1. Uninsured driving in Sweden – how to manage the problem Warsaw 8-9 May 2008 Matts Nordell

2. Trafikförsäkringsföreningen Swedish Motor Insurers Trafikförsäkringsföreningen (TFF in short) was established in 1929 when compulsory traffic insurance (MTPL) was introduced in Sweden TFF is the Swedish: Guarantee Fund Compensation Body Green Card Bureau Information Centre Every insurer with the right to issue MTPL-insurance in Sweden is obliged to be a member of TFF

3. Uninsured driving – Legal changes in 1978 Previously a criminal system –police surveillance –low fines low risk of disclosure and ineffective penalties The criminal law regulations were replaced with a system of civil liability, incorporated in the Traffic Damage Act

4. Uninsured driving - The Traffic Damage Act All registered motor vehicles shall have a MTPL insurance Other motor vehicles shall be insured when they are used in traffic (e.g. some mopeds) The insurance shall normally be taken out by the owner of the vehicle, except: leased vehicles – the lessee vehicles purchased on credit – the buyer

5. Uninsured driving - The Traffic Damage Act TFF has the right to levy a MTPL charge on the owner (or lessee/buyer) of an registered and uninsured motor vehicle for as long as the vehicle remains uninsured The MTPL charge can be ten per cent higher than the highest MTPL premium applied by any insurance company: for a vehicle of the same kind (passenger car, lorry, bus, motor bike etc) which is used in the same way (private, taxi etc)

6. Uninsured driving - The Traffic Damage Act The minimum charge is 200 SEK (about 21.6 €) The charge for a private car is at present 100 SEK (10,7 €) per day The charge can be reduced by court if there are special reasons/circumstances

7. How it works Two ways to become uninsured: A person buys a vehicle but neglects to take out MTPL insurance A vehicle is insured but the owner fails to pay the premium for the insurance

8. How it works - continued The insurer sends an insurance certificate to the National Register of Vehicles when a MTPL insurance is issued The insurer notifies the register if an insurance is terminated. If no valid insurance certificate can be found for a vehicle, the National Register of Vehicles sends a report to TFF All this is done electronically and is based on legal obligations

9. Monitoring and reports

10. The results The percentage of uninsured and registered vehicles has decreased: 1978: 1.83 % 1999: 1.31 % 2007: 0.93 %

11. The results – million euro

12. Thank you for your attention!