The compulsory motor vehicle insurance ("SOA") and its connection with the social security as a remedy for traffic accidents

The enactment of Law No. 18.412, in the year 2008, was the beginning in Uruguay of a compulsory motor vehicle insurance to compensate damages caused by motor vehicles. Victims of traffic accidents are able to obtain a compensation for the damages caused by motor vehicles under the SOA regulations (which is limited to a legal maximum amount) even when the damages were caused by the negligence of the victims or when the damages were caused by a passive intervention of the motor vehicle. Although the Law does not clearly state the legal nature of the insurance, from the analysis of the legal provisions and the way the courts have enforced the SOA provisions, it may be stated that the SOA works as an automatic compensation insurance of certain damages (non-material damages) caused by motor vehicles in all cases (except when the damages are caused by the victim's willful conduct). All of the abovementioned determine that the SOA may be considered as a social security mechanism destined to grant minimum compensation to all victims of damages caused by motor vehicles.