Insurers in Romania notify the EC over freezing of RCA insurance prices

Newsroom 03/11/2016 | 15:39

Insurance companies from Romania have notified the European Commission through the National Union of Insurance and Reassurance from Romania (UNSAR) following the government’s decision to let the Financial Supervision Authority (FSA) enforce mandatory insurance prices of auto civil responsibility (RCA) for six months, claiming that the authorities gave in on the transporters’ pressure.

“As a result of the Government approval of the ceiling tariffs for the mandatory auto insurance policy, the National Union of the Insurance and Reassurance Companies from Romania reconfirms its intention of action on all the legal ways for the specific regulation of this field both at national and European level,“ says the organization.

“The manner in which these regulations were issued leads us to the idea that this measure was taken only to respond to the transporters’ pressures, citing a crisis situation in the market. This crisis couldn’t be economically based, through a solid financial analysis of the transports market from Romania. Actually, the crisis is at the level of the insurance and reassurance companies, “ said the insurers.