What should drivers do who want to cancel their contract with Euroins and get their money back

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Millions of drivers, with their eyes on the decisions in the insurance market. After the insolvency of Euroins, the RCA price will be capped at the level of last March. It is the project that the Financial Supervision Authority is working on and which it will present, next week, to the Ministry of Finance. This means a price lower by up to 20 percent compared to the one established in the summer.

By the Observator editorial team on 18.03.2023, 19:38

Of the 7.5 million RCA policies, almost 3 million are concluded with Euroins. This means that every driver who drives on the streets of Romania, in the event of an accident, has a one in three chance of hitting an insured of this company. It is also confirmed by the owners of car services.

Florin Bujgoi, car service owner: We have around 30 percent of Euroins damaged customers. As a service, I don’t know where I get the money from. I’m still working on what I have to work on, but until I have the answer as to who will pay for the repairs, I’ll be a little more relaxed in taking my clients, cars damaged by owners of the Euroins policy.

Driver: I have RCA at Euroins from a few days ago before the insolvency was announced. Under these conditions, I am thinking about whether I can withdraw my amount and cancel the policy. For now the broker doesn’t know anything, he said to wait.

Euroins’ RCA policies will remain in force for another 90 days from the moment the court decides to open bankruptcy proceedings.

Daniel Apostol, ASF spokesperson: A Euroins policy holder can go to the insured’s guarantee fund. FGA will pay all the rights of the insurance creditors according to the law, i.e. all the claims.

What can drivers who want to cancel their contract with Euroins do

Everything, within the limit of 500,000 lei. But if someone wants to cancel the contract with Euroins and get their money back, they can do it by filling out a complaint form on the website of the Guarantee Fund. With the amendment that, for a policy with any other insurer on the market, you will pay more.

Radu Soviani, economic analyst: Prices are already much higher than in Bulgaria, than in Poland, than in Germany. That’s because the surveillance leaves a lot to be desired.

Meanwhile, the Financial Supervisory Authority is working on a plan to cap prices. The proposal will be presented to the Ministry of Finance.

Cristian Roşu, ASF vice-president: We want to make this tariff level so that both customers and insurance companies can support it.

Adrian Negrescu, analyst: RCA tariff ceiling is a mistake. It is a mistake because it will lead to a sharp rise in rates immediately after the cap is lifted, as happened in 2016.

From the information obtained by the Observatory, the plan is for the ceiling to be made at the reference level of March, last year, for a period of 6 months. At that time, for a car with a cylinder capacity between 1,400 and 1,600 cubic centimeters, an RCA policy cost between 900 and 1,600 lei, depending on the age.