Romanian Insurance Regulator Bans Activities Of Unita Vienna Insurance Group

“This decision was taken following the fact that the new shareholders of the institution, Uniqa International Beteiligungs – Verwaltungs GmbH and Uniqa International Versicherungs Holding GmbH, did not ask for the approval of the surveillance commission, as required by law,” the regulator said.

The commission noted that on November 3, the new shareholders appointed new members of the Surveillance Council and withdrew the already existent members, and on November 17, the new Surveillance Council, which was not approved by the commission, appointed new members in the company’s board and withdrew the already existent ones.

The surveillance commission temporarily banned insurance and reinsurance activities, new risk subscription and cashing of premiums following this action in all subsidiaries, locations and agencies of the company, until the commission approves the new shareholding structure, the members of the surveillance council and the board members.

The company is obligated to notify all insurance intermediaries on the temporary ban on insurance activities within three days after the decision is officially transmitted.

The commission said the sanction applied to Unita Vienna Insurance Group will not have any influence on the insurance contracts the company already signed.

“We have not received an official notification from the surveillance commission with regard to the suspension of the activity. We will inform the shareholders in Vienna and we will make a statement after we see the decision of the commission and its arguments,” Radu Vasilescu, Unita’s general manager appointed last week, told MEDIAFAX.

The Austrian group Uniqa completed the process to fully acquire Unita in the beginning of November, after having signed in June with Vienna Insurance Group the contract to take over 100% of the Romanian insurer’s share capital.