Law 5/2025: New developments in the Law on civil liability and insurance in the circulation of motor vehicles

August 08 , 2025 // Specialty : Liability derived from the use of motor vehicles

Published in Noticias Jurídicas

The regulation expressly includes light personal vehicles, such as electric scooters, which will be required to have mandatory civil liability insurance.

Law 5/2025, of July 24, introduces a series of amendments to the consolidated text of the Law on civil liability and insurance in the circulation of motor vehicles, approved by Royal Legislative Decree 8/2004, of October 29, and to Law 20/2015, of July 14, on the regulation, supervision, and solvency of insurance and reinsurance companies.

The main objective of this reform is to transpose Directive (EU) 2021/2118 of the European Parliament and of the Council, of November 24, 2021, which amends Directive 2009/103/EC on insurance against civil liability in respect of the use of motor vehicles and the enforcement of the obligation to insure against such liability.

The law also incorporates the recommendations of the Reasoned Report of the Monitoring Committee for the Valuation System, which are particularly relevant for strengthening the system of protection for third parties injured in traffic accidents.

Furthermore, it creates a new Title V in the consolidated text of the Law on Civil Liability and Insurance for Motor Vehicle Traffic, dedicated to the protection of personal data, and mandates civil liability insurance for light personal vehicles not included within the legal definition of “motor vehicle.”

It also amends Law 20/2015, of July 14, on the regulation, supervision, and solvency of insurance and reinsurance companies, to incorporate new regulations on the integrity and suitability of those who exercise effective management or perform functions that form part of the entity's governance system, and to include the concept of preventive recovery plans.