Special Luminor offer for leasing insurance

Special Luminor offer for leasing insurance

  • Cover options for MTPL, CASCO and Specialized Machinery Insurance
  • Combined payment for leasing and insurance
  • Additional discount for the entire leasing term

Leasing Insurance requirements

Valid from 19.08.2020

Insurance requirements for vehicles, work machinery and equipment set minimum rules to be met in MTPL, CASCO and Specialized Machinery Insurance policy when leasing object is insured as collateral. Insurance requirements minimise risks caused by sudden, unexpected and unforeseen events (insurable risks) to the collateral.

Insurance requirements ought to be met in process of leasing issuing and maintained till leasing agreement is closed.

General provisions

Term “Policy Holder” shall identify Customer or Customer representative

Term “Insured person” shall identify Customer, Borrower or Pledgor

Term “Beneficiary” shall always represent Luminor Līzings SIA, registration number 40003348054, address: Skanstes 12, Riga, LV-1013.

Insured object must be identified by 

  • Registration number or VIN number (vehicles and machinery)
  • Serial number and model (equipment)  

Territorial scope

  • Baltic States (vehicles)*
  • Address/ area of use (machinery and equipment)

* When taking out the leasing object outside Baltic States, the leasing object shall also be insured wihtin the respective territory and the provisions of leasing agreement for consent (powers of attorney) obtaining shall be complied.

Maximum recommended deductible 

  • Vehicles with full mass till 3500 kg – partial damage till 500 EUR, total loss (as theft and robbery) max 15%
  • Vehicles and machinery with full mass more than 3500 kg – partial damage till 1000 EUR, total loss (as theft and robbery) max 15%
  • Equipment – 1000 EUR 

Only legally valid insurance contracts are accepted. In case Luminor receives information that Policy is not paid in agreed payment date and is to be terminated, Luminor holds the right to issue mandatory insurance or collect additional fee (according to agreement). 

Has to be insured during all lean/leasing period. Renewed policy need to be send to Luminor in a timely manner.  

Insurance companies accepted by Luminor across Baltics

Luminor across Baltics accepts insurance contracts issued by following companies and their branch offices:

  • Lietuvos draudimas AB (incl. PZU Kindlustus as AB “Lietuvos draudimas “Eesti filial)
  • AAS BALTA
  • If P&C Insurance AS
  • ERGO Insurance SE
  • Seesam Insurance AS
  • ADB Gjensidige
  • Compensa Vienna Insurance Group ADB
  • AAS BTA Baltic Insurance Company
  • Swedbank P&C Insurance AS

Insurance companies accepted by Luminor with conditions

Following insurance companies are accepted with conditions

 

Location/market

Accepted insurance lines

Max value limit (incl. VAT) for object

SALVA

Estonia only

All

No limit

BAN

Latvia only

All

100 000 EUR

BALCIA

Lithuania only

MOD

No limit 

Minimum risk cover

If not agreed differently in particular credit agreement,
 

Insurable objects Required risks
Motor vehicles
and their trailers
(required to be registered in the traffic register)
(CASCO/KASKO/MOD insurance type)
traffic accident,
natural disaster,
fire,
robbery, vandalism, theft
 
Including risks delivering object (as risks of loading, transportation and unloading).
Machinery for specific use
(construction, agriculture,
forestry, road construction etc.)
(Contractor’s plant and machinery insurance - CPM)
 
All risks associated with the possession and use of the property (including but not limiting with partial damage, fire, water hazard, natural disaster, theft, robbery, vandalism)
 
Including risks delivering object (as risks of loading, transportation and unloading).

Sum insured

  • All insured objects must be insured with full recovery/replacement value.
  • If object is to be insured in actual, underinsurance or first loss limit insurance (if mentioned in insurance policy), it must be agreed according to Bank’s powers to act according to credit manual or approved by person with delegated rights.
  • Replacement value is Market value (accepted also new purchase value as “old for new” principle)
  • Sum insured and future claims paid must be including VAT (and transportation costs if object is purchased abroad Baltics).

Timing

Insurance agreement must enter into force before the act of transfer for the Object is signed, and however not later than the risk of accidental damage, destruction or loss transfers to the Lessee/Borrower.

If not agreed differently in particular Loan/Lease agreement:

  • For existing loan/lease customers new policy must be sent to email luminor@iizi.lv 14 days prior existing one has expired.
  • For new loan/lease customers policy must be provided immediately after registration.