Why in 2026 the prices of PZP and accident insurance are rising and how to react to it for the company fleet

The prices of compulsory insurance (PZP) and accident insurance (Kasko) in Slovakia and across Europe have been rising steadily in recent years - and 2026 will be no exception. CFOs and managers responsible for fleet management must therefore expect higher insurance costs and look for ways to optimise them without reducing the level of cover. In this article, we will summarize the main reasons for the increase in price, show specific numbers, and offer practical solutions, including the approaches AVIS uses to manage fleets.

Why PZP and accident insurance prices are rising in 2026

Motor insurance is a combination of several inputs - from insurance tax, to the cost of labour in garages, to the cost of spare parts and the rising value of the vehicles themselves. In 2026, several factors are coming together to push prices upwards.

1. Higher tax on non-life insurance (8% → 10%)

The key legislative change is the increase in the tax on non-life insurance from 8% to 10% from 2026. P&C and accident insurance also fall into this category.

Practical example:

• Average PZP in 2025: €220,
• 8% levy in 2025: € 17.60,
• 10 % levy in 2026: € 22,
• keeping the same technical premium and the insurer's margin, the final price rises to approximately €224.40.

On the face of it, this is an increase in units of € per vehicle. However, for a fleet of 100 cars, the tax change alone means an additional burden of the order of hundreds of euros per year - and this is only due to the higher levy, not the overall increase in premiums.

2. Increase in damage and repair costs for vehicles

The second strong factor is the rising cost of claims:

• Higher cost of labour in car repair shops,
• more expensive spare parts,
• more complicated repairs of modern cars full of electronics and assistance systems.

Both foreign and local statistics show that the cost per claim in motor insurance is rising year on year. In Europe, this is also driven by the higher share of new technologies and electric cars, where repairs are often significantly more expensive. Expert reports from insurance associations point out that the repair bill for electric cars can be up to a third higher on average than for a comparable combustion car. This is also reflected in the cost of breakdown insurance.

At the same time, we are also seeing a growth in the sheer number and value of claims settled in Slovakia's P&C insurance, which is pushing up rates, especially for the riskier segments of drivers and vehicles.

3. More claims, more pressure on PZP

PZP has been relatively cheap for years and insurers have often used it as a "gateway" to other products. However, the combination of rising repair, transport and labour costs and more frequent claims has meant that compulsory insurance is no longer a space to subsidise losses. In recent years, therefore, we have seen:

• Double-digit growth in average premiums for PII in the country,
• pressure from insurers to price risk more accurately (age of driver, type of vehicle, region, use of vehicle),
• an emphasis on claims experience and penalties for fleets with above-average accident rates.

For companies with larger fleets, this means that individual discounts "based on the number of vehicles only" are no longer sufficient. Insurers are taking a closer look at actual claims history and fleet segmentation.

4. The growth of accident insurance (Kasko) is even more dynamic

Collision insurance is directly linked to vehicle value and repair prices. As new vehicles have become significantly more expensive (new car prices in the EU have risen by tens of percent in recent years) and at the same time the cost of servicing is rising, it is logical that Kasko responds at an even more dynamic pace than PZP.

Several statistics from insurance associations show:

• Year-on-year growth in written premiums in accident insurance higher than in other non-life segments,
• growth in average claims (especially for partial accidents and total claims),
• higher sensitivity to vehicle type (premium brands, vans, electric cars and plug-in hybrids).

For fleet managers, this means that getting the Kaskask (deductibles, limits, co-insurance) right is one of the most effective tools to optimise overall costs.

5. Inflation and the European context

Insurance price growth in Slovakia is not taking place in isolation. Across Europe we are seeing:

• Increased claims costs in motor insurance,
• longer claims settlement times,
• a return of accident numbers to or above pre-pandemic levels,
• pressure on the profitability of insurers, which have to comply with strict capital and solvency rules.

We are therefore seeing year-on-year increases in average motor insurance premiums of 8-15% in many EU countries. The Slovak market has not escaped this trend and, given the higher share of new cars in corporate fleets, the pressure on prices is particularly strong in the B2B segment.

What it means for CFOs and fleet managers

From a CFO's perspective, insurance is not just a "must-have" item, but an important part of the Total Cost of Ownership (TCO) of mobility. The rise in insurance prices in 2026 brings several practical implications:

• Higher operating costs - PZP and Kasko for a fleet of tens to hundreds of vehicles mean an increase in costs of thousands of euros per year.
• Increased volatility of budgets - individual pricing according to claims history can cause significant differences between projected and actual costs.
• Increased importance of risk management - insurance is becoming one of the main areas where savings can be made through a combination of prevention and proper contract set-up.
• Deciding CAPEX vs. OPEX - when owning vehicles, the company deals with insurance itself; when operating leases or long-term rentals, both PZP and Kasko are often part of the fixed monthly payment.

Therefore, it pays to look at PZP and Kasko strategically - not just as a mandatory item, but as a risk management and cash-flow optimization tool.

How to optimize fleet insurance and accident insurance

1. Know your claims history and fleet profile

The first step to optimization is a data analysis of your own fleet:

• Number and type of claims over the last 3-5 years,
• breakdown of claims by driver, workplace, region and vehicle type,
• average amount of damage (partial vs. total damage),
• age and value of vehicles, typical routes (city, motorway, foreign),
• vehicle use - passenger transport, distribution, service vehicles, vans.

Based on this data, the deductible amount, vehicle segmentation and possible bonuses for a good claims history can be better adjusted with an insurer or AVIS-type partner.

2. Working with the deductible

Deductibles are one of the most direct tools to influence the level of premiums. The logic is simple: higher deductible = lower premiums, lower deductible = more comfort but more expensive insurance.

For corporate fleets, it often pays off:

• choose a slightly higher deductible for Kask,
• add an internal directive on who pays the deductible and under what conditions,
• motivate drivers to drive safely (zero-claims benefits),
• consider limited or partial Kasko for low-value vehicles.

AVIS for long-term rental and operating lease allows to set the deductible according to the client's needs - from lower for management vehicles to higher for commercial vehicles with a higher risk of minor damage.

3. Insurance consolidation through one partner

A common mistake made by companies is fragmented insurance - some cars insured through one insurance company, some through another, some vehicles leased, others owned. Such a model makes it difficult to negotiate terms and increases administration.

A more advantageous way is to consolidate insurance:

• through one strong partner (e.g. AVIS Lease for operating leases),
• or as part of comprehensive packages for long-term leases (AVIS MaxiRent, AVIS Van, AVIS Short Term Lease).

AVIS Lease and AVIS MaxiRent provide clients with complete vehicle insurance - both PZP and accident insurance, often with more favourable terms than the company would achieve on its own. At the same time, insurance administration is simplified (one invoice, one contact, uniform terms and conditions).

4. Damage prevention and driver behaviour management

It's not just about the premiums - the damages themselves are also key. The fewer the claims, the better the claims record and the less upward pressure on premiums.

Proven measures:

• Internal "Car Policy" - clear rules for the use of company vehicles,
• Safe driving and eco-driving training,
• telematics and driving style monitoring (hard braking, speeding),
• system of benefits and penalties - rewards for damage-free driving, cost-sharing for repeated damages,
• regular servicing and replacement of tyres according to the season.

AVIS offers servicing, maintenance, tyre management and assistance services for its programmes, which directly contributes to a lower risk of claims occurrence and escalation.

5. Optimising fleet mix and vehicle type

The cost of insurance also depends on the vehicles in your fleet:

• smaller vehicles and lower classes are generally cheaper to insure,
• vans and LCVs are more expensive, especially for heavy mileage and urban delivery,
• premium and sports models also have higher premiums due to more expensive parts,
• for electric vehicles, more expensive repairs and a specific Kaska setup are to be expected.

When planning fleet renewal for 2026-2027, it is therefore worth taking into account not only the purchase price and consumption, but also the expected insurance costs. AVIS can compare different scenarios and highlight differences in insurance premiums when designing a fleet.

6. Flexible leasing instead of ownership

When owning vehicles, the company deals separately with the purchase, financing, insurance, servicing and sale of the vehicle on the secondary market. With a long-term lease or operating lease, insurance is standard part of the package.

AVIS services (AVIS Lease, AVIS MaxiRent, AVIS Van, AVIS Short Term Rental) include:

• Compulsory Contractual Insurance (CCI),
• accident insurance (Kasko),
• Theft insurance,
• assistance services,
• often a replacement vehicle in the event of a breakdown or accident.

Result for CFO:

• A fixed monthly payment with no unexpected fluctuations,
• transfer of part of the risk to the mobility provider,
• no negotiation of individual insurance policies for each vehicle,
• easier cash-flow and budget planning.

Model examples for CFO

Example 1: 50 cars - own fleet vs. operating lease

Assumptions:

• 50 mid-range passenger cars,
• Average PZP + Kasko for individual insurance: € 650 per vehicle per year,
• expected premium increase 2026: +10-12%.

With self-insurance, the company can pay after the increase approximately €715 - 730 per vehicle per year, i.e. a total of around €35,000.

In an operating lease or long-term rental with AVIS, insurance can be part of the package and, thanks to fleet terms and optimised deductibles, the real unit cost of insurance often comes in lower than for an individual purchase. A difference of tens to hundreds of euros per vehicle per year for as few as 50 cars means thousands of euros in savings.

Example 2: 30 vans - working with deductibles and loss prevention

Vans and commercial vehicles are at higher risk of damage (frequent parking, loading, urban driving). With a fleet of 30 vans:

• higher deductibles (e.g. 5-10% with a minimum of €500-600) can reduce premiums by 10-20%,
• the addition of driver training and clear rules on the use of vehicles can further reduce the number of minor damages,
• in cooperation with AVIS Van, it is possible to set up packages where insurance, service and assistance are included in one monthly fee.

From a CFO's point of view, this is not just about saving on insurance premiums, but also about saving time, administration and restoring operations more quickly after a claim.

How AVIS is helping to manage insurance price rises in 2026

AVIS in Slovakia has long built its services on the principle of "insurance included" - clients get not only a vehicle, but also a complete package of insurance and services when renting.

AVIS short-term rental (avis.sk, avisvan.sk)

• The rental price includes statutory insurance (PZP), accident insurance and theft insurance,
• Slovak vignette included,
• breakdown or accident assistance,
• suitable for short-term projects, business trips, seasonal reinforcements.

AVIS MaxiRent - long-term rental for 12+ months

• PZP, Kasko, regular servicing, tyre management, assistance included in the monthly payment,
• suitable for companies that do not want to buy vehicles to own, but need a stable fleet,
• the possibility to flexibly adjust the vehicle mix according to current needs.

AVIS Lease - operating leasing

• Comprehensive fleet insurance services,
• PZP and accident insurance with deductibles according to the client's choice,
• supplementary insurance of persons and luggage,
• fleet management, reporting, assistance and support in claims handling.

For CFOs and fleet managers, this means that instead of negotiating insurance contracts for each vehicle individually, they can transfer some of the risk to AVIS and focus on key areas of their business.

Frequently Asked Questions (FAQ)

1. How much will the price of PZP increase in 2026?

The increase in the non-life insurance tax alone from 8% to 10% will add approximately 2% extra to the price of a PZP. However, in practice, insurers are also responding to the rise in claims costs, so the overall increase may be higher - in the single digits to low tens of percentages depending on driver and fleet profile.

2. Why are accident insurance prices rising faster than PZP?

Collision insurance is directly linked to the value of the vehicle and the cost of repairs. As new vehicles have become significantly more expensive and modern technology makes repairs more expensive, insurers have to pass on these higher costs to the price of Casco. PZP is more responsive to the total number and average amount of claims.

3. Can the rise in insurance prices somehow be "filtered out"?

Absolutely not, but it can be significantly mitigated. The key is:

• Work with deductibles,
• improve claims through prevention and driver training,
• consolidate insurance through one partner,
• consider switching to long term rental or operating lease with insurance included.

4. Is it more profitable to own vehicles and insure them separately or go into operating lease?

It depends on your strategy and cash flow. When you own the vehicles, you have a higher upfront CAPEX and handle the insurance, servicing and selling the vehicle separately. With an operating lease or long-term lease, you have insurance included, a fixed monthly payment, and a lower administrative burden. In an environment of rising insurance prices and uncertainty, OPEX-based solutions are more attractive to many businesses.

5. How quickly can we review our fleet insurance with AVIS?

For new contracts, it is possible to set up the optimal insurance already when configuring the fleet. For existing AVIS clients, when renewing contracts or replacing vehicles, it is possible to re-evaluate the deductible amount, the scope of the Kask and other parameters to maintain adequate coverage at optimized costs.

6. Does it make sense to limit Kasko to only selected vehicles?

Yes, especially for older vehicles with low residual values, full Kasko may be inefficient. The value of the vehicle, type of use, mileage and claims history should all be taken into account when making a decision. AVIS can help you analyse and recommend an appropriate strategy - for example, full Kasko for new and key vehicles and limited or no Kasko for the rest of the fleet.

TL;DR - key insights for CFOs

• Prices for third party and accident insurance are rising in 2026 due to higher non-life insurance tax, more expensive repairs and rising vehicle values.
• PZP is increasing in price mainly due to tax and claims growth, Kasko is reacting even more dynamically to car and service prices.
• The company can significantly mitigate cost growth by analysing the claims process, setting deductibles and preventing claims.
• Consolidating insurance through one partner and switching to operating leases or long-term rentals with insurance included simplifies budgeting and reduces administration.
• AVIS offers comprehensive mobility packages (Short Term Rental, MaxiRent, Lease) in which insurance is part of the service - an ideal solution in times of rising insurance prices.

Keywords and entities

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