Abstract

The article discusses the issue of admissibility of determining the amount of compensation under third-party liability insurance for a damage to property as the costs of restoring a damaged thing to its previous condition (i.e. so-called cost estimate method). In the first part, the author presents the relevant views of the doctrine and case law. In the latter part, however, he challenges certain theses, presents arguments against the so far dominating position and advocates the differential method and the way to set the amount of this compensation.