Latvia: OCTA claims reach €84.5 million over 12 months; accident count also rises
Over the past 12 months, Latvian insurers and the Latvian Motor Insurers' Bureau (LTAB) approved OCTA compensation payments totalling €84.5 million, up 13.5% year-on-year. The average payout now stands at €1,811, while the number of reported road accidents rose by 10.1%.
Between 1 July 2025 and 30 June 2026, insurance companies and the Latvian Motor Insurers' Bureau (LTAB) together decided to pay out €84.5 million in compulsory motor third-party liability (OCTA) compensation. This is 13.5% more than in the previous 12-month period.
According to LTAB data, the average OCTA payment currently reaches €1,811 and has now been growing for twelve consecutive years. LTAB board chairman Jānis Abāšins attributes the increase mainly to inflation and rising prices for car repairs, construction, medical treatment and rehabilitation services.
During the last year, insurers received 39,740 reports of road traffic accidents, which is 10.1% more than in the preceding period. Most accidents – 73.6% – were documented using a joint accident report, while 26.4% were recorded with a State Police protocol. Nearly 93% of accidents occurred in Latvia, and just over 7% abroad, most often in Germany, Lithuania and Estonia.
A positive development is the declining share of accidents involving uninsured vehicles. In 2022–2023 such cases accounted for 0.87% of all accidents, but in the last 12 months they have fallen to 0.54%. This improvement is attributed to a growing number of roadside radars and LTAB awareness campaigns about the importance of OCTA insurance.
The largest portion of compensation – 74.8% – covered damage to vehicles. Injured persons received 10.4% of the total amount, while state and municipal institutions received 6.4% for treatment of accident victims, hospital care and paid benefits. OCTA coverage extends beyond vehicle damage, also compensating costs for medical treatment and rehabilitation, emergency assistance, hospital stays, and state or municipal expenses such as sick leave, pensions, benefits, funeral costs, technical aids and damage to roads, buildings or the environment.
