Financial Authority takes over troubled Romanian insurer

The Financial Supervisory Authority (ASF) has decided to apply the resolution measures for the local insurer Carpatica Asig, which has been under financial recovery in the past two years. This meant that the financial regulator will take over the company in order to bring it to a normal state, namely to sell it. The insurer has failed to attract an investor by the deadline of December 2015. The company’s board should continue the proceedings for attracting an investor, complete the sale transaction and restore the basic funds eligible to cover the Minimum Capital Requirement. ASF will draft the resolution plan within six months and will make sure that an independent evaluator will conduct a proper evaluation of the company. “Applying the resolution measures doesn’t affect the firm’s basic activity,” said the ASF president Misu Negritoiu. editor@romania-insider.com