Parliament sanctions private health insurance

Parliament’s upcoming vote on the private health insurance law paves the way for a several dozen million euro industry in Romania over the next few years. At the moment, there is only one company selling private health insurance, though a series of other major players in the sector have announced plans to enter this market. The health insurance law was passed by the Senate at the end of last week, although slightly altered from the version enacted by the Chamber of Deputies. This means it will be subjected to mediation over the next few days. It could be voted and published in the Official Gazette by the month’s end. The only differences from the version passed by the Chamber of Deputies are that the law enforces on January 1, 2005 (instead of three months from publication) and that the deductibility cap for premiums is expressly stipulated, i.e. 200 euros for the employee and 200 euros for the employer. ZF