Broker sells insurance policies for companies that challenge bids in Romania

A brokerage company is offering insurance policies to companies which challenge the results of public bid. Brokerage company Zurich wants to achieve EUR 1 million premiums by selling such insurances, according to Ziarul Financiar. Companies which challenge the results of a public bid can avoid setting up a financial guarantee recently imposed by signing for an insurance policy, at a cost of 3 percent of the guarantee value. For a EUR 1 million contract, the guarantee deposited in case of challenging the bid results is of EUR 10,000, and the insurance premium for 90 days is of EUR 300. The guarantee deposit recently introduced by the Romanian Government is of 1 percent of the value of the contract, and is lost if the challenge is rejected. editor@romania-insider.com