Insurers are again fighting for premium deductibility

Insurance companies are again striving to persuade the Finance Ministry to introduce fiscal deductibility for premiums paid for life insurance policies, maintaining the market would this way grow more rapidly, and the economy would take in additional investments of 3.6bn RON (around 900m euros) in the next five years. The National Union of Insurance Companies (UNSAR) and the Insurance Supervision Commission (CSA) were yesterday due to sent letters to the Prime Minister, the Finance Minister, Labour Minister and specialised Parliament committees asking for the introduction of tax deductibility for premiums paid for life insurance policies sealed for at least 10 years, up to 400 euros for individuals and the same amount for companies offering this benefit to their employees. Insurers have made similar moves in the past years, but to no avail. “It’s an older wish of life insurance market players to convince the Finance Ministry that the introduction of deductibility for these policies is beneficial both to the life insurance market and to Romania’s budget,” stated Angela Toncescu, CSA chairperson.