Auto Insurance Laws in Denmark

The company must give not less than fourteen days’ notice of cancellation to the insured. The company is then still liable for public liability claims for two weeks after the cancellation of the policy. The director of police for the district in which the car was registered must be informed of the cancellation or cessation of the policy. Cheap sr22 insurance quotes here.

If the insurance- has ceased before the director of police receives this information, then the company is liable for public liability claims for two weeks after the director of police receives this information. The company in addition to paying the third party claim is also liable to pay the legal costs of the third party.

A deposit of 200,000 Kroner in Danish Government bonds has to be made by the companies. Bonds are to be deposited with the Ministry of Justice, and the company cannot operate on this amount except with the consent of the Ministry. The Ministry can use the deposit in payment of unpaid claims, and if this be done the deposit must be made up to the original amount by the company. Should an insured complain to the Ministry that a company has not paid an insurance claim, the Ministry may use this deposit for such payment if the company does not pay the claim within a specified time fixed by the Ministry.

If the amount of the claim be paid to the insured instead of the third party this is done at the company’s own risk; and if the insured does not pay the third party the company is still liable. The company must agree to the suspension of the insurance on a car during such time as the car is not in use. The insured must give the company a declaration to the effect that he will give the company notice as soon as the car is again used. If the insured omits to give this notice and a public liability claim occurs while the car is in use, the company is liable for this claim in accordance with (1) above, but it has the right to a counter-claim against the insured.

If the company wishes to participate in the insurance of foreign cars that enter the country, the company must agree to the provisions and instructions laid down by the Ministry of Justice in Paragraph 9 of the Statement of the Accomplishment of Public Liability Insurances. If the car remains in the country and ordinary public liability insurance is effected, the necessary declaration mentioned in Paragraph (3) of the above statement must be sent to the state’s police instead of the director of police for the district.

A foreign company must be registered in the country and its representatives must be authorized to act and receive service on behalf of the company.
This acknowledgment may at any time be withdrawn. Such withdrawal does not entitle to the release of the deposit until the Ministry has decided that such a period has elapsed that no further claim may be made on the company. If the acknowledgment is withdrawn, all legal public liability insurances effected with the company are cancelled and premiums for the remaining period of insurances are repaid to the insured.
The company shall send two copies of its account each year to the Ministry of Justice, together with a statement showing number and amounts of premiums obtained during year.

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