Bucharest July 20 2022 – The deadline for submission of payment requests by potential insurance creditors of Societatea de Asigurare Reasigurare City Insurance S.A – in bankruptcy, whose right of claim has arisen prior to the date the Court decision for commencement of winding-up procedure has remained final, respectively prior to April 20 2022, is met on July 20 2022.
Following this date, payment requests can be submitted only by potential insurance creditors whose right of claim has arisen after the date the Court decision for commencement of winding-up procedure has remained final, respectively April 20 2022.
Until July 18 2022, FGA has received over 230.000 payment requests, out of which 156.000 have been registered.
The Special Commission of the FGA has endorsed for payment 32.486 payment requests. The total amount of compensation granted until present moment by FGA to insurance creditors of Societatea de Asigurare Reasigurare City Insurance S.A amounts to 297 million lei. At the moment, 80.000 payment requests are awaiting verification and registration.
Statistically, May 2022, the month during which the insurance policies issued by Societatea de Asigurare Reasigurare City Insurance S.A have ceased validity by law, is the apex for submission of payment requests to FGA. During this month, FGA received approximately 50.000 payment requests, representing double the average of the previous months, where approximately 20.000 payment requests were received. Considering there is a possibility that a significant percentage of these payment requests to be re-submissions of payment requests previously submitted, data operators have been tasked with carrying out a verification process, in order to avoid duplicate registrations, for the purpose of facilitating the subsequent settlement process.
Another measure aimed at accelerating the registration process of payment requests is implementation, in June 2022, of “Robo” app for automatic registration of requests received online, through the form available on the website of the Fund.
Considering the decrease in number of requests for opening claim files, following the cessation of validity of insurance policies, part of the personnel tasked with ascertaining damages is incrementally redistributed towards settlement of payment requests (claim files and premium returns), towards the enhancement of the settlement process. On finalizing the redistribution process of FGA employees, the monthly capacity of payment requests settlement in the following period will increase, up to an estimated capacity of 6.000 payment requests per month.
Payment of compensations in relation to payment requests submitted to FGA is made on a daily basis. There is an average period of 1-4 working days between the moment the Special Commission has approved a payment and the moment the payment is made.
The available assets of FGA on July 18 2022 amount to approximately 440,85 million lei.
Potential insurance creditors of Societatea de Asigurare Reasigurare City Insurance S.A are reminded that, according to the law, FGA is entitled to make payments from its available assets only to insurance creditors that have submitted payment requests within the legal deadline and whose claim files are complete. Payment of compensation is made up to 500.000 lei per each insurance claim due under an insurance contract concluded with the bankrupt insurer, according to the guarantee threshold regulated by Law no. 213/2015, amended.
At the same time, potential insurance creditors are reminded that FGA registers payment requests in the order of their submission. Insurance creditors can check online the status of their registered payment requests, on the website of the FGA.
