Market prepares for change as EU entry date approaches

Romania has addressed most of the issues facing its insurance business ahead of EU accession. The market currently operates with higher solvency levels and customer-friendly marketing material. With most of its insurance capital in the hands of foreign investors, Romania is looking attractive on the eve of its EU membership.

On the threshold of EU entry on 1 January 2007 Romania has done a great deal to prepare its insurance market by increasing insurers’ solvency levels, promoting consumer friendly publicity materials from financial service providers as well as opening its borders to foreign investments. By 2004, the majority of insurance capital was in the hands of mostly Western European investors.