Car insurance in Cyprus

29 July 2023 Irina Starinskaia 6264

Car insurance is necessary for absolutely every driver on the Island. The question is how much the procedure will cost in each specific case and what risks are covered.

Prices and conditions of Cyprus policies may differ in different insurance companies, so it is strongly recommended to clarify unclear points with a personal agent. The annual cost is quite significant. So insurance for a family reaches 400-1000 euros and more. Do you want to save money? Then do it prudently, not focusing solely on the price. What is important is the service you will receive at the moment when you need help.

Profitable purchase of insurance

Note that it is much more profitable to buy insurance in a package for all drivers at once, specifying the main driver first. It is also possible to insure life, real estate, and all family vehicles at the same time.

One more important point that many people forget to mention during the insurance procedure: having a positive driving history of more than two years (without serious accidents), an international or Cypriot license, you can also save a decent amount of money. The only thing is that it would be good to have a record of left-hand drive. So, foreigners, do not delay with the re-registration of your license for local ones. The procedure takes a couple of hours, costs 40 euros, is available after 6 months of residence on the island, and after a couple of weeks will issue a Cypriot license, which will instantly reduce the cost of insurance if you report the relevant data.

When you renew your insurance next time, be sure to inform your insurer of any changes that may reduce the price. Some companies cooperate with their foreign counterparts. They can quickly track the driving history of a foreigner and enter thier experience in the Cyprus registry without waiting two years.

The legislation governing car insurance in Cyprus is the Motor Vehicles (Third Party Liability Insurance) Law 2000 and the Motor Vehicles (Third Party Liability Insurance) Regulations 2000. The Law and the Regulations are largely translations of their English counterparts (the English statutes of 1930, 1934, and 1988) but have been amended by incorporating provisions of European directives as well as Cypriot pension regulations.

Types of car insurance in Cyprus

Third-party

Many Cypriot residents choose to buy economical Third-party insurance, covering third-party loss through the fault of the insured. This is a minimum requirement of the Transport Department. The average price is 170 euros per year. The insurance covers material damage of up to 1.2 million euros and the health costs of the injured person up to approximately 33 million euros.

Passengers of the vehicle that caused the damage fall under the definition of third parties, regardless of the degree of relationship to the driver or owner of the vehicle. Keep in mind that the driver is not covered by this vehicle insurance. And what could be more valuable than your own life? Also, if possible, add an “off-road driving" option.

Full insurance

The second option is Full extended insurance. It includes Third-party benefits, as well as compensation for damage to the insured's car from fire, theft, and other damages, including elementary scratches.

Owners of luxury cars more often choose this insurance option. Insurers themselves can easily refuse owners of premium cars in economical insurance. For example, Anytime Online has a list of non-insurable cars. Although there is an opinion that it is simply impossible to steal a car on the island. I personally saw a burning Maserati in the parking lot under my window.

Insurance companies and insurance prices

To choose the most economical and reasonable solution, it is recommended to send a request to several insurance companies in advance. In addition, it is worth paying attention to additional services. For example, many insurers offer free roadside assistance in case of force majeure: they will provide a tow truck or start a car with an unexpectedly dead battery. The decency of the chosen company determines how soon you will be answered in case of emergency. If you don't want to hear endless "all lines are busy, call later" in the middle of the night or in 40-degree heat, choose a decent company.

In Cyprus, insurance is provided by private insurance companies (Atlantic, Cosmos, and others), low-cost car insurance companies (Anitime Online is the most economical option), and banks (Bank of Cyprus, Hellenic Bank, and many others).

Some companies may ask the driver to provide a certificate of no accident for the last three years.

Approximate price for insurance without two years of left-hand drive experience:

  1. Passenger car insurance - 350-500 euros.
  2. Motorcycle insurance 120 - 150 euros.
  3. Adding a second and subsequent driver to the insurance - 20-80 euros.

What to do in case of a traffic accident?

If there are no casualties, the situation can be settled by the insurance company. To begin with, call your insurance company, listen carefully to the instructions, and follow them. For his part, the driver can take photos and videos of the accident. But do not get carried away. In Cyprus, it is forbidden to videotape people without their consent. If possible, it is recommended not to move the car.

What happens if you drive without insurance?

The Cyprus Motor Vehicle Law provides that in the case of a first conviction, the owner of an uninsured car is punishable by imprisonment of not more than one year or a fine of not more than one thousand euros or both. A person convicted of such an offense shall not be entitled to hold or obtain a driver's license. In addition, in case of a second or subsequent conviction within two years of the previous offense, the driver will be sentenced to imprisonment of not more than two years and a fine of not more than two thousand euros, and the court may order that the driver be disqualified from holding or obtaining a driver's license.

Also, make sure you have a valid MOT certificate, otherwise your car insurance will be invalid. As the saying goes, the miser pays twice. But there is no need to be wasteful on a quiet island. Take care of yourself and your loved ones!

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