Slow growth for general liability insurance

The mandatory civil liability insurance market totalled 11 million euros last year, up 30% in real terms from 2002. The growth is very small if one considers the potential of this market. Mandatory civil liability insurance reimburses policy holders in the event of damages caused to third parties. The increase in the number of accidents which have resulted in injuries and deaths, with the Mihailesti case being the first that comes to mind (one which more or less involved Romanian companies) has not made such businesses more responsible. This type of insurance is mandatory in the EU for any commercial or productive activity that may result in damages to those in its vicinity, as well as in professions such as the medical profession, law, accounting and auditing or architecture. Thus, not even a restaurant or hotel can operate without civil liability insurance. ZF