Motor insurance... profitable?
"The insurance market is the only financial sector in Romania which loses money.
At leas three years the market is billing effluences and the results reflect
an emphatic tendency of more worsen situation", stated Cristian CONSTANTINESCU,
President of UNSAR (National Association of Insurance and Reinsurance Companies
from Romania) within the second Edition of the National Motor Insurance Conference
held at the Parliament Palace on March 6th.
Thus, trying to find an answer for the question "Motor insurance market - what
is the future preparing?", one of the main event's themes, Cristian CONSTANTINESCU
mentioned that "the investors, especially foreigners, had educed that they placed
in this market enough money and now they are expecting results. The substantial
capital infusion from the latest period didn't aim anything else but to cover
the financial losses, not to develop and to improve the activity of the companies".
"If we intent to have performances on the motor insurance market we have three
ways: claims control, especially the costs; the franchising, in order to make
the insured more responsible; and the price of the insurance. Regarding the price,
the motor insurance market already shows positive signs, many companies starting
to take into consideration the segmentation", added the President of UNSAR.
Author: Andreea IONETE
on 06.03.2008
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