Citizens of the States Which are the Members of the Commonwealth of Independent States, signed on March 27, 1997 in Moscow;

- any foreign citizens who are carried as transit passengers across the territory of the Republic of Belarus by any international railway communication trains, civil aircrafts of any international airlines;

- the citizens of any foreign countries wherein similar conditions for the citizens of the Republic of Belarus have been established on the basis of reciprocity.

209. The insurance organizations involved in compulsory medical insurance of any foreign citizens and persons without any citizenship who temporary stay or are the aliens in the territory of the Republic of Belarus are entitled to conclude contracts of compulsory medical insurance at the frontier checkpoints for admittance across the frontier of the Republic of Belarus

210. The citizens of the Republic of Belarus, legal persons of the Republic of Belarus who/which invite any foreign citizens to the Republic of Belarus are entitled to conclude contracts of compulsory medical insurance in favour of such foreign citizens.

211. The sum insured under compulsory medical insurance of any foreign citizens and persons without any citizenship who temporary stay or are the aliens in the Republic of Belarus as regards reimbursement of expenses of any medical institutions incurred by them for rendering first aid and ambulance service to any foreign citizens is equal to USD 5000.

212. The list of diseases (injuries) which condition requires rendering first aid and ambulance service to foreign citizens is specified by the Council of Ministers of the Republic of Belarus.

213. No expenses of medical institutions shall be subject to reimbursement by the insurer if:

- medical treatment and/or examination are not connected with a sudden disease or accident;

- a disease (injury) is connected with exposure to a nuclear explosion, radiation or radioactive contamination, military actions;

- the insured, beneficiary or the insured person has committed any deliberate actions entailing occurrence of an insured accident;

- a disease (injury) has been caused by alcoholic intoxication of the insured person or due to abuse of drugs or psychotropic or toxic or any other muddling substances by the same;

- rendering medical services or prescription of medications is not, in the opinion of the medical expert, necessary for diagnosis and treatment;

- the services rendered are connected with burial of the insured person or transportation of the corpse to the l place;

- additional conveniences have been provided (a TV set, air conditioner, videotape recorder, etc.) or services of a hairdresser/barber or a cosmetologist have been rendered;

- first aid and ambulance service was rendered in connection with health disorder occurred after expiration of the contract of compulsory medical insurance;

- a disease (injury) has been treated which is absent in the list of diseases (injuries) which condition requires rendering first aid and ambulance service to foreign citizens.

214. At the occurrence of the insured accident , the insurer reimburses medical institutions for the cost of rendering such first aid and ambulance service as well as for the cost of transportation related to rendering such mentioned services according to clauses 232 to 240 of the present Regulations.

215. In case of death of any insured person the insurer pays for the first aid and ambulance service rendered with a view to rescue life of such deceased person and, if necessary, for medical and transport services related to delivery of the corpse to the frontier of the Republic of Belarus.

216. Should the cost of first aid and ambulance service exceed the sum insured or should the disease (injury) require long treatment after elimination of a direct threat to life of the insured person or people around him/her, the issue of payment of expenses incurred by the medical institution shall be decided by such insured person, the persons who have invited foreign citizens to the Republic of Belarus, or by any other citizens and legal persons who/which represent the interests of such insured person, upon contract with the medical institution.

217. Insurance fee is paid as a lump-sum amount for the entire period of insurance in cash or through cashless settlement in compliance with the legislation.

Insurance fee may be paid both in Belarusian roubles and in a convertible currency.

218. The time of insurance is fixed for the entire period of stay or temporary sojourn of a foreign citizen in the Republic of Belarus but not less than for three days, and is mentioned in the insurance policy.

219. Registration and extension of registration of any foreign citizens, issue of permissions for temporary stay or sojourn are carried out in accordance with established procedure only for the period not exceeding the period of insurance.

220. In order to sign an contract of compulsory medical insurance, the insured applies to the insurer verbally and shall inform the same on the full name of the person in whose favour such insurance contract is signed, his/her permanent residential address, the period of his/her stay in the Republic of Belarus.

221. The contract of compulsory medical insurance is concluded in writing through issue of the insurance policy filled on the basis of information submitted by the insured and data contained in the identity document of the insured person.

222. In the case of the arrival of foreign citizens to the Republic of Belarus as the members of any delegations or groups, the contract of compulsory medical insurance is concluded for each foreign citizen individually, and the insurance policy is issued to each ensured person individually.

223. The contract of compulsory medical insurance enters into force from the date of payment of insurance fee, but not earlier than from the date and time of crossing the borderline of the Republic of Belarus by the insured person.

while paying insurance fee through cashless settlement with the exception of the case provided for by the indent four of the present clause – within five days after the arrival of funds to the insurer`s account;

while paying insurance fee with use of bank`s plastic card – at the day of documentary certification by the insured of the performance of such operation.

the insurance policy shall be issued within five days after arrival of funds at the insurer’s account.

225. The insurer on the basis of the report on the insured accident pays insurance money.

For drawing up the report on the insured accident the beneficiary submits the invoice indicating the number of the insurance policy and the date of issue thereof, full name of the insured person to whom first aid and ambulance service has been rendered, diagnosis of the disease, the period of treatment, the list of services rendered and the cost thereof, the total amount of expenses for all services rendered to such insured person. Such invoice shall be attested by the seal and signature of the official of the medical institution.

226. The insurer has the right to check up reasonability of rendering first aid and ambulance service, whereupon to make a decision on reimbursement to the beneficiary who has presented the invoice.

The insurer refuses to pay insurance money if the beneficiary (the insured person) has failed to fulfill his/her respective obligation to notify the insurer of occurrence of the insured accident without delay, provided it is not proved that the insurer has learned about occurrence of such insured accident in due time, or lack of information on such insured accident may not affect its obligation to pay insurance money.

227. The insurer shall, within five working days from making its decision, notify the beneficiary in writing of its decision to refuse to pay insurance money, and shall indicate the reason of such refusal.

- require rendering first aid and ambulance services in accordance with the terms of the contract of compulsory medical insurance;

- notify the insurer of any cases of non-rendering first aid and ambulance services or of improper or poor first aid and ambulance services.

229. The insurer is entitled to control fulfillment, by the beneficiary, of his/her respective obligations under the contract of compulsory medical insurance.

- have the insurance policy with him/her, submit the same upon request of the officials of the bodies involved in control of availability, with foreign citizens, of contracts of compulsory medical insurance signed with any Belarusian insurance organization, or of contract of medical insurance signed with any foreign insurance organization;

- immediately resort to the medical institution in case of health disorder and present the insurance policy, or independently call by telephone number indicated in such insurance policy and notify the insurer of occurrence of the insured accident;

- follow the prescriptions of the doctor in charge of the case, given in the course of treatment, the daily routine established by the medical institution.

- notify the insured (insured person) of the terms of the contract of compulsory medical insurance, and issue the insurance policy;

- pay to the beneficiary (should any insured accident occur) insurance money to reimburse for the cost of rendering first aid and ambulance services to the same;

232. First aid and ambulance service is rendered to foreign citizens in all medical institutions without hindrance.

233. Provided otherwise is not established by the President of the Republic of Belarus, first aid and ambulance service is rendered to any foreign citizen on the basis of the insurance policy that proves availability of the contract of compulsory medical insurance of foreign citizens signed with any Belarusian insurance organization, or the contract of medical insurance signed with any foreign insurance organization, subject to mandatory compliance with the criteria mentioned in clause 207 of the present Regulations.

234. If a foreign citizen resorts to the medical institution or he/she is brought to the medical institution by the ambulance, the medical personnel is obliged to:

- ascertain if such foreign citizen has got the insurance policy to certify the availability of the contract of compulsory medical insurance or the contract of medical insurance signed with any foreign insurance organization (with mandatory keeping within the criteria specified in clause 207 of the present Regulations), providing for rendering first aid and ambulance service;

- notify, by telephone indicated in the insurance policy or by another known telephone of the appropriate insurer, of such insured person brought to the medical institution and of the number of his/her insurance policy.

235. Should there be no insurance policy with a foreign citizen, and should it be impossible to prove by documents his/her right to free first aid and ambulance services in the Republic of Belarus, such foreign citizen shall, at his/her own expense, pay for such medical services and also the transport services related thereto to the medical institution which has rendered the same, or, should such foreign citizen refuse to pay, at the expense of funds of the party which has sent (invited) such foreign citizen, in accordance with the list of prices for medical services rendered by the medical institution to any foreign citizens, approved in accordance with established procedure.

236. In the case of elimination of threat to live or health of the patient and it is allowed to transport such patient, the payment for any subsequent scheduled medical treatment is made by the foreign citizen himself/herself or by of the party which has sent (invited) such foreign citizen in accordance with the list of prices for medical services rendered by the medical institution to any foreign citizens approved in accordance with established procedure.

At the impossibility of the foreign citizen to pay for his/her further treatment, and should he/she be unable to make a conscious decision because of his/her state of health and absence of any attendants, information on the state of health of such foreign citizen is notified by the medical institution to the Ministry of Health for subsequent notification by the same to the diplomatic representatives (consular department) of the country which citizen he/she is or wherein he/she has his/her permanent residence, for making a decision on further medical treatment in the Republic of Belarus.

In the case of the issue on reasonability of further medical treatment of the foreign citizen in the Republic of Belarus is solved positively by the authorized representatives of foreign country, the Ministry of Health forwards invoice for such medical services rendered to the diplomatic representatives (consular department) of the respective country.

At the non-submission of the decision on further medical treatment of such foreign citizen in the Republic of Belarus by the diplomatic representatives (consular department) within 24 hours, he/she is a subject to transportation to the respective country in accordance with the terms agreed with the diplomatic representatives (consular department) of such country.

237. The capability of the foreign citizen to be transported are assessed by the head of the medical institution.

238. A decision on transportation of the foreign citizen is registered officially in the medical documentation and signed by such foreign citizen or his/her attendants.

239. Payment of first aid and ambulance services, as well as of any transport expenses related thereto, is maid by the insurance organizations in accordance with the list of prices for medical services rendered by the medical institution to any foreign citizens approved by the Ministry of Health, though transfer of insurance money to the account of the medical institution which has rendered such service.

240. The medical institution registers each case of rendering first aid and ambulance services to foreign citizens.

241. Control of availability of the contract of compulsory medical insurance or the contract of medical insurance signed by a foreign citizen with any foreign insurance organization is entrusted to the Ministry of Foreign Affairs, the Ministry of Internal Affairs, the Ministry of Housing and Municipal Economy, the Ministry of Health and the Border Committee.

The insured mean organizations (foreign ones including), their separate subdivisions, and natural persons which/who are involved in employment of the citizens of the Republic of Belarus, foreign citizens, persons without citizenship who have their permanent residence in the Republic of Belarus (hereinafter in this Chapter the Citizens);

The budget organization – an organization established (formed) by the President of the Republic of Belarus, state bodies including the Local Council of Deputies, the Local Executive and Administrative Body or another state organization authorized for that by the president of the Republic of Belarus for the implementation of governing, social and cultural, scientific and technical or other functions of non-commercial character which is financed from the respective budget on the basis of the budget estimate and the accounting of which is kept in accordance with the chart of accounts approved for the budget organizations in the established order, to be established for the budget organizations or the accounting of assets and liabilities of which is keeping in accordance with the legislation for the state bodies having military formations, military units and organizations, as well as for the military units and organizations subordinated to the those bodies.

The insured person means any citizen who is subject to compulsory insurance against any accidents at workplace and against occupational diseases;

The object of insurance means the property interests of any insured parties and other natural persons, related to loss of health, ability to work within one’s trade, or death thereof in consequence of any accident at workplace or occupational diseases;

The insurance history of the insured means the block of data on the relations of the insured with insurer and the insured person, including statistics about insured accidents, insurance payments, and any other important information on compulsory insurance against accidents at workplace and occupational diseases necessary for actuarial (probabilistic) calculations for fixing the insurance tariff;

The insurance tariff means the amount of insurance fee denominated in%age to the total amount of all kinds of payments (income, remuneration) charged to any insured parties, on which insurance fees shall be charged according to the legislation;

Insurance fee means payment for the insurance, specified on the basis of the insurance tariff, deductions (extra charges) and benefits to such insurance tariff, which payment shall be paid by the insured to the insurer;

Insurance payment means coverage under compulsory insurance against accidents at workplace and occupational diseases of any insured person or any other natural person entitled to receive the same at occurrence of any insured accident; as well as reimbursement of the Social Protection Fund of the Ministry of Labour and Social Protection for any expenses made by the same for payment of disability pensions and bread-winner loss pensions in consequence of any accidents at workplace and occupational diseases;

Hazardous industrial factor means any industrial factor which impact on the workers under certain conditions is able to cause injury or other sudden acute deterioration of health, or death;

Unhealthy industrial factor means any industrial factor which impact on the workers under certain conditions is able to cause a disease or deterioration of ability to work (any unhealthy industrial factor can become hazardous depending on the extent and duration of impact);

Ability to work in one’s trade means ability of a worker to fulfill a job requiring certain qualification, content and quality;

Extent of disability means steady deterioration of ability of the insured person to do the work in his/her trade into which he/she has been involved prior to occurrence of the insured accident, denominated in%s;

Professional risk means probability of damage to health (disability) or death of any insured person at fulfillment by the same of his/her duties under the labour contract and in any other cases stipulated for in this Chapter;

Class of professional risk means the insured classification group specified by the level of expenses for coverage under compulsory insurance against any accidents at workplace and against occupational diseases;

Insured accident means the fact of damage to health of any insured person in consequence of any accident at workplace of occupational disease, proven in accordance with the procedure established by the legislation, and entailing arising of the insurer’s obligation to make insurance payments;

An accident at workplace means an event in which consequence any mutilation or any other damage to health of the insured person has been inflicted to him/her at fulfillment by the same of his/her duties under the labour contract and in any other cases stipulated for in this Chapter, both within the territory of the insured and in any other place where such insured person has stayed in connection with his/her job or has fulfilled any other actions in the interests of the insured, or during his/her travel to or from the place of employment by the transportation means given by the insured, which event has entailed the necessity to transfer such insured person to any other work or temporary or steady loss by the same of his/her ability to work or his/her death;

Occupational disease (chronic or acute) means a disease of the insured person caused by exposure of such insured person to any hazardous and/or unhealthy industrial factor during the labour process, which factor has caused temporary or steady loss by such insured person of his/her ability to work or his/her death;

Family members means any persons who are connected with the insured person by moral and material community and support, joint household, rights and obligations arising from wedlock, kindred, adoption.

Any other relatives of the insured person, his/her disabled dependants, and (in exceptional cases) other persons who reside together and keep joint household therewith may be recognized as the family members by the court.

243. Life and health of the following citizens is a subject to compulsory insurance against any accident at workplace and against occupational diseases:

- the citizens who are employed in the territory of the insured under civil contracts and acting under the insured's control of operating safety, or act outside the territory of such insured under the insured’s control of operating safety;

- the citizens who fulfill any work on the basis of their membership (participation) in the organization of any institutional and legal patterns;

- the citizens who are the students of the educational institutions of any kind, or the hospital residents, or the post-graduate students, or the persons working for doctor’s degrees, recruited for work during their practical work (probation period);

- the citizens who are kept in any correctional facilities, medical and labour facilities, reformatory settlements, recruited for fulfillment of any paid work.

244. Reduced insurance fee at the rate of 50 % of the insurance tariff is granted to the insured which are the public associations of disabled people and pensioners; and to the organizations that fully belong to such mentioned public associations by the right of property, wherein at least 50 % of the workers on payroll are disabled people and pensioners; and to the insured involved in production of agricultural products which share makes at least 50 % of the total volume of production; and to the organizations fully financed from the budget.

In case of the insured are public associations of disabled people and pensioners, as well as organizations that fully belong to such public associations by the right of property, wherein at least 50 % of the workers on payroll are disabled people and pensioners; persons involved in production of agricultural products which share makes at least 50 % of the total volume of production; budget organizations in respect of payments from the republican and local budgets, the insurance fee may be paid by them at the rate of 50 percent of the insurance tariff form the date of submission by the insured of written application adjoined with the documents providing evidence of the right to such reduction to the insurer.

The term to pay insurance fee debts, as well as fines and penalty fees, imposed by the insurer in accordance to clauses 245 and 246 of the present Regulations may be changed depending on the financial condition and solvency of the insured up to two years with monthly or quarterly equal payments of the debt sum in compliance with the present clause.

The term of payment of the insurance fee debts may be changed according to paragraph 2 of the present clause, provided that the current insurance fees on the relevant type of insurance are duly paid.

To apply for prolonging the term of the above debt payments the insured shall submit to the insurer:

- balance sheets; copies of profit and loss accounts for the period of preceding two years and for the reporting period, except for the insured – individual entrepreneurs and organizations subject to the simplified tax system and keeping the book of asserts and liabilities; the latter shall adjoin copies of the above books for the period of preceding two years and reporting period, copies of tax declarations (calculation) of gross income during the year or copies of tax declarations (calculation) of tax, levied according to the simplified tax system for the period of preceding two years;

The insurer shall examine the financial condition and solvency of the insured using the criteria specified in the legislation within 10 days from the date of receiving the documents, mentioned in paragraph 4 of the present clause, and draw up the relevant resolution.

The insurer prolongs the term of payment of the insurance fee debts, fines and penalty fees by conclusion of a written agreement with the insured and endorses the schedule of repayment the above debts or sends a written refusal of prolonging the term of payment of the debts with indicating the reasons for such refusal within 15 days from the date of receiving the documents, mentioned in paragraph 4 of the present clause.

The insurer may refuse to prolong the term of payment of the insurance fee debts, fines and penalty fees in the following cases:

- the insured has not paid the current insurance fee in the month preceding the month of submission to the insurer of application for prolonging the term of payment of insurance fee debts, fines and penalty fees;

- the insured has not submit the documents, prescribed in paragraph 4 of the present clause;

- the stable financial condition and solvency of the insured, proved by the resolution, mentioned in paragraph 5 of the present clause.

The amount of the insurance fee debts, fines and penalty fees is calculated by the insurer on the basis of statistical report submitted by the insured.

The penalty fee on the sum of insurance fee debts is not charged form the date of conclusion of a written agreement with the insured to prolong the term of payment of the insurance fee debts, fines and penalty fees.

Te insured is entitled to pay the insurance fee debts, fines and penalty fees ahead of schedule.

The agreement to prolong the term of payment of the insurance fee debts, fines and penalty fees are early terminated from the date of disclosure on January 1, April 1, July 1, October 1 of the fact that the insured has failed to pay the current insurance fees and/or broken the schedule of repayment of the insurance fee debts, fines and penalty fees. The insurer resumes charging a penalty fee from the date of termination of the above agreement in the amount, fixed in paragraph 2 of clause 245 of the present Regulations on the sum of the insurance fee debts, the term of payment of which has been prolonged, and which has not been paid by the date of termination of the agreement to prolong the term of payment of the insurance fee debts, fines and penalty fees.

The agreement to prolong the term of payment of the insurance fee debts, fines and penalty fees is subject to early termination from the date of the following decisions have been made: liquidation of the insured upon the decision of the insured – a legal person, upon the resolution of the economic court or a registering body; economic court decision to open bankruptcy proceedings in respect of the insured – a legal person; decision of the insured – an individual entrepreneur, the economic court, a registering body to cease the activities. The fines and penalty fee on the sum of the insurance fee debts, the term of payment of which has been prolonged are charged from the date of termination of aforementioned agreement.

The early termination of the agreement to prolong the term of payment of the insurance fee debts, fines and penalty fees is not prevent for the insured to apply again for prolonging the term of payment of insurance fee debts. A new application of the insured is considered by the insurer in the order prescribed in the present clause.

245. In the case of breach of the term of registration (re-registration) by the insured with the insurer by the specified time, such insured pays insurance fee for the whole period of its registration (re-registration) evasion plus a penalty at the rate of 10% of the amount of insurance fees accrued during such period.

Should any insured fail to pay insurance fee by the specified time, the insured shall pay to the insurer a penalty at the rate of 1/360 of refinance rate of the National Bank of the amount of insurance fee per each day of delay starting from the date of end of period for which such insurance fee should have been paid.

246. Should any insured person be conceal or underestimate the total sum of all kinds of payments (income, remuneration) charged, on which insurance fee shall be charged, the insured shall pay to the insurer the full amount of insurance fee from such total sum of all kinds of payments (income, remuneration) concealed or underestimated by the insured person plus a penalty twice as much as such sum.

In the case of the submission of accounts in proper time, the insured pays to the insurer the penalty at the rate of 10% of the sum of insurance fee charged for the reporting quarter.

The insurer applies the measures provided for in parts four to six of this clause.

Should it be discovered that the sums have been concealed or underestimated on which insurance fees for compulsory state social insurance and for compulsory insurance against any accidents at workplace and against occupational diseases are charged in accordance with the legislation, the Social Protection Fund of the Ministry of Labor and Social Protection together with the insurer shall, within ten days, notify each other thereof for taking the appropriate measures.

The insurer, on the grounds of orders issued by its head or its any deputy head, is entitled to undisputable collection of debts on insurance fees, penalties, and fines in the amount fixed by the legislation, from the current (settlement), deposit accounts of the insured - legal person in Belarusian roubles, except for the budgetary funds accounts, the accounts of the Social Protection Fund of the Ministry of Labour and Social Protection, and other accounts from which the funds may be collected only in accordance with the procedure established by the legislation.

Should the funds in Belarusian roubles be insufficient and should foreign currency be deposited on the accounts of the insured, any insurance fees, penalties and fines indebted to the insurer shall be collected in Belarusian roubles at the official Belarusian rouble to foreign currency rate fixed by the National Bank as of the date of collection.

247. Compulsory insurance against any accidents at workplace and against occupational diseases of the citizens sent for employment abroad in accordance with the procedure established by the legislation is carried out in compliance with the laws, the acts of the President of the Republic of Belarus, and the treaties which are in effect in the Republic of Belarus.

248. The persons mentioned in clause 243 of the present Regulations are deemed to be insured from January 1, 2004 irrespective of actual fulfillment by the insured of its/his/her respective obligations to pay insurance fees for compulsory insurance against any accidents at workplace and against occupational diseases.

249. The persons whose right to the reimbursement of damage has been established according to the legislation of the USSR (from the employees located in the territory of the Belarusian Soviet Socialist Republic) or according to the legislation of the Republic of Belarus providing for reimbursement for any damage inflicted to the workers through any mutilation, occupational disease or any other damage inflicted to health as a result of fulfillment by such workers of their professional duties, acquire their right to receive insurance payments since January 1, 2004; and their individual coefficients of salary (income) calculated in accordance with such mentioned legislation may be recalculated upon their application in accordance with the legislation in force as of the date of such application. At the same time, monthly insurance payments to the persons for whom the cases of inflicting damage have been established in accordance with the legislation active until July 1, 1999, are made irrespectively of their disability pensions or bread-winner loss pensions fixed with relation to any labour mutilation or occupational disease.

250. For the persons who have suffered (prior to January 1, 2004) any mutilation or occupational disease or any other damage to health in consequence of fulfillment by the same of their duties, which facts have been proven in accordance with established procedure; and for the persons who have lost their bread-winners in consequence of fulfillment by the same of such duties, provided they have been entitled to receive compensation of damage from the employer (tortfeasor) in accordance with the legislation of the Republic of Belarus in force until January 1, 2004 but the issue of compensation of damage has remained unsettled, insurance payment is fixed and paid in accordance with this Chapter irrespective of time of suffering such mutilation, occupational disease or any other damage to health. Such claims are satisfied with respect to the past time but not more that for three years.

251. The right to receive insurance payments starting from January 1, 2004 is granted in corpore to the persons mentioned in clauses 249 and 250 of the present Regulations, irrespective of capitalization of the time payments made at dissolution (in particular, due to bankruptcy) of any legal persons which are liable to pay to the victims compensation of damage inflicted through any mutilation, occupational disease or any other damage to health in consequence of fulfillment by the same of their professional duties.

252. The insurer is not liable for settlement of any debts accrued due to non-fulfillment by the employee (the dissolved one including) of its obligations to reimburse its workers for any damage inflicted through mutilation or occupational disease or any other damage to health inflicted in consequence of fulfillment by the same of their duties, provided such debt has arisen prior to January 1, 2004. The obligation to settle such debt shall be reserved to the Employee.

253. Funds for compulsory insurance against any accidents at workplaces and against occupational diseases are formed at the expense of the following:

- any sums reimbursed to the insurer under the regression claims to the persons who are responsible for any damage inflicted to the insured parties (the insured excluding).

254. The insurer collects debt on insurance fees under compulsory insurance against any accidents at workplace and against occupational diseases, penalties and fines from the insured - a citizen by the court decision.

255. A settlement (current) and any other bank accounts of the insured except for the accounts which list has been established by the legal acts of the Republic of Belarus, is opened only upon submission of a document evidencing of the registration of such insured in this capacity, and is closed upon submission of a document evidencing of non-existence of any debt to the insurer.

256. Compulsory insurance against any accidents at workplace and against occupational diseases is carried out on the basis of the following principles:

- economic interest of the subjects of insurance in securing safe and sound conditions of work, prevention from any accidents at workplace and from occupational diseases;

- compulsory registration of the insured with the insurer, and payment insurance fees to such insurer;

- formation and spending of funds for compulsory insurance against any accidents at workplace and against occupational diseases, at the basis of joint responsibility;

- special-purpose use of funds for compulsory insurance against any accidents at workplace and against occupational diseases.

- the procedure of investigation and recording of any accidents at workplace and occupational diseases;

- the procedure of ascertaining the extent of disability in consequence of any accidents at workplace and occupational diseases.

258. The Ministry of Health and the Ministry of Labour and Social Protection approves the list of occupational diseases.

259. The right to receive insurance payments arises from the date of occurrence of the insured accident.

260. The following persons are entitled to receive insurance payments in the case of death of the insured person caused by any insured accident:

- disabled persons who were the dependants of such deceased party or who were entitled to receive allowance from the same as of the date of his/her death;

- any parent, spouse or any other family member irrespective of his/her ability to work, unemployed and involved in care of the children, grandchildren, brothers and sisters of such deceased party who were his/her dependants, but who have not attained the age of fourteen, or have attained such mentioned age but, according to the opinion of the Medical Rehabilitation Commission of Experts (hereinafter MRCE) or the Medical Advisory Commission, are considered as requiring on-going outside care due to the state of their health;

- the persons who were dependants of such deceased party and who have become disabled within five years following his/her death.

261. Should any parent, spouse or any other family member, unemployed and involved in care of the children, grandchildren, brothers and sisters of such deceased party, who were the dependants of the same, become disabled within the period of such care, such parent, spouse or any other family member shall retain his/her right to receive insurance payments after termination of care of such mentioned persons.

262. Any disabled people who have not been the dependants but are entitled to receive monthly insurance payment, for whom a pension was fixed when such insured person was alive or who had got their wages (income) in the amount exceeding the average per capita living wage fixed and active as of the date of death of such insured person, may be granter the right to receive such monthly insurance payments by the court decision.

263. In the case it is ascertained that gross negligence of any insured person has contributed to occurrence or increase of damage inflicted to his/her health, the amount of monthly insurance payment may be reduced by the insurer depending on the extent of guilt of such insured person, but not less than by 25%. The extent of guilt of the insured person is ascertained during investigation of the accident at workplace or in the report of the occupational disease.

264. In the case of the damage to health is the consequence of intent of any insured person, which fact has been approved by the law enforcement bodies in accordance with established procedure, the insured person is entitled to receive insurance payments.

265. Insurance payments are made at the expense of the Fund of compulsory insurance against any accidents at workplace and against occupational diseases formed by the insurer, and consist of the following:

265.1. Reimbursement of the Social Protection Fund of the Ministry of Labour and Social Protection for their expenses made for payment of disability pensions and bread-winner loss pensions fixed in consequence with any accidents at workplace and occupational diseases, provided the cases of payment of damaged are allowed starting from June 1, 1999;

265.2. Temporary disability allowances fixed in connection with the insured accident;

265.3. Additional payments to reach the amount of the average monthly salary of the insured person who has been temporarily transferred to an easier and less paid work until his/her ability to work is recovered or until steady loss thereof is established;

265.4. Lump-sum insurance payment to the insured person or to any persons entitled to receive the same in case of death of such insured person;

265.5. Monthly insurance payment to the insured person, or to any persons entitled to receive the same in case of death of such insured person;

265.6. Payment of additional expenses related to damage to health of the insured person, his/her medical, social, and professional rehabilitation, including the cost of:

- medical care of the insured person rendered in the territory of the Republic of Belarus immediately after occurrence of the accident at workplace until ability to work of such insured person is recovered or until steady loss thereof is established;

- medical care related to direct consequences of such accident at workplace or occupational disease, rendered in the territory of the Republic of Belarus, including purchase of medications, orthosises, medical-purpose and individual care goods, as well as additional nutrition;

- outside care (special medical and everyday) of the insured person, including the same carried out by his/her family members;

- travel of the insured person and, if necessary, of his/her attendant, immediately after occurrence of the accident at workplace, for the insured person to get medical treatment and social rehabilitation (to order, fit, receive, repair, replace the technical facilities for social rehabilitation), or to and from MRCE for medical examination (re-examination);

- getting sanatorium treatment in sanatoria and health resorts, in particular, when placed therein by a special pass, including the cost of medical treatment, accommodation and feeding of the insured person and, if necessary, travel, accommodation and feeding of his/her attendant, and plus the cost of travel to and from the place of such sanatorium treatment;

- provision with the prosthetic devices, prosthetic and orthopaedic articles, and other technical facilities for social rehabilitation, and repair thereof;

- medical care related to direct consequences of the accident at workplace or occupational disease, rendered in the territory of the CIS member-states; reimbursement for any expenses incurred by the insured person for his/her travel to and from the place of rendering medical care, provided the MRCE certificate states that such insured person is in need of such kinds of medical care, and the opinion of the Ministry of Health of the Republic of Belarus exists stating the impossibility to render such kinds of medical care to such insured person in the medical institutions of the Republic of Belarus;

- repatriation of the insured to the place of residence on the territory of the Republic of Belarus.

Any additional expenses, except for expenses for medical treatment of the insured person in the territory of the Republic of Belarus immediately after occurrence of any accident at workplace until ability to work of such insured person is recovered or until steady loss thereof is established, shall be paid by the insurer, provided MRCE has established that such insured person is in need of such kinds of aid, provision and care. The terms, amount and procedure of payment of such expenses are specified by the Council of Ministers of the Republic of Belarus;

265.7. The cost of burial of the insured person whose death has been caused by the insured accident. The procedure and amount of payment of such expenses is specified by the Council of Ministers of the Republic of Belarus.

266. Reimbursement of any insured person for his/her lost salary/wage concerning remuneration of labour under any civil contract under which such worker is not subject to insurance, and concerning payment of author’s emoluments on which no insurance fee has been charged, is paid at the expense of the tortfeasor.

267. Remuneration for moral damage inflicted to the insured person or his/her family due to occurrence of the insured accident is paid by the tortfeasor in accordance with the procedure established by the civil legislation.

268. An allowance for temporary disability caused by the insured accident is fixed and paid out by the insured, in the amount of 100% of the victim’s average daily (hour) salary/wage calculated and paid out in compliance with the laws of allowances for temporary disability, for the working days (hours) according to the work schedule of the insured person, for the entire period of such temporary disability of the insured person until recovery of such insured person or until steady loss of his/her ability to work is established, as well as in case of exacerbation of any diseases caused by the consequences of any accidents at workplace and occupational diseases after recovery of such insured person or after establishment of steady loss of his/her ability to work.

269. Any sums of temporary disability allowances paid out by the insured are included into the amount of insurance fees paid, and are certified by the documents at the submission of the required statistical reports to the insurer.

270. The insured person who, due to deterioration of his/her health in consequence of any insured accident, has been transferred to an easier and less paid work, is paid out the difference between his/her previous salary/wage and the salary/wage for his/her new work until ability to work of such insured person is recovered or until steady loss thereof is established.

The certificate stating the need of temporary transfer to another job, the period for which such transfer is required (within one year) and nature of such recommended job is issued by the Medical Advisory Commission or MRCE.

Should the insured fail to provide the insured person with the appropriate job, he/she shall be paid, at the expense of the insured’s owed funds, the average monthly salary/wage, which has been paid to such insured person prior to occurrence of the insured accident.

Such previously paid average monthly salary/wage shall be calculated in accordance with the procedure established by the legislation, on the basis of two months immediately preceding the month when the insured accident has occurred.

The insured calculates and makes additional payment to reach the average monthly salary/wage of the insured person who has been temporary transferred to an easier and less paid job due to deterioration of his/her health in consequence of any insured accident.

The amount additionally paid by the insured to reach the average monthly salary/wage of the insured person are included into the amount of insurance fees paid, and are certified by the documents at submission of the required statistical reports to the insurer.

- the insured person, if, according to the opinion of MRCE, occurrence of the insured accident has caused loss by the same of his/her ability to work;

- the persons entitled to receive the same, if occurrence of the insured accident has caused death of the insured person.

272. In the case of the insured person decease in consequence of the insured accidents, monthly insurance payments are performed to:

- the persons who are full-time students of any general secondary or vocational or special secondary or higher educational establishments (except for the educational establishments wherein the students are on the military service or on the service in the bodies of internal affairs) – until completion of education in such educational establishments, but not later than until attaining by them the age of twenty three;

- the persons who have attained the generally established pension age – for life;

- any parent, spouse or any other family member, unemployed and involved in care of the children, grandchildren, brothers and sisters of such deceased party who have been his/her dependants – until they attain the age of fourteen or until the state of their health (that requires on-going external care) changes.

273. Any monthly insurance payments shall be fixed (calculated) and made irrespective of any other pensions not related to any insured accident at workplace or occupational disease, and fixed both prior to or after occurrence of any insured accident. No earnings (income) derived by any insured person or by any person entitled to receive insurance payments in case of death of such insured person caused by any insured accident, may be included to the account of insurance payments.

274. The lump-sum insurance payment to any insurance party shall be fixed at the rate of a sixfold monthly insurance payment calculated according to clause 276 of the present Regulations.

275. Should any insured person decease in consequence of any insured accident, the lump-sum insurance payment shall be fixed at the rate of twelve times the amount of the average monthly earnings (income) of such insured person calculated according to clause 276 of the present Regulations, and shall be paid by equal portions to the spouse of such deceased party irrespective of his/her ability to work, and to any other persons who have been entitled to receive such monthly insurance payment as of the date of death of such insured person.

276. The amount of a monthly insurance payment to any insured person is specified as the share of his/her adjusted average monthly earnings (income) derived prior to occurrence of the insured accident, calculated depending on the extent of disability of such insured person. At the same time, the earnings (income) on which basis such average monthly insurance payment is calculated may not be less than 60% of the average monthly salary/wage of the workers and office employees in the Republic of Belarus and used for adjustment of the earnings in the respective month.

277. In order to adjust the average monthly earnings (income) of any insured person, his/her individual coefficient is calculated, by means of correlation of the average monthly earnings (income) of such insured person within the established period and the average monthly salary/wage of the workers and office employees in the Republic of Belarus for the same months, which coefficient is a simple average of coefficients of actual earnings (income) of such insured person per each month within the respective period. The individual coefficient of earnings (income) of the insured person is the number with five decimal digits.

278. The average monthly earnings (income) of any insured person are adjusted by means of multiplying of the average monthly salary/wage of the workers and office employees in the Republic of Belarus for the preceding month by the individual coefficient of the earnings (income) of such insured person.

279. All kinds of remuneration of labour paid to the insured person, including the same for combining jobs or under any civil contracts or the sums of author’s emoluments on which insurance fee was charged according to the legislation are taken into account for calculation of the amount of lost earnings (income) of such insured person. Any allowances paid in the period of temporary disability or maternity leave on the appropriate grounds, are to be taken into account.

280. All kinds of earnings (income) of the insured person are included into the sums charged before taxes and other mandatory payments.

281. The monthly insurance payment is recalculated according to growth of the average salary/wage of the workers and office employees in the Republic of Belarus, as well as in cases provided for in clauses 307 and 310 of the present Regulations.

282. The amount of insurance payment made to the persons entitled to receive the same in case of death of any insured person in consequence of any insured accident, is fixed on the basis of the adjusted earnings (income) of such insured person, which earnings (income) may not be less than the amount mentioned in clause 276 of the present Regulations. For calculation of the amount of insurance payment made to such persons any pension received by the deceased party shall be included into his/her income together with his/her earnings.

283. The amount of insurance payment made to any disabled persons who have been the dependants of any deceased party and who are entitled to receive monthly insurance payment payable due to death thereof, is fixed on the basis of the adjusted earnings (income) of such deceased party less the sum that fall to the share of such insured person. For calculation of the amount of insurance payment made to each person entitled to receive the same, the total amount of such mentioned payments is divided by the number of the recipients.

284. The amount of insurance payment made to any disabled people who have not been the dependants of the insured person but who are entitled to receive monthly insurance payment, is fixed in accordance with the procedure established by the legislation for calculation of alimonies.

285. In the case of the disabled persons, both the dependants and non-dependants of any deceased party have the right to receive any monthly insurance payments, the amount of such monthly insurance payments due to the persons who have not been the dependants of such insured person is calculated first. The sum of monthly insurance payments fixed to such persons is deducted from the adjusted earnings (income) of such deceased party; then the sum of monthly insurance payments to the persons who have been the dependants of such deceased party is calculated on the basis of the remaining sum in accordance with the procedure stipulated in clause 283 of the present Regulations.

286. The portion of any monthly insurance payment calculated for each person entitled to receive the same, is be subject to subsequent recalculation except for the following cases:

- fixing and termination of such payment to any persons involved in care of the children, grandchildren, brothers and sisters of the deceased party;

- fixing such payment to any persons who have been the dependants of the insured person deceased, and who have become disabled within five years after his/her death;

- fixing such payment to any persons who have been the dependants of the deceased party, as well as to any persons who have not been the dependants of such insured person but who have been entitled to be kept by the same.

287. An individual coefficient of the earnings (income) of any insured person is calculated for twelve calendar months immediately preceding the accident at workplace, occupational disease, or loss or deterioration of ability to work (by request of such insured person).At the occurrence of the occupational disease , mentioned individual coefficient may also be calculated for twelve calendar work-months immediately preceding termination of work which has caused such disease.

288. Upon request of an insured person or a person entitled to receive insurance payments, the following is excluded from the number of months for which an individual coefficient of the earnings (income) of such insured person is calculated:

- incomplete months of employment as a result of work commencement and completion on the day other than the first day of the month;

- the months (incomplete ones including) of a leave granted for upbringing a child until he/she attains the age of three years; and the period of employment during which such insured person was disabled or was paid reimbursement for any damage caused by any insured accident, or was involved in taking care of a I-group disabled person or a disabled child under age or any other person who needed on-going external care according to opinion of MRCE or the Medical Advisory Commission;

- the months (incomplete ones including) of any unpaid or partially paid leave granted on the employer’s initiative in case of temporary suspension of work.

Such excluded months are replaced by the immediately preceding months or, in the case of impossibility of the replacement thereof, are excluded from calculation, and the individual coefficient of the earnings (income) of such insured person is calculated on the basis of the number of months available.

289. Should any insured person be employed less than twelve months, his/her individual coefficient of the earnings (income) shall be calculated on the basis of the actual number of months of employment. In the case of the insured person is employed less than one calendar month, his/her individual coefficient of the earnings (income)is fixed on the basis of a conventional monthly earnings which is calculated as follows: the earnings (income) of such insured person for the entire period of employment is divided by the number of days of employment, and the amount obtained is multiplied by the number of working days in the month calculated as annual average.

290. In the case of impossibility to obtain the documents of actual earnings (income) of any insured person, his/her individual coefficient of the earnings (income) is calculated on the basis of a base wage rate (salary scale) of such insured person, in force for the insured during the period taken into account for calculation of the individual coefficient of the earnings (income) of such insured person. Upon the submission of the documents of actual earnings (income) of such insured person, his/her individual coefficient of the earnings (income) are to be re-calculated.

291. An individual coefficient of the earnings (income) of any insured person who has been employed in the organizations of the Republic of Belarus located abroad, by request of such insured person or any person entitled to be paid insurance payments is calculated on the basis of his/her earnings (income) derived before going abroad or on the basis of the salary/wage established in the Republic of Belarus for a similar post as of the moment of fixing insurance payments.

An individual coefficient of the earnings (income) of any insured person who has been employed abroad, is calculated on common grounds, and the period of his/her employment abroad is excluded. Employment, until January 1, 1992, in the territory of the states included into the USSR, is deemed to be the employment in the Republic of Belarus.

292. Should any accident at workplace (occupational disease) occur repeatedly, the individual coefficient of the earnings (income) of any insured person shall be calculated, by his/her request, for the respective periods preceding the first or the repeated accident at workplace (occupational disease). At that, the amount of insurance payment is calculated proceeding from the total percent of loss of ability to work as the aggregate of the first and the repeated accident at workplace (occupational disease).

293. The insured are obliged to get registered with the insurer within a month from the date of:

- obtaining the document of the state registration of a newly established separate subdivision of any legal person;

294. The procedure of registration (re-registration) of any insured with the insurer isspecified by the Council of Ministers of the Republic of Belarus.

295. Any insured person or any person having the right to insurance payments, are entitled to:

- obtain insurance payments at occurrence of any insured accident in accordance with the procedure and on terms provided for by this Chapter;

- participate in investigation of any accident at workplace or of occupational disease;

- appeal against a decision concerning the issues of investigation of any accident at workplace or of occupational disease;

- apply to MRCE independently, concerning his/her examination or re-examination;

- get from the insured and the insurer free information on compulsory insurance against any accidents at workplace and against occupational diseases;

- be trained, free of charge, in safe methods and techniques of work, in accordance with the procedure established by the Council of Ministers of the Republic of Belarus;

- independently submit any data and/or documents necessary for making a decision by the insurer on fixing insurance payment under compulsory insurance against any accidents at workplace and against occupational diseases.

- within two weeks, notify the insurer in writing of occurrence of any circumstances entailing change or termination of making insurance payments, and on change of residence of such insured person;

- comply with the recommendations provided for by MRCE certificates; undergo medical re-examination in time specified by MRCE.

- participate in fixing any increments to the insurance tariff and any discount from such tariff;

- defend his/her rights and lawful interests, the rights and lawful interests of any insured parties, in the court including.

- pay insurance fees to the insurer, in accordance with the procedure established by the legislation;

- keep record of charging, transfer of insurance fees, and insurance payments made;

- ensure safe keeping of the documents which are the basis for fixing insurance payments;

- make insurance payments in accordance with the procedure established in this Chapter;

- ensure safe and sound conditions of labour for any insured parties, and provide for taking any measures in order to prevent from and reduce the number of insured accidents;

- notify the insurer of occurrence of any accident at workplace or occurrence of any occupational disease, within three working days from the date of occurrence thereof;

- investigate or participate in investigation of any accidents at workplace and occupational diseases in accordance with the procedure established by the legislation;

- collect, at his/her own expense, and submit to the insurer any documents or the attested copies thereof which serve as a ground for charging and payment of insurance fees;

- timely notify the insurer of its reorganization, dissolution, termination of activities, or instituting, against it, any insolvency (bankruptcy) proceeding;

- meet the requirements of any State bodies involved in supervision and control of compliance with the laws of labour and safety of labour;

- submit to any insured person or a person entitled to be paid insurance payments, any documents or the attested copies thereof which serve as a ground for fixing insurance payments;

- explain to any insured parties their rights and duties, and the procedure and terms of compulsory insurance against any accidents at workplace and against occupational diseases;

- notify the insurer of all known circumstances that influence the rate of any increments to the insurance tariff and any discount from such tariff, which rate has been fixed for such Insurant, or on granting any preferences for payment such insurance fees;

- in the case of liquidation to include the representative of the insurer into the liquidation commission (by the insurer’s request).

- fix the rates of any increments to the insurance tariff and any discount from such tariff, for the insured, in accordance with the procedure established by the President of the Republic of Belarus;

- participate in investigation of any accidents at workplace and occupational diseases;

- participate in the work of MRCE to ascertain the extent of disability of any insured person and/or learn the documents which have served as a grounds for making an appropriate decision by MRCE;

- validate information on any insured accidents available with the insured, make expert examination related to such insured accidents;

- demand, from the insured, of submission of information necessary for keeping insurance history of the same, and validate such submitted information;

- apply to the insured any responsibility measures provided for by the legal acts;

- co-operate with the State bodies involved in supervision and control of compliance with the laws of labour and safety of labour; with the State administrative labour and social protection bodies, MRCE, and other State bodies and institutions, trade unions on the issues of compulsory insurance against any accidents at workplace and against occupational diseases;

- defend its rights and lawful interests, and the rights and lawful interests of any insured parties and persons entitled to be paid insurance payments, in the court including.

299-1. The insurer is entitled to exercise within the sum of paid insurance money a subrogated claim, which the insured has in respect of a person (except for the insured) liable for the damage reimbursed under the insurance, in cases of:

- intended actions, except for actions, committed in the state of extreme necessity or necessary defense;

- transportation means driving under alcoholic, drug, psychotropic, toxic or other intoxication, as well as transfer of driving to a person who is under alcoholic, drug, psychotropic, toxic or other intoxication, and in case of refusal of medical examination after traffic accident;

- a person inflicted damage is not entitled to drive a transportation means according to the legislation;

- a person inflicted damage has not comply with the requirements of the Road Traffic Rules to inform the State Automobile Inspection of the Ministry of Internal Affairs about the traffic accident, and to take other measures prescribed by the above Rules in the case of traffic accident;

- a person inflicted damage has illegally seized a transportation means without owner’s fault;

- a person responsible for maintenance and service of the road has been found by the court guilty.

- make insurance payments to any persons entitled to be paid the same who have left for permanent residence outside the Republic of Belarus, in compliance with the procedure establishes by the Council of Ministers of the Republic of Belarus;

- ensure accounting of monetary funds for compulsory insurance against any accidents at workplace and against occupational diseases;

- specify, in accordance with the legislation, the list of documents or the attested copies thereof for making a decision on fixing insurance payments mentioned in clause 265 of the present Regulations;

- accumulate capitalized payments at termination of the insured’s activity in case of dissolution thereof, in particular, due to its bankruptcy;

- control, within its terms of reference, activities of the insured concerning fulfillment by the same of its/his/her respective obligations stipulated for in clause 298 of the present Regulations;

- explain to any insured person or a person entitled to receive insurance payments, and to the insured their rights, obligations, procedure and terms of compulsory insurance against any accidents at workplace and against occupational diseases;

- ensure confidentiality of information on the insured, the insured persons, and the persons entitled to receive insurance payments, except for cases provided for by the legislation;

- independently require any data and/or information necessary to make a decision on fixing, fulfilling insurance payments, from the State bodies and any other organizations;

- pay compulsory insurance fees to the Population Social Protection Fund of the Ministry of Labour and Social Protection for disabled persons who are not involved in employment, have not reached the age, specified in article 11 of the Law of the Republic of Belarus “On provision of pensions”, and receive monthly insurance money; for persons who receive a temporary disability allowance in connection with the insurance accident; and on additional payments up to the average salary of the employee who has been temporary transferred to an easier work with a lower salary in connection with the damage to health incurred from the accident at workplace or occupational disease.

301. For fixing insurance payments (except for payments stipulated for in clauses 268-270 of the present Regulations) the insured person (his/her representative) or a person entitled to receive such payments, lodges their application with the insurer.

Should any insured person or a person entitled to receive insurance payments lodge their application, the insurer shall ascertain which data and/or documents or attested copies thereof will be submitted by such applying person independently, and which data and/or documents or attested copies thereof shall be obtained by the insurer’s request.

If the insurer will collect such necessary data and/or documents, the person who applies to the Insurant for fixing insurance payments submit independently the following to the insurer:

- a civil contract that provides for payment of insurance fees; a copy of his/her service record or any other document evidencing of labour relations with the insured;

the fact that certain persons have been the dependants of such deceased party or establishing the right to be kept by the same;

expenses (according to MRCE opinion) for medical, social, and vocational rehabilitation of such insured person, and other kinds of aid, provision and care stipulated in subclause 265.6 clause 265 of the present Regulations;

Any other data and/or documents necessary for making a decision on fixing insurance payments are obtained by the insurer, on its demand, from the State bodies and other institutions except for the data and/or documents for which submission a court decision is required.

- the report on the accident at workplace or the report of the occupational disease;

- the certificate of the monthly earnings (income) of the insured person for the period chosen by the same for calculation of individual coefficient of the monthly earnings (income) of such insured person;

- the MRCE certificate of the required kinds of medical, social, and vocational rehabilitation of the victim who has suffered as the result of the accident at workplace or from an occupational disease;

- the certificate of death of the insured person and, if necessary, the report on the causal relationship between his/her death and the insured accident, or a medical certificate of death;

- the certificate on the pace of residence and family composition of the deceased insured person or the copy of personal account, issued by the organization exploiting housing founds, organization having given living quarters;

- the certificate issued by the educational establishment, stating that any family member of such insured person, who is entitled to receive insurance payments, is a full time student;

- any other documents necessary for making a decision on fixing insurance payments.

The procedure of obtaining, on demand, any data and/or documents necessary for making a decision on fixing insurance payments is established by the Council of Ministers of the Republic of Belarus.

302. The state bodies and other organizations undertake, within two weeks from receipt of the request of the insurer, insured person (or a representative thereof) or any person entitled to receive insurance payment, to submit, free of charge, all data and/or documents necessary for making a decision on fixing, fulfilling insurance payment under compulsory insurance against any accident at workplace or against occupational diseases, in accordance with the procedure established by the Council of Ministers of the Republic of Belarus.

303. Should the documents necessary for fixing insurance coverage be absent or should there be disagreement with the contents thereof, the facts necessary for fixing insurance coverage under compulsory insurance against any accident at workplace or against occupational diseases shall be ascertained by the court except for the case mentioned in part two of this clause.

At the absence of the documents evidencing of the fact that a person entitled to receive insurance payments has been a dependant of the insured person deceased, the insurer has the right to independently fix coverage under compulsory insurance against any accident at workplace or against occupational diseases (dependence of children under age is presumed and does not require any proofs). In the case of disagreement with the insurer’s decision, the dispute is settled in the court.

304. The insured person or a person entitled to receive insurance payment (or the representatives thereof) is entitled to apply to the insurer for receipt of insurance payments irrespective of the statute of limitation of any insured accident.

305. A decision on fixing insurance payments or on refusal to fix the same is made by the insurer not later than within ten working days (or not later than within five working days, should the insured person decease) from the date of submission of all necessary documents or the attested copies thereof.

306. The application for fixing insurance payments and the documents or the attested copies thereof on which grounds such payments have been fixed, is kept with the insurer.

307. The monthly insurance payments are fixed to the insured person for the entire period of disability starting from the day when MRCE has established the fact of the respective disability.

Should the extent of disability change, such fixed insurance payment shall be recalculated from the date of such change.

308. The monthly insurance payments to the persons entitled to receive the same in the case of death of the insured person caused by any insurance accident are fixed starting from the date of death of such insured person but not earlier than from the date of acquisition of the right to such payments.

309. Claims of any insured parties for fixing insurance payments raised upon expiration of three years from the date of arising the right to receive such payments (compensation of damage) are satisfied for the past years but not more than for three years preceding the day of lodging an application and submission of all necessary documents or the attested copies thereof.

310. Should the rate of an individual coefficient of the earnings (income) of the insured person change, the fixed monthly insurance payment shall be recalculated:

- from the first day of the month immediately following the month wherein the insured person or the person entitled to receive insurance payments has applied for recalculation – should the right to increase the rate of such coefficient arise;

- from the first day of the month immediately following the month wherein the respective circumstances have occurred – should any circumstances occur entailing reduction of such coefficient.

311. Insurance payments are made by the insurer except for insurance payments stipulated by clauses 268-270 of the present Regulations, which payments are made by the insured.

312. In the case of the insured, which is a legal person, is liquidated due to its bankruptcy, or the insured who is a citizen is ceased his/her activities, the insurer irrespective of the fact that the capitalization of payments provided for in clause 326 of the present Regulations was or was not made makes the insurance payments.

313. Lump-sum insurance payments are made to the insured person not later than within a month from the date of fixing thereof or, at the insured person decease, to the persons entitled to receive such payments within ten days from the date of fixing thereof.

314. Monthly insurance payments are made not later that on the fifteenth day of the month immediately following the month for which such payments are made. The expenses for delivery, remittance or transfer of any insurance payments are financed from the monetary funds for compulsory insurance against any accidents at workplace and occupational diseases and are included into the insurance payments.

315. The monthly insurance payments to any children under age who are kept in the children boarding schools, family-type orphanages, children villages (settlements), tutelary and adoptive families under the State material maintenance, are transferred to their bank deposits.

316. Should any insured person or a person who receives the monthly insurance payment permanently live (stay) in a state-owned social protection institution or in a penitentiary, the cost of keeping such persons in such mentioned institutions shall be deducted from the sum of the monthly insurance payment. Nevertheless, the monthly insurance payment due to such persons, less the cost of their keeping, may not be less than 25% of such monthly insurance payment. The portion of insurance payment intended for compensation of cost of keeping such persons in the respective institutions, shall be transferred to such mentioned institutions.

317. Should any sums of the monthly insurance payments be subject to payment to any insured person or a person entitled to receive the same, but should they be paid in the amount less than due because of death of such recipient, the sums shall payable by equal portions to his/her family members who have resided together with the deceased recipient as of the date of his/her death, and to any disabled dependants irrespective of the fact whether they have or have not resided with such deceased party. Claims for payment of such sums may be raised within six months from the death of such recipient.

Should there be no such mentioned persons or should no claims for insurance payment be raised within such fixed period, the appropriate sums shall be included into the inheritance and shall be inherited in accordance with the procedure established by the legislation.

The sums of the monthly insurance payments transferred to the bank account of any insured person after his/her death and any other excess sums of insurance payments transferred are collected by the insurer in legal form.

318. Should any temporary disability allowances and any payments made in order to reach the average salary/wage amount provided for in clause 268-270 of the present Regulations, be paid by the insured in defiance of the legislation, they shall not be included into insurance fees paid.

319. Medical examination of the insured person by MRCE is performed upon request of the insurer, the insured or the court decision or upon application of such insured person submitted together with the repost of the accident at workplace or the repost of the occupational disease.

320. Should the nature of diseases or mutilations give grounds to establish disability (extent of loss of ability to work) in consequence of any accident at workplace or any occupational disease or in consequence of any other reason, MRCE shall ascertain only one reason of disability (extent of loss of ability to work) by totality of diseases (mutilations) or according to choice of the insured person or the reason than gives the right to higher material security.

321. Medical reexamination of the insured person by MRCE is performed within the time fixed by such Commission, but it may be carried our earlier upon application of such insured person or upon request of the insurer or the insured, as well as in the case when the fact becomes known that the decision of MRCE has been unfounded or made on the basis of false documents.

322. Should any subject of insurance disagree with the MRCE opinion, an independent medical expert examination shall be carried out in accordance with the procedure established by the legislation, which cost shall be financed at the expense of the monetary funds for compulsory insurance against any accidents at workplace and against occupational diseases, and shall be included into insurance fees.

323. The insured person and the persons entitled to receive insurance payments bear responsibility for reliability and timely submission to the insurer of any information on occurrence of any circumstances entailing change of coverage under compulsory insurance, including the amount of insurance payments or termination of payment thereof. Should any information necessary for proving the right to receive insurance payments be concealed or should it be invalid, such insured person and the persons entitled to receive insurance payments shall reimburse the insurer for all excess expenses incurred.

- non-fulfillment of its/his/her respective obligations of timely registration (re-registration) with the insurer, full and timely payment of insurance fees, timely submission of all required accounts (information) to the insurer;

- reliability of submitted information necessary for getting insurance payment by the insured person.

Should the insured submit any invalid data, no excess expenses for coverage under insurance shall be included towards payment of insurance fees.

325. Should the insured which is a legal person, be reorganized, its obligations established by this Chapter, including payment of insurance fees, shall be transferred to its assignee in accordance with the deed of conveyance or the dividing balance sheet.

326. Should the insured which is a legal person be liqidated, in particular, due to its bankruptcy, or should any insured who is a citizen cease his/her activities, such insured shall make all capitalized payments to the insurer in accordance with the procedure established by the Council of Ministers of the Republic of Belarus.

327. Should there be insufficient or null monetary funds for capitalization in the case of dissolution or termination of the insured’s activities, claim to its/his/her property shall be made in compliance with the legislation.

CHAPTER 16

PROCEDURE AND CONDITIONS OF COMPULSORY INSURANCE

OF LIABILITY OF COMMERCIAL ORGANIZATIONS

INVOLVED IN REALTOR’S ACTIVITIES, FOR THE DAMAGE INFLICTED

IN THE COURSE OF CARRYING OUT OF THE SAME

360. The insured that carries out compulsory insurance of liability is a commercial organization involved in realtor’s activities (hereinafter in this Chapter the insured).

361. The beneficiaries under the contracts of compulsory insurance of liability of any commercial organizations involved in realtor’s activities, for any damage inflicted in the course of carrying out of the same (hereinafter in this Chapter the contract of compulsory insurance of liability) are consumers of services of such realtor’s organizations (hereinafter in this Chapter the Consumers).

362. The object of compulsory insurance of liability are the property interests of the insured related to inflicting damage to the consumers due to carrying out realtor’s activities (non-fulfillment or improper fulfillment of the obligations under the contract of rendering realtor’s services).

363. The insured accident is deemed to be non-fulfillment or improper fulfillment by the insured of its respective obligations under the contract of rendering realtor’s services which have caused damage to the consumer.

The events listed as force majeure circumstances in the contract of rendering realtor’s services are deemed to be insured accidents.

364. Within the entire period of the contract of compulsory insurance of liability the sum insured under the same may not be less than 10 000 base units fixed as of the date of signing such contract.

365. The amount of insurance fee under any contract of compulsory insurance of liability is calculated by the insurer according to the insurance tariff fixed by the President of the Republic of Belarus.

The insurance fee under any contract of compulsory insurance of liability may be paid as a lump-sum payment or in two allotments: 50% are paid at the conclusion of the contract, as well as other50% are paid within six months from entering thereof into force.

In the case of the insured fail to pay the second portion of such insurance fee mentioned in part two of this clause, the contract of compulsory insurance of liability is deemed to be terminated and any obligations of the insurer under the same are cease, with the exception of the cases when such obligations to pay insurance money have arisen prior to termination of the contract of compulsory insurance of liability.

366. The contract of compulsory insurance of liability is concluded on the basis of the insured’s written application together with the enclosed copies of the following:

- the certificate of the state registration of the commercial organization, not necessarily notarized;

- a special permit (license) for carrying out activities in the field of rendering legal services, specifying the kind of services (realtor’s services) included into such licensed kind of activity.

At submission of such listed copies of documents the insured produces the originals thereof to the insurer.

367. The contract of compulsory insurance of liability is concluded for the period of one year.

368. The contract of compulsory insurance of liability enters into force from the date immediately following the date of payment of insurance fee by the insured (or from the date immediately following the date of payment of the first portion of insurance fee, should it be paid in two allotments).

The date of payment of insurance fee by the insured (the first portion of insurance fee) shall be deemed the date of writing off monetary funds from its account.

Insurance policy is served to the insured within one working day from the date of submission, to the insurer, of the copy of the payment order bearing the bank’s notice of writing off certain monetary funds for payment of insurance fee (the first portion of insurance fee).

The forms of the insurance policy and the application of the insured are approved by the Ministry of Finance.

369. At any time within the period of the contract of compulsory insurance of liability, the insured has the right to lodge its application with the insurer for entering changes and additions in such mentioned contract concerning increase of the sum insured and, respectively, of the amount of insurance fee.

Insurance fee is paid by the insured together with entering changes and additions in the contract of compulsory insurance of liability, and the insurance policy is served to the insurant within one working day from the date of submission, to the insurer, of the copy of the payment order bearing the bank’s notice of writing off certain monetary funds for payment of insurance fee. The amount of insurance fee is paid upon increase of the sum insured shall be calculated by means of multiplying the insurance tariff by the difference between the increased sum insured and the sum insured for which insurance fee has been paid initially.

- sign the contracts of compulsory insurance of liability annually within the entire period of carrying out realtor’s activity;

- submit to the insurer all necessary information and documents in case of occurrence of any insured accident and at signing the contract of compulsory insurance of liability.

371. The insured has the right to learn the terms of the contract of compulsory liability insurance.

- form the insurance reserve and the preventive measures fund in accordance with established procedure;

- sign an contract of compulsory insurance of liability and let the insured learn the terms of the same;

- make, within the time fixed by the present Regulations, insurance payment at occurrence of any insured accident.

- demand, from the insured, submission of all necessary information and documents at signing the contract of compulsory insurance of liability and in case of occurrence of any insured accident;

- obtain, from the law enforcement bodies and from other competent bodies, any information and documents necessary for making a decision on the issues related to the insured accident and assessment of the extent of damage inflicted.

374. At the occurrence of the insured accident stipulated for in the contract of compulsory insurance of liability, the extent of damage inflicted to the consumer is calculated on the basis of:

- losses, which are deemed to be expenses of the consumer which have been or will be made by the same in order to restore his/her infringed right, legal expenses including;

- the cost of the bargain declared invalid by the court, which cost shall, by the court decision, be reimbursed by the commercial organization involved in realtor’s activity;

- any expenses incurred by the consumer for payment o services under the contract of rendering realtor’s services.

Insurance money under any contract of compulsory insurance of liability are paid to the consumer in case of non-fulfillment or improper fulfillment by the insured of its respective obligations under the contract of rendering realtor’s services signed during the period of such contract of compulsory insurance of liability.

The amount of insurance money payable may not exceed the sum insured fixed in accordance with clause 364 of the present Regulations.

No moral detriment or loss of profit or any forfeit (penalty, fee) provided for by the contract of rendering realtor’s services are subject to reimbursement.

375. Following payment of insurance money to the consumer made within the period of the contract of compulsory insurance of liability, the sum insured under such contract is restored by the parties thereof up to its minimum amount fixed according to clause 364 of the present Regulations.

Within three days from payment of insurance money to the consumer, the insurer forwards its written request to the insured claiming for restoration of such minimum sum insured and payment of a certain extra insurance fee; such request is specified the time within which the insured shall apply to the insurer for entering the appropriate changes in the contract of compulsory insurance of liability but no longer than within 30 days.

The amount of such extra insurance fee is calculated by means of multiplying the insurance tariff by the amount of insurance money paid out to the consumer.

Any extra insurance fee is paid by the insured together with entering the appropriate changes and additions in the contract of compulsory insurance of liability, and the insurance policy shall be served to such Insurant within one working day from the date of submission, to the insurer, of the copy of the payment order bearing the bank’s notice of writing off certain monetary funds for payment of such extra insurance fee.

In the case of the insured fails to pay any extra insurance fee by the time established by the insurer, the contract of compulsory insurance of liability is deemed to be terminated and the obligations of the insurer under the same are ceased, with the exception of the cases when such obligations to pay insurance money have arisen prior to termination of the contract of compulsory insurance of liability.

376. In order to be paid insurance money, the consumer or his/her authorized person applies in writing to the insurer stating the occurrence of the insured accident.

The copies of the documents evidencing of occurrence of such insured accident and the amount of damage inflicted to the consumer are enclosed to such application (the contract of rendering realtor’s services, any document evidencing fulfillment of obligations under the contract, the consumer’s written request for fulfillment (proper fulfillment) of the contract of rendering realtor’s services, information on satisfaction or denial of such request, the decisions of the court, and any other documents evidencing of occurrence of the insured accident and the amount of damage inflicted).

Should the consumer who is a natural person decease, his/her heirs shall additionally submit the notarized copies of the documents of death of such consumer and the documents evidencing of the succession right.

Should any consumer, which is an organization, be reorganized, the right to be paid insurance money shall pass to its assignees, which shall additionally submit the copies of their constituent documents and certificates of the state registration, extracts from the Unified Register of Legal persons and Individual Entrepreneurs on establishment of such assignees, which are organizations.

377. The report on the insured accident is drawn up by the insurer according to the form approved by the Ministry of Finance, within 10 days from submission of the applications and the copies of the documents evidencing of occurrence of the insured accident and the amount of damage inflicted.

Insurance money are paid within 5 days from the date of drawing up the report of the insured accident.

378. In the case of necessity of the additional study or additional examination of the circumstance of occurrence of any insured accident or of the amount of damage inflicted or of any submitted documents be required, the time of making up the report on the insured accident may be extended by the insurer but no longer than for one month from the date of acceptance of the documents mentioned in clause 376 of the present Regulations

The insurer notifies in writing the person who has applied to it for payment of insurance money about the extension of the time for making the report.

379. The precautionary (preventive) measures fund is formed by the insurer in Belarusian rubles at the expense of monthly deductions at the rate of 6% from insurance fees collected under compulsory insurance of liability.

The insurer separately from cash resources of any other funds and reserves records cash resources of this Fund.

The insurer transfers cash resources of such mentioned Fund to the Republican budget by the 22nd day of the month immediately following the reporting one.

Receipt and spending of cash resources of this Fund is recorded on credit and debit of the Republican budget for the regular financial year.

Cash resources of the precautionary (preventive) measures fund are allocated from the Republican budget by a decision of the President of the Republic of Belarus.

cash resources of the preventive measures fund not used within a financial year are entered in this fund in the following financial year.

380. The insurer has the right to the regressive claim to the person responsible for infliction of any damage, within the insurance money paid with the exception of the infliction of damage through imprudence of the insured.

381. If the insured or consumer has deliberately submitted any false information entailing increase of the extent of damage or unfounded payment of insurance money, such consumer is obliged to repay any sum so received, by request of the insurer.

382. For purposes of compulsory insurance with state support of harvest of crops, cattle and poultry (further in this article – compulsory insurance of agricultural products) the following terms are used:

“crops loss” – loss of crops on 15 and more percent of area of sowing (planting) of these crops;

“infectious disease” – all disorders of organism caused by penetration and influence of pathogens which have resulted in deviation from its normal vital activity;

“agricultural products” – crops, cattle and poultry included into the list of objects subject to compulsory insurance of agricultural products being annually approved by the President of the Republic of Belarus.

383. Insurer on the compulsory insurance of agricultural products is Belgosstrah (further in this article – insurer).

384. The insured on the compulsory insurance of agricultural products are legal persons basic kind of activities of which is growing (producing) of crops, cattle and poultry and also legal persons separate subdivisions of which grow (produce) crops, cattle and poultry, have separate balance and current (settlement) or other bank account in the part of this activities (further in this article – the insured).

385. The objects of compulsory insurance of agricultural products are the property interests of insured connected:

with the loss (mortality), forced slaughter (destruction) of cattle and poultry accepted for insurance.

The list of crops, cattle and poultry subject to compulsory insurance is approved by the President of the Republic of Belarus annually.

crops which the insured has been sowing during 3-5 years preceding to the conclusion of the contract of compulsory insurance of agricultural products but didn’t get the products (harvest) in any year;

cattle and poultry haven’t been cared properly by the insured when the rules of care, feeding, keeping and using of cattle and poultry, established by the legislation for this area, are not observed in consequence of which the loss (mortality), forced slaughter (destruction) threaten them;

cattle and poultry during last test on infectious diseases of which positive reaction was determined;

cattle and poultry in that areas or organizations where quarantine on infectious disease was established before its cancellation, except for the cases of insurance of such kinds of cattle and poultry which are susceptible to this disease.

387. The insured accidents on compulsory insurance of agricultural products are the following:

on insurance of crops harvest – loss of crops as a result of fire, wetting through, damping-off, frost-killing, drought, frost, other dangerous hydrometeorological phenomena;

on insurance of cattle and poultry - loss (mortality), forced slaughter (destruction) as a consequence of infectious diseases included into the list approved by the Ministry of Agriculture and Food, fire, explosion, dangerous hydrometeorological phenomena, destruction (damage) of places of cattle and poultry keeping and also forced slaughter (destruction) of cattle and poultry at the direction of the specialist of veterinary service connected with conducting measures on epizootic control, except for bird flue.

388. Cattle and poultry accepted for insurance are deemed to be insured at the places of their keeping, at the place of their pasture (grazing) and on way to (from) the place of pasture (grazing, keeping, including temporary one).

on the insurance of crops harvest – the value of harvest of these cultures calculated by the insurer according to the procedure established by the Ministry of Finance on the agreement with the Ministry of Agriculture and Food on the assumption of the average productivity of the culture from 1 hectare during last 5 years, average selling prices for the harvest of this culture having been formed in the year preceding the year of conclusion contracts of compulsory insurance of harvest of crops, cattle and poultry (further in this article – contracts of compulsory insurance of agricultural products), being presented annually not later than March, 1 to the insurer by the National Statistics Committee, and the area from which the harvest has been planned to be got;

on the insurance of cattle and poultry – their balance (on the cattle and poultry on which the depreciation is set – depreciable) value according to the data of registration of the insured as of the 1st day of the month in which the contract of compulsory insurance of agricultural products is concluded.

390. Sum insured on the contract of compulsory insurance of agricultural products is established in the amount of insurable value of the harvest of crops, cattle and poultry separately on each kind of crop, cattle and poultry.

391. If under the contract of compulsory insurance of agricultural products the insurance payment on one of the kinds of crops, cattle and poultry was made then the sum insured on this kind of crop, cattle and poultry is decreased by the sum of insurance payment.

392. Insurance fee under the contract of compulsory insurance of agricultural products is calculated by the insurer on each kind of crop, cattle and poultry separately by multiplying of the sum insured on this kind of crop, cattle and poultry by insurance tariff.

Insurance tariffs on the compulsory insurance of agricultural products are annually established by the President of the Republic of Belarus.

5 percent of calculated insurance fee – by the insured at a time at conclusion of the contract of compulsory insurance of agricultural products;

95 percent of calculated insurance fee – to the insurer according to the order established by the Council of Ministers of the Republic of Belarus from the republican fund of support of producers of agricultural products, food and agrarian science provided for these purposes:

on the insurance of crops harvest – not later than August, 1 of the year in which the harvest of this crop must be taken;

on the insurance of cattle and poultry – not later than December, 1 of the year of conclusion of the contract of compulsory insurance of agricultural products, except for the case indicated in part three of this clause.

If the insured accident occurs before full paying of insurance fee the insurer pays insurance money:

on insurance of crops harvest – proportionally to the sum of actually paid insurance fee as of the date of drawing up of the act on insurance accident;

on insurance of cattle and poultry – irrespective of the sum of actually paid insurance fee to the insurer if the amount of insurance money, which is to be paid to the insured, doesn’t exceed the sum insured under the contract of compulsory insurance of agricultural products.

If on the insurance of cattle and poultry the amount of insurance money is equal to the sum insured under the contract of compulsory insurance of agricultural products then the insurer pays insurance money not earlier than the day of full payment of the insurance fee calculated on this contract. At that unpaid part of insurance fee is transferred to the insurer one time on the basis of the previously directed in the established order demand to pay the full sum of insurance fee under the contract of compulsory insurance of agricultural products previously to the established terms in connection with the payment of the sum insured under this contract in full.

The day of payment of insurance fee is the day when it has come on the account of the insurer.

394. The contract of compulsory insurance of agricultural products is concluded on the basis of the application on compulsory insurance of agricultural products according to the form approved by the Ministry of Finance.

Contracts of compulsory insurance of agricultural products are concluded by the insurer separately on the insurance:

Contracts of compulsory insurance of agricultural products on insurance of crops harvest are concluded depending on the terms of sowing (planting) in respect of one or several kinds of crops.

395. Contract of compulsory insurance of agricultural products must be concluded:

on insurance of crops harvest – not later than the day of finishing sowing (planting), winter crops – not later than one month from the day of finishing sowing (planting), cultures cultivated in protected ground – not later than the beginning of manufacturing cycle of sowing (planting);

on the insurance of cattle and poultry – not later than January, 20 of the current year or, if as of the indicated date the insured has no cattle and poultry being subject to compulsory insurance, – during 30 calendar days from the day the insured has received such cattle and poultry.

396. The contract of compulsory insurance of agricultural products is concluded:

on insurance of crops harvest – from the day following the day the insured has paid 5 percent of insurance fee till the day he/she has finished harvesting of the crops which is determined on the basis of written notification directed by the insured to the insurer on finishing of harvesting of each kind of crop;

397. Contract of compulsory insurance of agricultural products enters into force from the day following the day when the insured has paid 5 percent of insurance fee.

Contract of compulsory insurance of agricultural products terminates in the cases:

the insurer has fulfilled the obligations under the contract in full (payment(s) of insurance money under the contract in the amount of the sum insured);

if after the contract of compulsory insurance of agricultural products has entered into force the probability of occurrence of the insured accident has felt away and insurance of insurance risk has been terminated for other reasons than insurance accident.

on insurance of crops harvest on each kind of crop – from the day following the day of finishing sowing (planting) of this culture in accordance with written notification submitted by the insured to the insurer on finishing sowing (planting) but not earlier than the contract of compulsory insurance of agricultural products enters into force;

on insurance of cattle (poultry) – from the day the contract of compulsory insurance of agricultural products enters into force.

on insurance of crops harvest on each kind of crop – from the day the insured finishes harvesting of this culture which is determined on the basis of written notification directed by the insured to the insurer on finishing of harvesting of the indicated culture;

on insurance of cattle and poultry – from the day following the last day of validity period of the contract of compulsory insurance of agricultural products.

399. Contracts of compulsory insurance of agricultural products are concluded in writing. Forms of contracts of insurance of harvest of crops, cattle and poultry are approved by the Ministry of Finance.

400. Cattle and poultry being taken on the balance by the insured during the validity period of the contract of compulsory insurance of agricultural products are deemed to be insured within the limits of the sum insured of the corresponding kind of cattle and poultry from the moment of taking them on charge without paying additional insurance fee if increasing of the livestock is not more than 30 percent of the number being available at concluding the contract of compulsory insurance of agricultural products.

If during the validity period of the contract of compulsory insurance of agricultural products the livestock of cattle and poultry of corresponding kind increases by more than 30 percent then the insured is obliged to apply to the insurer within 7 days for introducing changes to the contract of compulsory insurance of agricultural products in the part of increasing the sum insured on this kind of cattle and poultry but not more than to balance (depreciable) value of these cattle and poultry as of the day of introducing changes to the contract of compulsory insurance of agricultural products.

At introducing changes to the indicated contract in the case provided in part two of this clause the insurance fee is paid to the insurer in the order established in clause 393 of these Regulations.

In the case of non-payment of insurance fee mentioned in part three of this clause the insurance payment is made proportionally to ratio of the sum insured on this kind of cattle and poultry to their balance (depreciable) value as of the day of insured accident.

to submit necessary information and documents to the insurer at concluding contract of compulsory insurance of agricultural products and occurrence of the event which can be recognized to be a insured accident;

to observe the requirements of technical normative legal acts on cultivating of crops, instructions of veterinary specialist on conducting preventive measures on cattle and poultry diseases control, requirements of technical normative legal acts on keeping and proper care of insured cattle and poultry and also the requirements of the bodies of veterinary and state fire supervision;

to apply to the insurer for introducing changes to the contract of compulsory insurance of agricultural products in the case provided by clause 400 of these Regulations;

at occurrence of the event which later can be recognized as an insured accident to take all possible measures on preventing and (or) decreasing the damage and also on the term not later than 3 working days to notify in writing the insurer on this event.

to demand information and documents from the insurer which are necessary for concluding the contract of compulsory insurance of agricultural products and establishing the fact of occurrence of the insured accident and also for determining the size of damage.

to check the information given by the insured at concluding contract of compulsory insurance of agricultural products and occurrence of the event which can be recognized as the insured accident and also observance by him/her the conditions of this contract;

to check the observance by the insured of the requirements of technical normative legal acts on cultivating of crops, keeping and proper care over the insured cattle and poultry, the requirements of the bodies of veterinary and state fire supervision;

to refuse of paying insurance money in the cases provided in clause 409 of these Regulations.

familiarize the insured with the conditions of the contract of compulsory insurance of agricultural products;

in the established order to form special insurance reserve, guarantee fund and fund of precautionary (preventive) measures;

to direct the income obtained from investing of funds of special insurance reserve for replenishing of the mentioned reserve in the order established by the Ministry of Finance;

at occurrence of the insured accident to make the insurance payment within the term determined in clause 407 of these Regulations.

404. For settling the question on recognizing the declared event to be the insured accident and payment of insurance money the insured shall submit the following documents to the insurer:

application on payment of insurance money in optional form with indication of the sum of damage;

the documents confirming the fact, reasons and circumstances of occurrence of the insured accident (conclusions of hydrometeorological service, veterinary service, bodies on emergency situations);

act of loss (mortality, forced slaughter, destruction) of crops, cattle and poultry drawn up by the insured, and in the case of forced slaughter (destruction) of cattle and poultry connected with conducting measures on epizootic control – by veterinary specialist;

the documents confirming the calculation of the size of damage made by the insured.

With application on payment of insurance money the insured shall apply to the insurer not later than 3 months from the day of occurrence of the event which can be recognized as being insured accident. After the 3-months period expires the documents on payment of insurance money can be accepted by the insurer only according to the court decision.

405. On the basis of the submitted documents listed in clause 404 of these Regulations the insurer within 10 working days is obliged to take a decision on recognizing or non-recognizing of the declared event as being the insured accident. If the event has been recognized as being the insured accident and there are no grounds to refuse of payment of the insured money the insurer within the mentioned period draws up the act on the insured accident according to the form approved by the Ministry of Finance and makes a calculation of the sum of insurance money. In the case when the event hasn’t been recognized as being the insured accident or there are grounds to refuse of payment of insurance money determined in clause 409 of these Regulations the insurer notifies the insured in writing on the decision made with motivation of the reasons to refuse.

At loss (mortality), forced slaughter of the cattle or poultry as a result of infectious diseases the insurer draws up the act on the insured accident not more than one time a month, at that he/she includes into it all cattle and poultry lost within the period on which the act is drawn up.

406. In the case of re-sowing of the crop lost because of the occurrence of the insured accident, on this fact within 10 working days from the day of receipt of the documents listed in clause 404 of these Regulations the insurer draws up the reference – calculation of the cost of crop re-sowing and within 10 working days from the day of finishing harvesting of the culture being cultivated or re-sowed culture – the act on the insured accident.

407. Insurance money is calculated by the insurer on each kind of crop, cattle and poultry based on the sum of damage and taking into account the percent of its compensation approved for a year in which the contract of compulsory insurance of agricultural products has been concluded but not more than the sum insured on each kind of crop, cattle and poultry, and is paid by the insurer to the insured in non-cash form within 10 working days from the day of drawing up the act on the insured accident except for the case provided in part three of clause 393 of these Regulations.

In the case of re-sowing of the crop lost because of the occurrence of the insured accident the insurance money includes also the corresponding part of costs for re-sowing calculated taking into account the percent of their compensation established for the year in which the contract of compulsory insurance of agricultural products has been concluded, and which has been paid to the insured by the insurer within 10 working days from the day the latter has drawn up the reference-calculation of the cost of crop re-sowing.

Percent of compensation of damage and costs for re-sowing are annually approved by the President of the Republic of Belarus.

408.1. at loss of crops – on each kind of crop in the order established by the Ministry of Finance on the agreement with the Ministry of Agriculture and Food on the assumption of the harvest cost on 1 hectare of sowings calculated on the basis of average crop productivity for last 5 years, state purchasing prices established for the harvest of this kind of crop or maximum purchasing prices having effect as of the day of drawing up the act on the insured accident on the crops in respect of which the state purchasing process are not established and also the area of lost cultures.

In the case of re-sowing of crops lost because of the insured accident the sum of damage is reduced by the cost of the obtained harvest of sowed crops;

408.2. at the loss (mortality) of cattle and poultry - in the amount of balance (depreciable) value of lost (mortared) cattle and poultry as of the day of the insured accident;

408.3. at forced slaughter (destruction) of cattle and poultry - in the amount of the difference between balance (depreciable) value of cattle and poultry as of the day of the insured accident and the value received from the realization of the eatable meet.

Value of meet is established on the basis of the document issued by the organization which has realized it. In the case of non-submission by the insured of such document the value is calculated on state purchasing prices of the lowest category minus trade discount (increase).

If the meet is recognized to be completely non-eatable on the reason having caused the forced slaughter (destruction) of the cattle or poultry then the damage is deemed to be the balance (depreciable) value of the cattle or poultry as of the day of the insured accident. Complete or partial non-eatability of the meet is determined according to the legislation.

409. The insurer has the right to refuse of paying insurance money in the following cases:

409.1. non-fulfillment by the insured of the obligations on notifying the insurer on the occurrence of the event which can be recognized to be the insured accident within the term not later than 3 working days, if it will not be proved that the insurer in good time got to know on the occurrence of the accident which can be recognized to be the insured accident or that the fact that the insurer has no information on this couldn’t affect on his/her responsibility to pay the insurance money;

409.2. the insurer violates the requirements of technical normative legal acts on cultivating crops;

409.3. non-fulfillment by the insured of written directions of veterinary specialist on conducting preventive measures on cattle and poultry diseases control resulting in loss (mortality), forced slaughter (destruction);

409.4. non-fulfillment, violating by the insured of the requirements of technical normative legal acts, bodies of veterinary and state fire supervision on keeping and proper care of the insured cattle ad poultry resulting in their loss (mortality), forced slaughter (destruction).

410. If the insured has submitted knowingly false information resulted in the increasing of the damage amount or baseless payment of insurance money then he/she is obliged to return the sum baselessly obtained upon the request of the insurer.

411. The fund of precautionary (preventive) measures is formed by the insurer in Belarusian rubles at the cost of monthly assessments in the amount of 5 percent of received insurance fees on the compulsory insurance of agricultural products.

Receipt and using of the means of the indicated fund are accounted in income and expenditure parts of republican budget according to the law on the republican budget for the next financial year. Assigning means of this fund from the republican budget are carried out under the decision of the President of the Republic of Belarus.

Means of the fund of precautionary (preventive) measures which haven’t been used within the financial year are entered into such fund in the next financial year.

“insurer” – state legal persons or legal persons in the statutory funds of which more than 50 percent of parts (common (ordinary) or other voting shares) are in ownership of the Republic of Belarus and (or) its administrative and territory units which have special permit (license) to carrying out of the insurance activity including compulsory insurance of civil liability of temporary (crisis) managers in economic insolvency (bankruptcy) proceedings;

“insured” – legal persons and individual entrepreneurs which have obtained in the established order the special permit (license) to carry out the activity of temporary (crisis) manager in economic insolvency (bankruptcy) proceedings.

413. Objects of the compulsory insurance are property interests of the insured which don’t contradict the legislation and are connected with the risk of his/her/its civil liability which can be rested due to his/her/its fault in consequence of doing harm to the debtor, creditors.

414. The insured accident is the fact of doing property harm to the debtor, creditors (further – beneficiaries) due to the fault of temporary (crisis) manager.

415. The sum insured under the contract of compulsory insurance of civil liability of temporary (crisis) managers during the whole period of its effect can’t be less than 3000 base units established as of the date of concluding of this contract.

416. The insured has the right to apply to the insurer in any time during the period of effect of the contract of compulsory insurance of liability with claim to introduce changes to the mentioned contract related to the increasing of the amount of the sum insured and correspondingly of the amount of the insurance fee.

The insurance fee is paid by the insured simultaneously with introducing changes to the contract of compulsory insurance of liability, and the insurance policy is handed to the insured within one working day from the date of giving the copy of payment order to the insurer with the mark of the bank on debiting of money for the payment of insurance fee. The amount of insurance fee at increasing of the amount of the sum insured is calculated by multiplying of the insurance tariff by difference between the increased amount of the sum insured and the amount of the sum insured from which the insurance fee was paid first.

417. The insurance fee under the contract of compulsory insurance of civil liability of temporary (crisis) managers is calculated by the insurer in accordance with the insurance tariff established by the President of the Republic of Belarus and the sum insured.

418. The contract of compulsory insurance of civil liability of temporary (crisis) managers is concluded on the basis of written application of temporary (crisis) manager with enclosing the copies of following documents thereto:

certificate on state registration of legal person or individual entrepreneur without the necessity of certifying it by the notary;

special permit (license) to carry out the activity of the temporary (crisis) manager in economic insolvency (bankruptcy) proceedings;

other documents upon the request of the insurer needed for determining the degree of insurance risk and its estimation.

When submitting the copies of the indicated documents the insured is obliged to present their originals.

419. The contract of compulsory insurance of civil liability of temporary (crisis) managers is concluded annually for the term of 1 year.

420. The contract of compulsory insurance of civil liability of temporary (crisis) managers is demeed to be concluded and enters into force from the day of paying of insurance fee. The day of payment of the insurance fee by the insured is the day of debiting money from his/her/its account.

The forms of insurance policy and applications of the insured are approved by the Ministry of Finance.

421. Obligations under the contract of compulsory insurance of civil liability of temporary (crisis) managers shall be terminated before the expiry of the period on which it was concluded, and the contract of compulsory insurance of civil liability of temporary (crisis) managers shall be dissolved in the case of termination of effect or annulment in the order established by the legislation of special permit (license) of the insured to carry out the activities of temporary (crisis) manager in economic insolvency (bankruptcy) proceedings.

422. The ground for pre-term termination of the contract of compulsory insurance of civil liability of temporary (crisis) managers is the written application of the insured on the pre-term extinguishment of obligations under the contract of compulsory insurance of civil liability of temporary (crisis) manager with enclosing of insurance policy and the copy of the document confirming the termination and annulment in the order established by the legislation of the special permit (license) to carry out the activity of temporary (crisis) manager in economic insolvency (bankruptcy) proceedings.

The indicated application shall be submitted to the insurer within seven days period from the date of termination or annulment in the order established by the legislation of special permit (license) of the insured to carry out the activities of temporary (crisis) manager in economic insolvency (bankruptcy) proceedings.

The contract of compulsory insurance of civil liability of temporary (crisis) managers is deemed to be dissolved and the obligations of the insurer under such contract are terminated from the day the insurer has received the application on pre-term termination of the contract of compulsory insurance of civil liability of temporary (crisis) managers and the documents indicated in part one of this clause except for the cases when the obligations of the insurer on paying insurance money under such contract has arisen before termination or annulment in the order established by the legislation of special permit (license) of the insured to carry out the activity of temporary (crisis) manager in economic insolvency (bankruptcy) proceedings.

At pre-term extinguishment of the obligations under the contract of compulsory insurance of civil liability of temporary (crisis) managers the insurer returns to the insured the part of insurance fee proportionally to the time remaining to the expiry of period of effect of the contract of compulsory insurance of civil liability of temporary (crisis) managers within three working days from the day of their pre-term extinguishment.

within three days period to inform the insurer on the event which can be recognized to be the insured accident;

at concluding the contract of compulsory insurance of civil liability of temporary (crisis) managers to submit to the insurer the necessary information and documents.

424. The insured has the right to familiarize himself/herself/itself with the terms of the contract of compulsory insurance of civil liability of temporary (crisis) managers.

in the established order to form the insurance reserve and the fund of precautionary (preventive) measures and also the guarantee fund;

to conclude the contract of compulsory insurance of civil liability of temporary (crisis) managers;

to familiarize the insured with he terms of the contract of compulsory insurance of civil liability of temporary (crisis) managers;

to demand the information and the documents needed for the conclusion of the contract of compulsory insurance of civil liability of temporary (crisis) managers from the insured;

to check the information given by the insured at the conclusion of the contract of compulsory insurance of civil liability of temporary (crisis) managers and to check the observance of the terms of this contract by him/her/it;

to get from law-enforcement and other competent bodies the information and the documents needed for solving the questions connected with the insured accident and determining the amount of property damage.

427. In accordance with the contract of compulsory insurance of civil liability of temporary (crisis) managers it is indemnified for the property damage inflicted to the beneficiary due to the fault of crisis manager and which is confirmed by the court decision having entered into force.

The amount of the property damage inflicted to the beneficiary is determined on the assumption of the amount of property damage determined in the court decision but not more than the sum insured established under the contract of compulsory insurance of civil liability of temporary (crisis) managers.

428. After the payment of insurance money to the beneficiary made within the period of effect of the contract of compulsory insurance of civil liability of temporary (crisis) managers the sum insured under this contract is reestablished by the parties of the contract to its minimal amount established according to clause 415 of these Regulations.

Within three days from the day of payment of the insurance money to the beneficiary the insurer is obliged to send written demand to the insurer on reestablishment of minimal amount of the sum insured and on payment of additional insurance fee with indicating in it the period within which the insured shall apply to the insurer for introducing corresponding changes into the contract of compulsory insurance of liability, at that the period indicated in it shall be not more than 30 days.

The amount of additional insurance fee is calculated by multiplying the insurance tariff by the amount of the insurance money paid to the beneficiary.

Additional insurance fee is paid by the insured simultaneously with introducing corresponding changes into the contract of compulsory insurance of civil liability of temporary (crisis) managers, and the insurance policy is handed to him/her/it within one working day from the day of submitting to the insurer of the copy of payment order with the mark of the bank on debiting money for the payment of additional insurance fee.

If the insured hasn’t pay the insurance fee within the period established by the insurer then the contract of compulsory insurance of civil liability of temporary (crisis) managers is considered to be dissolved and the obligations of the insurer under this contract are extinguished, except for the cases if the obligations of the insurer on payment of the insurance money have arisen before the dissolution of the contract of compulsory insurance of civil liability of temporary (crisis) managers.

429. For receiving of the insurance money the beneficiary or the person authorized by him/her/it applies to the insurer with written application on the occurrence of the insured accident with enclosing the copy of the court decision.

Decision on payment of insurance money is taken by the insurer after drawing up the act on the insured accident in accordance with the form approved by the Ministry of Finance within ten days from the day of receipt of the application and the copy of court decision.

Insurance money is paid to the beneficiary within five days from the day of drawing up the act on the insured accident.

430. If it is necessary to additionally examine or additionally check the circumstances of occurrence of the insured accident and the submitted documents the term of drawing up of the act on the insured accident can be prolonged by the insurer but not more than on one month from the day of receipt of the application indicated in clause 429 of these Regulations.

On prolongation of the term of drawing up the act on the insured accident the insurer notifies in writing the person applied to it for the payment of the insurance money.

431. The fund of precautionary (preventive) measures is formed by the insurer in belarusian roubles at the cost of monthly assessments in the amount of 4 percent of the received insurance fees on the compulsory insurance of civil liability of temporary (crisis) managers.

Means of this fund are discounted by the insurer separately from other funds and reserves.

432. Transferring of the means of the fund of precautionary (preventive) measures to the republican budget is carried out by the insurers not later than the 22d day of the month following the accounted.

Receipt and using of the means of this fund are accounted in income and expenditure parts of republican budget according to the law on the republican budget for the next financial year.

Assigning means of this fund from the republican budget are carried out under the decision of the President of the Republic of Belarus.

433. Means of the fund of precautionary (preventive) measures are used by the receivers of these means strictly on designated purposes for financing measures on preventing insured accidents at carrying out the activity of temporary (crisis) manager in economic insolvency (bankruptcy) proceedings.

Means of the fund which haven’t been used within the financial year are entered in the established order to the fund in the next financial year and are used for financing measures indicated in part one of this clause in the next financial year.

434. At occurrence of the insured accident the insurer has the right to claim to the insured within the limits of the paid insurance money if the insured accident has occurred in consequence of the design of the insured.

435. If the insured or beneficiary has submitted knowingly false information resulted in the increasing of the property damage amount or baseless payment of insurance money then the beneficiary is obliged to return the sum baselessly obtained upon the request of the insurer.