Bucharest – September 20 2021 The Policyholders Guarantee Fund (FGA) took notice of the Decision of the Financial Supervisory Authority (ASF), by which the functioning authorization of City Insurance S.A. was withdrawn and the insolvency was ascertained. The Financial Supervisory Authority will submit to the Courts of law the request for commencing the winding-up proceedings against the insurer.
As such, starting from today, FGA can proceed to open claim files, on request from potential insurance creditors of City Insurance. The request for opening a claim file (Annex 7) may be filled in the situation where an event covered by a valid insurance policy has occurred within the timeframe between the date of withdrawal of the functioning authorization and the date of denouncement of insurance contracts, but no later than 90 days from the date the Court decision for commencing the winding-up proceedings has been pronounced.
According to the law, insurance creditors of City Insurance S.A. can submit to the FGA payment requests (Annex 10) or requests for return of premium (Annex 9) only from the date the Decision of the ASF has been published in the Official Journal of Romania. Payment requests can be submitted starting from the publishing date of the ASF decision for withdrawal of functioning authorization and up to a maximum of 90 days from the date the Court decision for commencement of the winding-up proceedings remains final. For insurance claims that have arisen after the Court decision for commencement of the winding-up proceedings remains final, payment requests can be submitted within 90 days from the date the right of claim of the insurance creditor has arisen.
Pursuant to the Decision of the Financial Supervisory Authority, the FGA will take over from the insurer the complete records of claim files, as well as all technical, operational and accounting records relating to said claim files, within 30 days from the date the functioning authorization has been withdrawn. Following the take-over, FGA will proceed to publish the lists of potential insurance creditors.
Handling of payment requests by the FGA shall be done only after the take-over of the complete records of claim files, as well as all technical, operational and accounting records relating to said claim files.
In accordance with art. 266 para. 2 of Law no. 85/2014, FGA is entitled to make payments to insurance creditors from its available assets onlyafter the Court decision for commencement of winding-up proceedings remains final and only to insurance creditors that have submitted payment requests and whose claim files are complete. The payment of indemnity/compensation shall be done within a guaranteed threshold of 450.000 lei per each insurance creditor, according to the law.
Considering the existing pandemic context, FGA recommends potential insurance creditors to submit requests online or through mailing services.
For e-mail services, we recommend the following:
Any other requests/questions: email@example.com
Mass-media communication: firstname.lastname@example.org
Postal address: Vasile Lascăr Street, no. 31, postal code 020492, District 2, Bucharest, Romania
Please be advised that all information pertaining to the process of submitting requests for opening claim files or payment requests are available on the FGA website www.fgaromania.ro/en/home, in the section dedicated to Policyholders.
The Policyholders Guarantee Fund was established as a legal person of public law, pursuant to Law no. 213/2015.
The Fund is an insurance guarantee scheme with the purpose of protecting insurance creditors against the consequences of an insurer’s insolvency.
For further details,
Communication and International Relations Department