Every aggrieved driver can enjoy the right to get a refund of rental fee for the car in replacement – stated the President of UOKiK, thus issuing the decision against Powszechny Zakład Ubezpieczeń and Uniqa. The Office decided that insuring companies unlawfully restrict their liability and imposed a fine exceeding in total PLN 12 mln. Particularly now, on the European Competition and Consumer Day, we would like to remind consumers of their rights

The contested practice results in the fact that not every owner of a car damaged in a collission receives the money refund for hiring a replacement vehicle

116 days – so much time has passed since Poland assumed the presidency of the Council of the European Union. It has become a part of tradition that every country of the presidency holds the European Competition and Consumer Day. This year, The Office of Competition and Consuemr Protection organizes the event in Poznań on 24-25 November. The most important meeting of Polish presidency will be attended inter alia by the President of the Office of Competition and Consumer Protection, Mrs. Małgorzata Krasnodębska-Tomkiel, Leszek Balcerowicz and Joaquín Almunia, Commissioner for Competition, European Commission. The matter considered at the meeting will be the benefits of competition to all consumers.

To protect weaker market participants, the President of UOKiK can take actions in the case of violating the law and infringing collective consumer interests. This year there have already been issued 179 decisions concerning these matters, including two insurance companies – PZU and Uniqa. The Office instituted the proceedings in June 2011 on receiving the information from the Insurance Ombudsman. The President of the Office had concerns about the conduct of insurance companies regarding the cosumer claims for compensation of rental fee refund for the car in replacement.

The proceedings also revealed that the insurance companies unlawfully restrict their liability on the basis of the insurance policy (pl.OC) concluded with the driver. The contested practice results in the fact that not every owner of a car damaged in a collission receives the money refund for hiring a replacement vehicle. According to the practice applied by both insurers, only persons who conduct business activities are entitled to get the refund. Individual consumers may expect it only in exeptional circumstances – when they prove that they simply cannot do without a car in everyday life (eg. commuting to work or school) and they did not have an opportunity to use other means of transport (eg. public communication). In other cases when a consumer cannot use the damaged car, the insurance companies define the problem as non-material damage, which does not entitles to reimbursement.

According to the President of UOKiK, every owner of a damaged vehicle is entitled to get the refund of money spent on renting the replacement car as losing the opportunity to use the vehicle always constitutes a damage to the property. It is worth emphasizing that the aggrieved party is under no obligation to prove that the damaged car is necessary for their work or simply in everyday life.

The stance of the President of UOKiK goes in line with the resolution of the Supreme Court. On 17 November 2001 the Supreme Court decided that the refund of costs incurred on the vehicle in replacement is entitled to all aggrieved drivers. Insurance agencies must not refuse to refund the costs to natural persons who do not conduct business activity.

The President of UOKiK ordered the insurance companies to discontinue the unlawful practice and imposed financial penalty respectively – PZU (PLN 11 286 707) and Uniqa (PLN 1 069 902). Decisions of the President of UOKiK are not final, undertakings can lodge an appeal to the court.

The mentioned decisions are only insignificant part of all actions undertaken by the Office’s Branch Office in Poznań. It has issued 22 decisions concerning the violation of collective consumer interests and 11 antimonopoly decisions. Additionally, the Branch Office in Poznań conducts sector inquiry and analyses. This year it was examining inter alia local collection markets and utilisation of communal waste, access to pay TV and the market of speech synthesizers for blind and partially-sighted persons.

More information on insurance is available at UOKiK’s website, section questions and answers. Furthermore, consumers in pursuing their claims may get assistance from the Insurance Ombudsman, poviat and municipal consumer ombudsmen and under the telephone line 800 007 707,  Monday to Friday 9:00 am - 5:00 pm.

Additional information for the media:
UOKiK Branch Office in Poznań
tel. +48 61 852 77 50
e-mail: [SCODE]cG96bmFuQHVva2lrLmdvdi5wbA==[ECODE]

Małgorzata Cieloch, Spokesperson for UOKiK
Departament of International Relations and Communication
Pl. Powstańców Warszawy 1, 00-950 Warszawa
tel. +48 22 827 28 92, 55 60 314
faks +48  22 826 11 86
e-mail: [SCODE]bWFsZ29yemF0YS5jaWVsb2NoQHVva2lrLmdvdi5wbA==[ECODE]