A Bulgarian insurance company enters the RCA market in Romania with lower prices for trucks

Dallbogg, an insurance company from Bulgaria registered in the list of companies that can sell RCA in Romania starting from 2017, based on the European passport and became a BAAR member, resumes the market entry process. Responding to a request from the association COTAR, which represents transport companies, driving schools and services, Dallbogg also exposes the prices at which he intends to sell.

According to an official document signed by two Dallbogg executives and addressed to COTAR, the Bulgarian company plans to focus exclusively on insuring trucks over 16 tons and proposes three price levels, all close to or lower than the preferential rates offered by BAAR for the same category of insured through the high-risk insured system, writes Economica.

The preferential RCA price for a truck over 16 tons in the bonus/malus B0 category is approximately 9,000 lei, through the high-risk insured system managed by BAAR. Prices on the open market start from 11,000-12,000 lei. According to the consulted documents, Dallbogg intends to sell within a protocol with COTAR at lower prices: 8,100 lei for class B0, 7,500 lei for classes B1-B4 and 6,000 lei for classes B5-B8.

In the said letter, Dallbogg representatives state that they are among the largest sellers of RCA in Bulgaria and that they are also active under the European passport in six other countries. It is worth noting that Dallbogg is the company that provided Romanians with RCA insurance for Bulgaria, during the period when many Romanians registered their cars in the neighboring country to benefit from lower taxes and duties. Polish group Unilink, which also controls local brokerage leader Safety Broker, is involved in the talks.

ASF conditions market entry on the signing of protocols between FGA and similar funds from other EU countries, including Bulgaria, according to an announcement made exclusively by Economica.

Dallbogg expressed the intention to enter the Romanian market as early as 2017. Interestingly, then, as now, RCA prices were limited, either at a fixed level or at a variable price, equal to the maximum of February 28, 2023, for each customer category and each individual insurer.

According to the ASF, Dallbogg was registered in the register of companies that can sell in Romania based on the FOS, being supervised and regulated directly from the country of origin. Meanwhile, the company also became a BAAR member, a mandatory step to sell RCA in Romania, regardless of the sales method.

The initial steps were taken by Safety Broker, controlled by Viorel Vasile. Sales consulting would now be carried out by Unext, a Polish group company that also collaborates with Dallbogg in other countries. Unilink controls Safety Broker in Romania, where Viorel Vasile holds the position of president of the Board of Directors. A new company, Unext Romania, is in the process of registration.

“We have been in discussions with Dallbog since 2017, the year in which they obtained approval to sell in the FOS system in Romania. At the moment, we are diligently working with the authority to be able to meet all the required conditions in order to start the sale immediately after the expiry of the RCA tariff ceiling”, said Viorel Vasile.