Starting October 1, 2024, the sale of complex insurance products with an investment component to non-qualified investors will require a test to ensure customers understand the specific features and risks. This requirement is part of a new law that took effect on the same date.
The testing rules, procedures, question wordings, and result determination methods are outlined in the basic standard for consumer protection. If there is any doubt about a customer's understanding of the contract's conditions and risks, sellers may ask additional questions.
A positive test result allows the contract to be concluded. In case of a negative result, customers can retake the test after three days.
Individuals who have entered into an investment insurance contract without taking the test can withdraw from it, receive a full refund of their insurance premium, and request reimbursement for related expenses.
Testing is not mandatory for expensive insurance contracts with large one-off payments (₽1.4 million or more) or contracts where the surrender value in case of early termination is at least 95% of the contributions made. In these cases, insurers must warn customers that the contract is not a deposit and inform them about termination terms and procedures for calculating surrender values and accruing investment income.
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