Gothaer said it was designated the winner of the auction Tarom organized to buy insurance services for its aircraft fleet for the next year. The insurer declined to give details on the value of the contract, citing confidentiality.
In April 2013, the government passed a decree no longer requiring Tarom to award contracts in public auctions only.
Other bidders to insure the airline’s fleet were Astra Asigurari, the leading Romanian insurer by 2013 underwritings. The country’s financial regulator ASF placed the insurance company under special administration in February this year. Astra is Tarom’s current insurer and has been insuring Tarom’s fleet for the past seven years.
Tarom has a fleet of 24 aircrafts, of which two Airbus 310-325, four Airbus 318-111, four Boeing 737-300, four Boeing 737-700, one Boeing 737-800, seven ATR 42-500, and two ATR 72-500.
German insurance group Gothaer entered the Romanian market in October 2012, when it took over 67% of Platinum Asigurări. The group later raised its stake to 100%. Founded in 1820, Gothaer group has over 3.5 million clients and posted revenues of over EUR4 billion from underwritings in 2013.