CSA: Several Top Insurers Want To Enter Romanian Market Lured By Growth Potential

05.26.2011 By Tudor Ioana Raluca

Several top insurers, including some European Union-based companies, want to enter the Romanian market enticed by the low penetration rate and the high growth potential, insurer regulator CSA president Angela Toncescu said Wednesday.

"The respective insurers contacted us and demanded information about the market and regulations," said Toncescu. She did not disclose insurers' names, citing confidentiality.

The 43 companies which operate on the Romanian insurance market reported a share capital of 4.175 billion lei (about EUR1.013 billion) at the end of 2010, up 5.1% on the year.

Data released by CSA reveal that foreign investors contributed RON3.69 billion (88.6%) to insurers' share capital.

Last year, French group AXA bought Romanian insurer Omniasig Asigurari de Viata.

Ergo Asigurari de Viata entered the local market last year and its insurance policies are sold through the UniCredit Tiriac Bank network.

The Romanian general and life insurance market dropped 6.4% in 2010, to RON8.31 billion. (EUR1=RON4.1290)