Homeowners are required by law to be insured against earthquakes, floods and landslides, either through a policy issued by PAID, or through a voluntary policy issued by an authorized company. The deadline expired on August 5, according to an announcement by insurance regulator CSA. Failure to get insurance attracts a fine of RON500.
The insurer has paid damage claims worth almost RON175,000, for 24 case files. Recently, the company has paid the first total damage claim, worth EUR20,000, for a home in Avrig, Sibiu county, which was destroyed in a flood.
“Right now, there are 25 other approved damage claims, filed in the wake of landslides and floods,” says a PAID press release.
The company points out that the mandatory insurance policy does not cover risks other than those provided by law and especially not those caused by human activity, like overflowing reservoirs, collapsed building as a result of prospection work, mining or public utility work.
PAID (the Pool of Insurance Against natural Disasters) is a joint stock insurance-reinsurance company that manages the risk fund meant for paying damages in case of natural disasters. Its 13 shareholders are: ABC Asigurari, Astra Asigurari, ARDAF, Carpatica Asig, Certasig, City Insurance, Credit Europe Asigurari, Euroins Romania, Generali, Grawe Romania, Groupama Romania, Platinum Asigurari and Uniqa Asigurari.
According to official data, there are 8.39 million homes in Romania. The share of insured homes has reached 45%, up about 5 percentage points compared to June 30, when it stood at 40.3%, CSA announced last week.
(EUR1=RON4.2855)