Nearly half of the travel agencies in Romania are not insured

Almost 2,000 of the approximately 4,000 travel agencies and tour operators in Romania haven't made proof of an insurance policy, according to a document of the National Tourism Authority (ANT), dated August 9, 2016. On the other hand, 1,726 travel agencies have insurance policies, 327 of them covering damages of up to USD 10,000. “The insurance companies in Romania don’t want to close insurance policies for travel agencies because they believe that the risk is very high. We have had this problem for years,” ANT president Anca Pavel-Nedea told local News.ro. ANT withdrew the operating licenses of 20 travel agencies this year, nine more than last year. In 2014, 141 tourism agencies had their licenses withdrawn by the Tourism Agency. Moreover, there are also 53 travel agencies that have requested to have their tourism licenses canceled on demand. All travel agencies in Romania are obliged to conclude an insurance policy against insolvency or bankruptcy, and prove the existence of this policy. The insurance policy must be renewed every year. If a travel agency or a tour operator that doesn’t have such an insurance shuts down, the agency's clients will likely remain without the money paid for their holidays. Romanian travel agency informs customers of its insolvency via text message Irina Popescu, irina.popescu@romania-insider.com