Road Accident: Damage Compensation

Road accidents have become a commonplace reality on Ukrainian roads and almost always mean not only damaged vehicles but also financial losses, health problems, stress, and legal disputes. That is why compensation for damage in road accidents is one of the most important topics in modern legal practice.

Ukrainian legislation provides a comprehensive mechanism for compensation of losses that combines the norms of the Civil Code and the Law of Ukraine “On Compulsory Insurance of Civil Liability of Owners of Land Vehicles” (MTPL). In practice, the victim can receive payments from the insurance company, and if insurance coverage is insufficient, recover the difference directly from the culprit of the accident.

What is Considered Damage in a Road Accident

It is always worth starting the analysis with an answer to the basic question: what exactly can be compensated? The law treats damage broadly — both property and non-property.

Property damage includes:

• costs of repair or restoration of the vehicle and other damaged property (phones, laptops, clothing, cargo in the car, etc.);
• costs of treatment, rehabilitation, purchase of medicines, medical devices;
• lost income due to temporary disability or disability status;
• in case of the victim’s death — funeral expenses, as well as support for persons who were dependent on them.

Moral damage includes physical pain, mental suffering, prolonged change in the usual way of life, fear of driving, loss of activity, and other negative intangible consequences. It is subject to compensation separately from property losses but requires particularly thorough justification and evidence.

The Role of MTPL: What Insurance Covers and What It Doesn’t

In most cases, the first source of compensation is the insurance company of the culprit of the accident, where they have an MTPL policy that protects victims — third parties. Since 2025, payment limits have increased: up to UAH 500,000 for damage to life and health and UAH 250,000 for property damage per person, with higher total amounts per insured event.

At the same time, MTPL covers only the types of damage established by law within the limits, taking into account vehicle depreciation and deductibles. Moral damage is not covered by insurance and can only be recovered directly from the culprit of the accident in court.

How to Act for the Victim: Basic Algorithm

From a formal point of view, the compensation mechanism looks quite logical, but in practice, the stage of collecting evidence and communicating with the insurance company or the culprit often determines the outcome.

After an accident, the victim should:

1. Call the police and, if possible, medics, document the fact of the accident and all circumstances.
2. Obtain materials from the police (accident diagram, protocols, resolutions), which will later become the basis for proving guilt and the amount of damage.
3. Notify the culprit’s insurance company within the timeframe specified by law and contract (usually 3 business days), fill out an insurance claim application.
4. Arrange an independent examination of vehicle or property damage, and also confirm medical expenses with documents from medical institutions.
5. In case of refusal by the insurer, understatement of the payment amount, or absence of an MTPL policy from the culprit — prepare a claim and lawsuit.

Important practical point: even if the insurance company has paid a certain amount, but it is clearly insufficient for repairs or treatment, the victim has the right to demand the difference from the culprit of the accident. This is especially relevant in cases of serious health injuries, total vehicle loss, or when losses significantly exceed policy limits.

When MTIBU Gets Involved

If the culprit of the accident does not have a valid MTPL policy, the insurer went bankrupt, or the culprit disappeared, regulatory payments are partially assumed by the Motor (Transport) Insurance Bureau of Ukraine within established limits. However, these payments usually do not cover all real expenses, so the victim still has the right to demand the remainder directly from the culprit of the accident through the court.

Ways to Protect Rights: Administrative, Civil, Criminal Dimensions

Road accidents can be classified as administrative or criminal offenses (in particular, in cases of serious bodily injuries or deaths), which affects not only the culprit’s liability but also the victim’s protection tools. Within the framework of criminal proceedings, the victim can file a civil claim for compensation of property and moral damage, and if proper evidence is available, the court will recover significant amounts from the accused.

Regardless of the criminal case, the victim has the right to file a separate civil lawsuit against the culprit and/or the insurance company, which requires professional calculation of losses and proof of the causal relationship between the accident and the damage, including moral damage. Courts are increasingly siding with victims when a complete package of evidence is submitted (examinations, medical certificates, proof of income, testimony), while a formal approach, lack of evidence, or missing deadlines lead to partial denial of the claim.

Common Mistakes of Victims

In practice, it is the victim’s behavior in the first days after an accident that largely determines whether they will receive real compensation. Among the most typical mistakes:

• verbal “agreement” with the culprit without calling the police and processing documents;
• lack of damage documentation (photos, videos, examination), which then complicates proving the amount of damage;
• ignoring deadlines for notifying the insurer about the occurrence of an insured event;
• signing insurance company documents without understanding their consequences (for example, waiving further claims);
• underestimating the importance of legal support at the negotiation and litigation stage.

If you have questions or problems related to compensation for damage as a result of a road accident, the specialists of JSC “Law Firm “WINNER”” will provide detailed advice, help assess your prospects, and accompany the compensation process at all stages.

Author: Maksym Lykhovyd, lawyer at JSC “Law Firm “WINNER”.