Insurance Payments Guarantee Fund: what it is

If an insurer loses its license, OGPO payouts are guaranteed by a special fund financed by insurers' contributions. How it works.

The Insurance Payments Guarantee Fund is a mechanism that protects drivers if an insurer loses its license.

Why the fund exists

If an insurer goes bankrupt or loses its license, payouts under mandatory insurance (including OGPO) are guaranteed by a special fund.

This way the law protects victims: the fund is built from insurers' contributions and pays compensation even if a particular company runs into trouble.

How it works

Insurers pay contributions into the fund. When a guarantee case arises, the victim applies to the fund, which pays out instead of the insolvent insurer.

This applies primarily to mandatory insurance, where protection of victims is guaranteed by law.

What it means for you

Even buying OGPO from a small company, you are protected: the payout under a mandatory policy is guaranteed by the fund.

Still, when choosing an insurer it's worth looking at the rating and payout speed — it affects how smoothly claims are settled.

Key takeaways

• The fund guarantees payouts under mandatory insurance.
• Protection works even if the insurer loses its license.
• Still check the insurer's rating and service when choosing.