​The Financial Supervisory Authority (ASF) has formally requested bankruptcy for Euroins, the former RCA leader with almost 2.8 million policies in force, and the first deadline granted by a Bucharest court is April 28. The process is important because, depending on the court’s decision, there are certain time limits for RCA policies issued by Euroins and claims for damages to the FGA.

ASF filed for bankruptcy against Euroins on April 18, 2023, as part of a process that has been ongoing since last month, in which several car dealerships are also asking the former RCA leader for bankruptcy.

The first term in this case is April 28, 2023, but, most likely, the decision will not be made then, but at a later court term, given the complexity of this case.

All current Euroins policies are terminated by law within a maximum of 90 days from the moment of the decision to open the bankruptcy procedure

The court’s decision is important for all Euroins customers and victims, as it will determine how long their insurance is still valid or how much time they have left to claim compensation from the Policyholders’ Guarantee Fund (FGA).

Therefore, once the Bucharest Court decides to open bankruptcy proceedings in the case of Euroins, the immediate effect is that within 90 days, from that moment, the insurance policies issued by this insurer are automatically terminated.

After the final decision on the bankruptcy of “Euroins” in court, one more term will expire

If the decision to open Euroins bankruptcy proceedings remains final, another deadline begins to count down: from this moment, all Euroins customers and injured persons will have a maximum of 90 days during which they can submit claims for compensation to the Policyholder Guarantee Fund ( FGA).

Injured parties and clients of Euroins have submitted more than 30,500 applications for compensation of damages or premium refunds to the Fund for the Guarantee of Insurers (FGA), but as of April 3, the Fund has officially registered a little more than 10,100 such applications.

ASF estimates that the FGA could pay €250 million to victims and Euroins customers.

“Euroins” is asking through the court to stop and cancel the decision regarding ASF

For their part, Euroins Romania and the Bulgarian group Eurohold launched a lawsuit to challenge the March 17 decision of the ASF to revoke the operating permit.

In this regard, “Euroins” started 2 processes: one regarding the suspension of the decision on ASF and the other regarding the cancellation of the decision on ASF.

Both open at the Court of Appeal of Bucharest, the first decision to suspend the ASF decision was made on Friday, April 21, 2023.

Injured parties and clients of Euroins have submitted more than 30,500 applications for compensation of damages or premium refunds to the Fund for the Guarantee of Insurers (FGA), but as of April 3, the Fund has officially registered a little more than 10,100 such applications.

• Read more: Euroins bankruptcy: Claimants and customers sent over 30,500 payment requests, but FGA only officially registered a third