Only 10% of homes might get compulsory insurance

Insurers are pessimistic and estimate only 10% of homes might conclude compulsory insurance policies until the end of the year, although homeowners have until mid January to seal such a contract or be penalised.

“It would be good to exceed 10% over the next six months, i.e. 800,000- 1,000,000 mandatory insured homes,” said Marius Bulugea, chairman of the Insurance Pool against Hazard (PAID), at the launch event of mandatory home insurance yesterday, which also saw the first policies being signed. They cover three risks: earthquake, landslides, and floods. PAID is the company that will issue these policies.
“There have been talks on the risk of flooding: if you live in a block of apartments and your upstairs neighbour floods you, are you protected by the mandatory policy? The answer is ‘no’. The mandatory policy only covers natural disasters. I hope the population will understand this is not a tax, it is social insurance, designed to provide minimal support in case of disaster,” says Angela Toncescu, chairperson of the Insurance Supervisory Commission.
What should homeowners who already have a non-compulsory insurance policy do? Seal a compulsory policy within 5 days from the expiry date of the previous policy.