Update: Government Decision capping the RCA tariffs comes into force on Friday

The new compulsory insurance policies (RCA) tariffs, adopted in early November by the Government, comes into force on Friday for a period of six months, they will be applied by the insurance companies underwriting compulsory motor insurances for damages caused to third parties by motor vehicle and tram accidents.

“Insurance companies concluding RCA policies will apply for 6 months the tariffs notified before the entry into force of this Decision, without exceeding the capped premium rates,” reads the Government Decision adopted on November 2.

According to the bill, exceeding the maximum level of premium rates by insurance companies underwriting RCA is considered contravention and is punishable by a fine of RON 1,000 to RON 50,000, and “in addition to penalties for contraventions, depending on the seriousness of the offense, the Financial Supervisory Authority (ASF) Council may enforce complementary sanctions.”

The government approved in early November the ordinance on capping the compulsory insurance policies (RCA) rates for six-month period, as a press release informs. The lowest RCA policy will be RON 541 per year and the largest – RON 3,087, according to the maximum tariffs grid.

Young people owning high horsepower cars will pay most for RCA insurance policies and 60 y.o. persons, driving cars with engine capacity between 1.2 and 1.4 litres, the lowest rates. Thus, a driver aged up to 25 years will pay RON 3,087 per insurance per year. It’s the highest level of an insurance premium.