|Author (Corporate)||Council of the European Union, European Parliament|
|Series Title||Official Journal of the European Union|
|Series Details||L 430, Pages 1-23|
|Content Type||Blog & Commentary, Legislation, News, Policy-making|
Directive (EU) 2021/2118 - formally signed off by the co-legislators on 24 November 2021 - introducing amendments to Directive 2009/103/EC, also known as the Motor Insurance Directive (MID). This is a text with EEA relevance.
The Motor Insurance Directive (MID) is a key legal instrument of the Single Market, as it enables seamless crossing of internal borders of the European Union by EU residents with their vehicles for both business and leisure purposes. The first EU Directive on motor insurance was adopted in 1972, with the objectives of protecting victims of motor vehicle accidents and facilitating the free movement of motor vehicles between Member States. Subsequently, five motor insurance Directives progressively strengthened the protection of EU citizens. In 2009 those were consolidated into one EU Motor Insurance Directive (Directive 2009/103/EC).
The Commission Work Programme 2016 announced an evaluation of the MID. Such work was launched in June 2016, involving a public consultation in July-October 2017. The conclusion of the evaluation was that most elements of the Directive remained fit for purpose, while certain amendments in specific areas would be appropriate.
A draft law aimed at improving the existing rules was adopted by the European Commission on 24 May 2018. This proposal addresses the need to enhance the protection of traffic accident victims where the insurer is insolvent, and to improve the recognition of claims history statements, especially in a cross-border context. It also responds to other issues, like insurance checks to combat uninsured driving, harmonisation of minimum amounts of cover, and the scope of the directive.
The European Parliament's plenary session adopted its negotiating position in February 2019, followed by the Council of the European Union in December 2019. An informal agreement between the co-legislators on a compromise text for this draft law was reached on 22 June 2021. This was endorsed by the Parliament on 21 October and later by the Council. The Act was signed by the co-legislators on 24 November 2021 and published in the Official Journal on 2 December 2021.
|Subject Categories||Business and Industry, Mobility and Transport|
|Subject Tags||Financial Services, Road Transport|
|International Organisations||European Union [EU]|