ASF wants to extend the validity of Euroins policies

The government intends to extend the validity period for insurance policies issued by the Euroins company, according to an emergency ordinance project initiated by the Financial Supervision Authority and under public debate on the website of the Ministry of Public Finance. ASF decided on March 17, 2023 to withdraw the authorization for the Euroins Romania company, and the opening of the bankruptcy procedure was pronounced by the Bucharest Court on June 9, 2023. From that moment, all policies issued by the Euroins company are valid for 90 days, which means they expire on September 8, 2023.

If the draft emergency ordinance proposed by the ASF is approved by the Government and enters into force, the policies issued by Euroins will be valid for another 90 days, until December 8, 2023 inclusive. According to the project submitted by ASF, if the current situation is maintained, in the next period 1.7 million RCA contracts will cease to be valid, equivalent to 17% of the national car fleet. ASF explains that at the moment there are six insurance companies and two branches that will have to absorb a very large demand for RCA contracts, but also that so far there has been a small number of requests for termination of contracts concluded with the bankrupt insurer.

According to the statement of reasons from the draft normative act, due to the current economic context, which generates financial difficulties for the population, there is the possibility of postponing the decision to conclude a new RCA insurance and the danger of decreasing the degree of RCA insurance coverage of the national car fleet.

Proposals, suggestions and opinions regarding the respective draft normative act can be sent to the e-mail address publicinfo@mfinante.gov.ro, until August 28, 2023, inclusive