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14.07.2011 08:38
Romanian Authorities May Fine Uninsured Homeowners Next Year
The compulsory yearly premium is EUR 10-20, depending on the type of building, and covers damages between EUR 10 000 and EUR 20 000
AUTHOR: publics.bg


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Romanian local authorities will be able to fine people without mandatory home insurance starting from August next year, Mediafax reported. According to Law 260/2008 as amended and republished, home insurance against natural disasters (earthquakes, landslides and floods) becomes mandatory 90 days after the adoption of the norms on the law’s application, allowing home owners one year to get such insurance policies. The fines may reach EUR 116.

Insurer PAID will collaborate with local authorities to sell mandatory home insurance policies, its estimates showing that 60% of the houses in the country, around five million, are not insured, the report says. 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. By July 4, PAID had issued more than 600 000 PAD policies. The yearly premium is EUR 10-20, depending on the type of building, and covers damages between EUR 10 000 and EUR 20 000.
 


TAGS: Romania | home | insurance | disaster 


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