The Financial Supervisory Authority (ASF) last month fined Generali Asigurari 54,000 lei for non-payment of RCA claims, while Omniasig received a warning, according to an announcement published on the authority’s website. The ASF also imposed fines on the executives of Allianz-Țiriac Pensii Private and Metropolitan Life Pensii Private, as well as on the capital market.

Sanctions in insurance: What violations were found in Generali and Omniasig

• Generali Romania Insurance Reinsurance a fine of 54,000 lei was imposed for the following facts: violation of the provisions of Art. 21 par. (4) and (2) of Law No. 132/2017 on compulsory auto civil liability insurance for damage caused to third parties as a result of road accidents involving vehicles and trams, with further amendments and additions.
• Omniasig Vienna Insurance Group a written warning was applied based on the facts: violation of the provisions of Art. 21 par. (4) and (2) of Law No. 132/2017 on compulsory auto civil liability insurance for damage caused to third parties as a result of road accidents involving vehicles and trams, with further amendments and additions.
• Insurance broker “Prestige”. a written warning was applied for violation of the provisions of Art. 22 paragraph (13) of the ASF regulation no. 22/2021 regarding the distribution of insurance experience, without submitting changes to the personal card of the executive director to the ASF within the deadline established by law.

What laws were violated at RCA

Article 21 of Law No. 132/2017, against which ASF applied sanctions, provides:

• (2) If, within 30 days after submitting a claim for compensation by the injured party or the insured, the RCA insurer has not notified the injured party of the rejection of the claims for compensation, as well as the reasons for the rejection, the RCA insurer is obliged to pay compensation.
• (4) Compensation is paid by the RCA insurer within 10 days from the date of acceptance of the compensation offer provided for in para. (1) lit. a) or from the date on which the RCA insurer received a final judgment or consent of the subject to resolve the dispute regarding the amount of compensation that it is obliged to pay. The documents on the basis of which a claim for compensation is submitted are established by ASF regulations

Sanctions on private pensions: the heads of Allianz-Țiriac Private Pensions and Metroipolitan Life Private Pensions were fined

ASF applied the following sanctions to the non-state pension sector:

• Raiffeisen Bankas a depository of assets of private pension funds, a written warning was issued for identifying deficiencies in the document flow related to the activity of depositing assets of private pension funds.
• Virgiliu Pompiliu Ichim, CEO of Allianz Țiriac Pensii Private SAFPP. a written warning was issued and a fine in the amount was imposed 5,100 leifor operational deficiencies identified in activities carried out for administered non-state pension funds.
• Oana Viorica Velicu, General Manager of Metropolitan Life The non-state pension fund management company was held liable in the form of a fine for an offense in the amount of 9,100 lei and a written warning for identifying deficiencies in operational processes.
• Dorina-Maria Kosbuk-Ionescuas a person who provided the function of temporary internal control within the framework NN Life insurance in the period 07.06.2021 – 31.03.2022, a written warning was applied to her for improper monitoring of the implementation of measures ordered by NN Asigurări de Viață SA
• Georgiana-Mioara Dumitrake as a person who provided the function of temporary internal control within the framework NN Asigurări de Life SA. in the period from 01.04.2022 to 19.08.2022, a written warning was issued for improper monitoring of the implementation of measures assigned to NN Life Insurance.
• Andrei Marina Piperneaas CEO NN Pensions A written warning was issued to the Management Company of the non-state pension fund for identifying deficiencies in operational processes.
• Lavinia Florina Miranceain the position of deputy general director NN Pensions A written warning was issued to the Management Company of the non-state pension fund for identifying deficiencies in operational processes.

Sanctions on the capital market:

ASF applied the following sanctions on the capital market:

Transylvania Investment Alliance – based on the results of periodic control, the following sanctions/measures have been assigned:

• application of sanctions to Transilvania Investments Alliance SA with a warning;
• imposing sanctions on Marius Petre Nicoare, as a member of the Supervisory Board, with a fine of 5,600 lei;
• a fine of 5,600 lei against Radu Moman, as the vice-president of the Supervisory Board;
• imposing sanctions on Paul George Prodan, as the president of the Supervisory Board, with a fine of 5,600 lei;
• imposing a fine on Patrizia Abrudan, as a member of the Supervisory Board, in the amount of 5,600 lei;
• the imposition of sanctions on the Council of Claudio Roshka, as a member of the Directorate, with a fine of 1,800 lei;
• a fine of 5,600 lei to Camelia Ene as secretary of the Supervisory Board;
• imposing sanctions on Tony-Christian Reduce-Gib, as a member of the Directorate, with a fine of 1,800 lei
• imposing a fine on Sorin Redulescu, as the head of the portfolio management department, in the amount of 3,200 lei;
• the warning of Theo-Dorian Bufti, as a member of the Directorate;
• the warning of Mirchi Radus, as the head of the administrative department;
• a warning from Dragos Kelin, head of the legal department.

At the same time, an action plan was imposed on the company to eliminate some identified deficiencies/situations and reduce some risks.

The main identified shortcomings related to aspects of non-compliance with the internal procedural framework, as well as management of operational risks related to IT systems.

BRD – Groupe Societe Generale – based on the results of the analysis of the transactions made by Vigroux Jean Pierre Georges, a member of the CA of the BRD issuer, the notification of which was made by the owner of the obligation after the expiration of 3 working days from the moment of their execution, provided for in Art. 19 (1) of Regulation (EU) No. 596/2014 on market abuse, Vigroux Jean Pierre Georges was fined 2,200 lei.