Time Limit for Filing a Third-Party Liability Insurance Claim – Accurate Legal Information
What is a Third-Party Liability Insurance Claim?
Third-party liability motor insurance covers damages caused to third parties in the event of a road traffic accident (RTA). If another driver is at fault for the accident, their insurer owes compensation to the injured party for:
➜ material damage to the vehicle and other property
➜ repair costs
➜ medical expenses
➜ loss of income or profits
➜ non-material damages (pain and suffering)
Step 1: Notifying the Insurer (7-Day Deadline)
Before discussing limitation periods, it is important to understand that the law requires timely notification.
Art. 104, para. 1 of the Bulgarian Insurance Code:
In the event of an insured occurrence, the insured person is obliged to immediately take all reasonable and appropriate measures to prevent, limit, and reduce the damage.
For mandatory Third-Party Liability insurance, the law requires written notification no later than 7 days from the date of the accident or from becoming aware of the circumstances giving rise to the insurer’s liability.
⚠️ Important: Failure to comply with the notification deadline does not deprive the injured party of the right to compensation, but it may give the insurer grounds to reduce the amount payable.
Step 2: Submitting a Written Claim to the Insurer
Form and Content
Art. 380, para. 1 of the Insurance Code:
“The person seeking insurance compensation is obliged to submit a written insurance claim to the insurer. Upon filing the claim, the person must provide complete and accurate bank account details for payment by the insurer, except in cases where compensation is provided in kind.”
This is the formal “filing of the claim.” It differs from notification — notification merely informs the insurer that an event occurred, while the claim requests specific compensation.
What Documents Are Required?
When filing a Third-Party Liability claim, the following documents are commonly required:
➜ bilateral accident report or police report
➜ vehicle registration certificate and insurance policy
➜ driver’s license
➜ photographs of the damages
➜ repair invoices or independent assessment reports
➜ bank account details
➜ in case of bodily injury — medical documents
Limitation Period for Filing the Claim
General Rule — 3 Years (Art. 378, para. 1 of the Insurance Code)
Art. 378, para. 1 of the Insurance Code:
“Rights under the insurance contract shall expire after a three-year limitation period from the date of the insured event.”
This is the general limitation period applicable to most types of property insurance (Casco, property insurance, etc.).
Special Limitation Period for Direct Claims under Third-Party Liability Insurance — 5 Years (Art. 378, para. 2)
Art. 378, para. 2 of the Insurance Code:
“Rights under Life, Accident, Health insurance and direct claims under Third-Party Liability insurance shall expire after a five-year limitation period, calculated from the date of the insured event.”
Since the injured party in a road traffic accident files a direct claim against the insurer of the at-fault driver, the applicable limitation period is 5 years from the date of the accident.
✅ Important distinction:
➜ General insurance limitation period: 3 years (Art. 378, para. 1)
➜ Special limitation period for direct Third-Party Liability claims: 5 years (Art. 378, para. 2)
Deadline for the Insurer’s Response
General Rule with Complete Documentation — 15 Business Days
Art. 106, para. 3 of the Insurance Code:
When all necessary evidence is provided, the insurer must respond to the claim within 15 business days by either paying compensation or issuing a reasoned refusal.
Special Deadline for Third-Party Liability Motor Insurance — 3 Months
Art. 496, para. 1 of the Insurance Code:
“The deadline for final settlement of a claim under mandatory Third-Party Liability motor insurance may not exceed three months from the date the claim was submitted pursuant to Art. 380 before the insurer or its claims representative.”
⚠️ Clarification:
The 15-business-day period applies when complete documentation has been submitted. If documents are missing, or in cases involving Third-Party Liability insurance as a special regime, the insurer has up to 3 months for a final decision.
Mandatory Out-of-Court Claim Before Court Proceedings
A key legal requirement before filing a lawsuit:
Art. 412, para. 1 of the Insurance Code:
“Persons entitled to insurance compensation are obliged, before filing a lawsuit against the insurer, to have first submitted an insurance claim to the insurer pursuant to Art. 380.”
In other words, a lawsuit cannot be filed unless a written claim has first been submitted to the insurer. Courts dismiss claims that do not comply with this requirement.
Art. 412, para. 3 of the Insurance Code:
A court claim is admissible when:
➜ the insurer has refused payment;
➜ the paid amount does not satisfy the injured party;
➜ the insurer has failed to respond within the statutory deadlines.
Summary Table of Deadlines
Notification of insurer about the accident
➜ Within 7 days of the event
➜ Art. 104 Insurance Code
Submission of written claim
➜ Within 5 years of the event (direct Third-Party Liability claim)
➜ Art. 378, para. 2 Insurance Code
Insurer’s response with complete documentation
➜ Within 15 business days
➜ Art. 106, para. 3 Insurance Code
Final response under Third-Party Liability insurance
➜ Within 3 months of the claim
➜ Art. 496, para. 1 Insurance Code
Limitation period for court proceedings
➜ 5 years from the event
➜ Art. 378, para. 2 Insurance Code
Why Should You Not Wait Despite the 5-Year Deadline?
The law allows 5 years, but delaying creates practical risks:
➜ more difficult proof of damages — witnesses, footage, and evidence may disappear
➜ loss of documentation (reports, medical records)
➜ the insurer may dispute the causal link between the accident and the damages
➜ refusal due to late notification beyond the 7-day period
The recommendation is: notify the insurer within 7 days and submit the written claim as soon as possible after the accident.
What Should You Do in Case of Refusal or Undervalued Compensation?
If compensation is unfairly refused or undervalued, you have the right to:
➜ request written reasons for the refusal
➜ challenge the assessment through an independent technical or medical expert examination
➜ file a complaint with the Financial Supervision Commission (FSC)
➜ file a lawsuit — provided that a written claim has first been submitted to the insurer (Art. 412, para. 1)
➜ assign your claim through a debt assignment agreement (cession)
The information in this article is for informational purposes only and does not constitute legal advice. For a specific case, consult a legal professional.
If you believe that the insurer is offering an unfairly low amount or refusing payment, seek professional assistance promptly. Claimster can assist you with a legal assessment of your case and the possibility of fast claim buyout.
Contact us today at +359 88 596 7297 or at info@claimster.bg.
