This page is the knowledge hub's dictionary: terms you'll meet when dealing with compulsory motor third-party liability insurance (MTPL) in Hungary, in alphabetical order, each with a plain, one- or two-sentence explanation. These aren't legal definitions – they're everyday translations; where a deeper explanation exists, we link to the related article. A quick primer on the 15 most important terms lives in its own guide: key terms in minutes.
- More than 30 terms in alphabetical order, explained in plain English.
- For deeper topics, a link to the full article – the glossary is a starting point, not the destination.
- Missing a term? Let us know – the glossary is a living document that keeps growing.
A–C
A00: the entry class of the bonus-malus system – every first policy starts here. At-fault driver: the driver whose vehicle caused the loss. Bonus class: one of the B01–B10 classes. Bonus-malus: the classification system that rewards a claims-free record – how it works. Cancellation: written termination of the policy for the renewal date, typically at least 30 days beforehand. Central claims history register: the central database insurers use to see your claims record – details. Change of registered keeper: transfer of the MTPL obligation to a new person – with a new policy: the process. Claim: the injured party's claim against the at-fault driver's insurer – the process. Claims-free record: a run of periods with no paid claim – the basis of the bonus. Claims history certificate: the official extract of your claims record – a key document when moving abroad. Claims record: the fact of previous claims – a factor in the premium formula. Claims representative: a foreign insurer's local representative. Compensation Account: the joint fund, managed by MABISZ (the Association of Hungarian Insurers), that settles claims caused by uninsured at-fault drivers and, within a narrower scope set by the rules in force from time to time (typically for personal injury), by unidentified vehicles – details. Compensation Fund: the fund, financed by the insurers, that covers claims arising from the MTPL policies of an insurer placed into bankruptcy or liquidation proceedings.
D–L
Downgrade / reclassification: a drop in your class after a paid claim – details. European Accident Statement: the blue-and-yellow form, the basic document of claims handling – how to fill it in. Grace period: typically a 60-day window after a missed payment, during which cover continues and the arrears can still be settled. Green Card: international proof of insurance – when you need it. Green Card system: the framework for international motor-insurance cooperation. Injured party: the party who suffered the loss. Lapse for non-payment: termination of the policy once the grace period passes without payment. Loss of insurable interest: grounds for ending the policy when the insured interest ceases to exist – typically on sale of the vehicle.
M–P
MABISZ: the Association of Hungarian Insurers – manager of the Compensation Account and publisher of the annual uncovered-period fee tariff. Malus: the unfavourable classes after causing a claim (M01–M04). Material and non-material damage: the two broad heads of compensation in personal-injury cases. MNB: the National Bank of Hungary – supervisor of the insurance market. Non-fault injured party: someone whose loss was caused by another driver – their bonus is unaffected. Observation period: the year whose claims-free record earns the bonus step – details. Policy document: the official document recording the contract. Policyholder: the person who takes out the policy and pays the premium. Policy period: the year running from one renewal date to the next.
R–U
Recourse (subrogation): the insurer's right to reclaim a paid-out claim after a serious breach of the rules – the facts. Registered keeper: the person in whose name the vehicle is registered – the party liable for MTPL: who's who. Renewal date: the anniversary of the policy period, the gateway to switching – where to find it. Start of cover: the day from which cover is in force – details. Suspension: the dormant state of cover while the vehicle is deregistered – details. Tariff publication: the MTPL rates insurers publish openly – details. Total loss: when repair isn't economical – compensation is the difference between replacement value and wreck value. Uncovered-period fee: the backdated, increased charge for days without cover – details.
This dictionary lives alongside the knowledge hub's articles – if you want to know more about a term, the linked article continues the story. And if a term still leaves you stuck, feel free to ask: translating it is my job.
A question about your own car? Run the online calculator in minutes, or book a free 20-minute consultation →
