Romania’s financial supervisory authority (ASF) fined local insurers City Insurance and Euroins with RON 50,000 (EUR 11,000) each for delaying the damage assessment in car accidents, which also led to delays in compensation payments to the injured parties.

The two insurers control some 70% of the market of third-party car liability insurance (RCA).

At the end of August, AutoCar, a local group consisting of three companies that manage car service units, notified the ASF about requesting in court the bankruptcy of City Insurance, the largest Romanian insurance company. The company claimed that City Insurance was late more than 120 days in paying RON 1.1 million (EUR 230,000), and the interest plus penalties pushed the total debt up to RON 3 mln (EUR 630,000).

editor@romania-insider.com

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