The year 2025 brings changes to vehicle protection associations under the penalty of Supplementary Law (LC) 213/25, in January. The text specifies that these organizations are subject to the requirements and supervision of the Supervisory Authority for Private Insurance (SOSEP), a federal agency responsible for insurance markets.
Vehicle protection associations are organizations formed with the aim of protecting a specific group of people against pre-identified dangers, such as theft, robbery and accidents. Members pay a prorated fee, and when one vehicle is involved in an accident, the amount of loss is covered from funds pooled among all members. Despite the same end goal of protection, it is a different model than private insurance.
“LC 213/2025 represents the end of the gray zone: those working in the field of mutual protection now have clear rules, supervision and deadlines for adaptation. The main changes include the registration of associations, governance, segregation of assets, the possibility of administrative sanctions and, above all, the definition of the management of group assets by a company licensed by SOCEP,” explains lawyer Paulo Magalhães Gomez, of Magalhães Gomez Adfojados.
From a professional perspective, the changes bring greater transparency, accountability and protection for members. He explains that segregation of assets implies that there is no longer a mixing of resources from the entity and the group, which reduces the risk of confusion between assets and insolvency (when there are more debts than the resources needed to pay them).
Gomez explained that the first phase of adaptation, in which federations were required to register, ended in July. Only those who registered on time can continue to work while the National Council of Private Insurance (CNSP) regulates the law, a process that constitutes the second phase.
“After that, there will come the third phase, where each federation must appoint an authorized administrator and send the contract to SUSEP to obtain ‘normal’ status. Anyone who has not registered by July 15 is considered illegal, must stop activities and be subject to Administrative Process Sanctions (PAS) and general civil procedures, in addition to penalties. There is no plan to extend this period,” warns Gomez.
The lawyer says that when concluding an adhesion contract, some points must be taken into account. The document must reflect the mutual nature of the operation, as it is not private insurance, and comply with LC 213/2025 and the standards to be published by the CNSP and Susep.
The guideline is that the contract contains information such as: identification of the parties; Object (mutual asset protection and group scope); Entry/exit rules; Contribution criteria and division of expenses/claims; Organization and payment procedures; Clearly highlighted exceptions and deductions; Governance and duties of directors; Periodic reports; Segregation of assets between the entity and the group; Association/contract with authorized official; Data processing under the General Data Protection Regulation (LGPD); Complaints and dispute resolution channels.
“For the member, the practical rule is: check if the association is registered and requires documents and data. For entities, the path is compliance from now on, a well-written membership contract, governance, segregation of assets, and when the CNSP liberalizes the rules, appoint an administrator and submit everything to Susep. LC 213/2025 came to professionalize the sector; whoever adapts gains longevity and reduces liabilities,” concludes Gomez.
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