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XPRIMM News - THE ROMANIAN INSURANCE MARKET NEWSLETTER
No. 169, December 2nd, 2010
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EDITORIAL


Insurance with yet unexploited potential

After the first six months of 2010, one segment of the insurance market recorded a significant growth of 90%. We are talking about financial guarantees insurance.
An impetus for its development was Government Ordinance No. 834/2009, stating that the guarantees issued by insurers are forms accepted by public bodies to participate in attributing contracts in the system of public acquisitions of goods and services, along with bank guarantee letters.

Thus, given the private companies are facing severe pressure on credit lines and especially in front of such a pressing need for further investment, participation in public auctions turns into a niche business for insurers. This is because guarantees insurance is an alternative to the bank guarantee letter.

Very few insurance companies, in fact, only five, have however sensed the huge potential of this line of business... For a clear image of the development possibilities, we mention that the annual value of contracts attributed through public aquisitions procedure is nearly five times the volume of insurers' businesses.

This is just one of the many examples of solutions that can be used by insurance companies to overcome these tough economic times... Because there are always solutions for those who know how to seize opportunities...

mihaela.circu@mxp.ro

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Credit Europe Asigurari
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INTERVIEW


Interview with Florina VIZINTEANU
President of the Board
BCR Asigurari de Viata VIG

XPRIMM: The whole insurance market has experienced negative dynamics in the first six months of this year, life insurance being the only segment that has seen an increase. How do you comment this reality?
Florina VIZINTEANU:
It is necessary go a little deeper with the analysis. In the broader category of life insurance we have a segment that has generated growth and which marked a significant evolution, both last year and this year - investment-type insurance: unit-linked insurance, index-linked insurance.
It is very natural because, since the end of 2008, the range of investment possibilities has greatly restricted. The real estate market is still in a state more or less uncertain, so a real estate investment is not very attractive right now, unless there are some special opportunities. In no case do we have the situation from 2005, 2006 or 2007 when there was a great effervescence on the real estate market. Regarding the stock exchange, we are still in the situation in which the Bucharest Stock Exchange is not the most dynamic investment environment.
In this context, great accent was placed on financial and banking products. We, as life insurance companies, come with packages that come in addition to what a bank traditionally offers: the bank comes with a range of savings and investment type products, and life insurance comes to complete these packages.

XPRIMM: What is the profile of the Romanian client interested by index-linked products?
F.V.:
We can say that those who came to this area were those who had financial resources. Basically, the life insurance market has developed on the medium-plus segment. If we talk in terms of bancassurance - mass-affluent and above, not mass-market.
Three years ago, we were talking about a development on the mass-market, because we were talking about products that were related to a credit. But now, we return to a market of those who clearly have above average income and who can afford to save money. Moreover, we must keep in mind that this increase is not spectacular. We are talking about an industry where life insurance penetration is very low. And it was low, even in "boosting" years - then we were witnessing very high growths because we were starting from very small volumes.
Indeed, every year there have been very large increases that were somehow related to the economic growth, but even in peak years the penetration rate was very low. Density and penetration rate were very low, even when Romania was on an economic growth trend - this is because when we were on a trend of economic growth, but also of consumerism, and automatically, life insurance was not even then a priority, but consumption was. Currently, we are on a negative trend in terms of economic growth, so automatically, life insurance is not a priority now, either, for the simple reason that people no longer have the available financial resources.
Also, we must keep in mind that there is the effect of the 24% VAT, which automatically comes with an impact, because from the moment people pay extra for all goods, this automatically reduces the financial resources that could be spent on life insurance.

XPRIMM: In terms of life insurance share in the total market, we had an almost constant 20% in the last eight years. At this point, life insurance increases, while the rest, the other classes, are experiencing a decline. How do you think the share of life insurance in the total market will evolve in the future?
F.V.:
Its share will increase. In fact, it has already risen, for we had at one time even 26%, we also had 17%, but I do not think we will go over the psychological threshold of 30%.
We see the development of the country "through the lenses" of the economic growth, following several macro indicators. But when we analyze the insurance industry, there are some indicators that position you closer or farther away from certain areas of Europe. And I am not talking about Western Europe, I am talking about the Central and Eastern Europe area, where we are basically in, and anyway we are below that level, both in terms of ratio general insurance versus life insurance, as well as regarding penetration rate, density and average premium.

XPRIMM: In this context, how do you see the evolution of life insurance sales? But that of sales through the bank? Are we heading to one stop shopping, to the financial adviser who can provide a wide range of services, from banking to mutual funds, or do we expect a separation and a specialization of distribution channels?
F.V.:
Initially, we had specialized channels. We were going straight on the direct sales force channel on life insurance, and then the banking channels began to develop. In parallel, those networks that sold financial products, loans etc. have appeared. Somehow, I believe that a selective development is not the best solution right now, and I am not talking strictly from the point of view of the CEO of a life insurance company, but from the point of view of the individual, the counselor who sells life insurance. Because he already becomes a person who has experience in the area, who has developed, and who needs much more.

XPRIMM: Given the context of this crisis, how will insurance continue to sell?
F.V.:
It is obvious that the life insurance advisor is a character who becomes increasingly better educated and increasingly more complex. When he can offer life insurance in a professional manner, he has already entered the area of financial counseling, as life insurance itself has crossed the border.
Basically, we talk about a border industry between insurance and the financial area. For example, we do not simply sell life insurance covering the risk of death, everyone in the market offers, in fact, life insurance covering the risk of death, but it comes in addition with financial protection, it is savings insurance. In fact, this is how the market has developed from the beginning.

XPRIMM: There are big companies that will come or have already entered the market and have quite sophisticated products. Do you think the market is ready for such complex products?
F.V.:
If we talk in terms of sales force, the answer is: the market is definitely ready. As long as we have successfully managed to sell an index-linked type product, which is very complex, the market is certainly ready. But the customer is not very well informed. He is still not educated enough for these products, and it will take years to educate the client.
But the highly sophisticated products are already here. And if the companies address those segments to which these products are dedicated to, naturally, they will succeed. Any company that comes with a sophisticated product knows that the product addresses a specific market segment. Again, we are not talking about mass-market, because you can not discuss about something like that in life insurance and especially in a country like Romania, with its insurance penetration rate.

XPRIMM: What do you think is the most pressing problem facing the Romanian life insurance market?
F.V.:
The major problem at this point is related to the Romanian economy - it is the problem that affects us all and it will continue to affect us. Yes, we have an increase in the present, but I am speaking of substantial growths - they will come back a bit later after the economy recovers, this is obvious.
Moreover, the impact of the difficult situation from the public sector over life insurance industry is a major one. I am talking about the general decrease of the salaries, about reduced employment. Life insurance companies and banks had a very good customer base, very serious and healthy, in this area. There were people who had above the average income, with a quite high level of education. The impact of the measures adopted in the public sector will have on the life insurance industry can not be measured yet, but there is a risk, from my point of view.

XPRIMM: Returning to life insurance area, there are at least two major players entering the market this year. How will the entry on the market of two important names, that have been very much expected, change the landscape of Romanian insurance market? Do you estimate that this will determine overall changes?
F.V.:
Not in the near future. Companies that are currently on the market have years of development behind them. It takes time to set up the basis and to get the whole operational process of a life insurance company to work. So then, in the next period of time, I do not see dramatic changes in terms of life insurance market structure.
What I do see and I wish to emphasize, however, is the positive side: any new player entering the industry gives us a positive signal. It is a market where there is enough place - returning to what I said earlier, we have a very low penetration rate, so there is and there will be enough place for development. And any new entry in the market, especially if it comes with know-how and it is a company that has experience, can only bring value to the market. From my point of view, it is an encouraging thing.

XPRIMM: What are the objectives for the coming years?
F.V.:
At BCR Asigurari de Viata level, basically, this year we've covered all lines of products that could have been launched through the banking network.
A month ago, we launched a scholarship annuity product. The campaign slogan was "Your dreams will come true" - both the dreams of the child and of the parent. We considered it was a time when the need for such a product was obvious in Romania, given both the negative issues the educational system in Romania is facing and the parents' lack of material resources for their children's education.
As you have seen, there is a tendency to go to university studies abroad, a trend that can be very beneficial for our society, and such a product can support at any time such objectives of a child from a family with an average income. Moreover, we believe our client is a client dedicated to his child. This is the Romanian family structure, as the parent generally wants what is best for his child - and we come with this product exactly in this direction.
This is the product we have launched, in addition to investment type products that have high demand. It is a product very "dear" to us and we believe that, through it, we will manage to reach important objectives.

XPRIMM: Thank you!

by vlad.panciu@mxp.ro,
alexandru.ciuncan@mxp.ro

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Florina VIZINTEANU
Florina VIZINTEANU President of the Board
BCR Asigurari de Viata VIG

MEDICOVER
 
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TOP PRESS

EXCLUSIVE: Insurers have underwritten EUR 1.5 billion in the first nine months of the year
A preliminary centralization by INSURANCE Profile of the results of the Romanian insurance companies indicates a value of gross written premiums of the Romanian insurance companies, in the first nine months of the year, that has exceeded EUR 1,5 million, that is RON 6.3 billion.
Business of the profile market companies have decreased in real terms, in national currency, by nearly 12%, while the nominal decrease in European currency slightly exceeded 4%. In absolute value, the insurance business decreased by almost EUR 64 million compared to the value recorded in late September of last year.
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by alex.rosca@mxp.ro, 18.11.2010



EXCLUSIVE: The brokerage market continued to decrease in 3Q/2010
EUR 465 million (RON 1.95 billion) was, according to INSURANCE Profile, the insurance brokerage market in the first nine months of 2010, representing about 31% of the total insurance market, which totaled EUR 1.5 billion (RON 6.3 billion).
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by vlad.boldijar@mxp.ro, 18.11.2010



CEA: Extreme sides evolutions in the past two years on the Romanian insurance market
After in 2008 the general insurance market in Romania had seen the greatest growth in Europe, of over 35%, in 2009, the non-life segment fell by about 6%, to almost EUR 1.6 billion, according to the report European Insurance Figures 2009, recently published by CEA - European Insurance and Reinsurance Federation.
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by andreea.ionete@mxp.ro, 30.11.2010



CEIOPS President: Working together within the new supervisory authorities will increase the safety of European financial services
"The future of financial services largely depends on the ability of European supervisors to work together within the new European supervisory authorities, which will come into function starting 2011", said Gabriel BERNARDINO, President of CEIOPS - Committee of European Insurance and Occupational Pensions Supervisors, at CEIOPS Conference, the sixth edition, held on the 17th of November, during EURO FINANCE WEEK.
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by vlad.panciu@mxp.ro, daniela.ghetu@mxp.ro, 18.11.2010



The Romanian Catastrophe Insurance Program - a possible model for Central Asian and Caucasus countries
Countries in Central Asia and Caucasus are among the most exposed to catastrophe risks in the world, in this regard being necessary the urgent implementation of effective measures for risk mitigation and post-event management. This was one of the conclusions of the Azerbaijan International Forum dedicated to Catastrophe Risks and Construction Safety, organized by the UN Economic Commission, in partnership with the Government of Azerbaijan.
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by oleg.doronceanu@mxp.ro, 25.11.2010



ISC: The decline continues at nine months, but life insurance maintains its increasing trend
The Romanian insurance market has ended the first three quarters of the year with a decline of 5.1%, to a total volume of underwritings of RON 6.32 billion, against a decline of 6.8% of the non-life segment, to a value of gross written premiums of a little less than RON 5.1 billion. In the same period, life insurance has continued its growth, rising by nearly 3%, to over RON 1.2 billion, representing 19.4% of total underwritings, according to data released on the 21st of November 2010 by ISC.
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by andreea.ionete@mxp.ro, 22.11.2010



Romanians paid the least for life insurance in 2009
Romania has the lowest density of life insurance in Europe, of EUR 11/capita, compared to a European average of EUR 1.100/capita, according to the report European Insurance Figures 2009, recently published by CEA - European Federation of Insurers and Reinsurers. Taking into account that life insurance has managed to save the dynamics of the local market throughout this year, low density indicates a line of business with great growth opportunities.
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by andreea.ionete@mxp.ro, 26.11.2010



METLIFE proposals for healthcare system reform
The public healthcare system situation can be changed for the better in terms of efficient resources use, in the opinion presented by Theodor ALEXANDRESCU, General Manager, METLIFE - ALICO, at a seminar on health insurance, organized by Ziarul Financiar in partnership with METLIFE.
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by mihaela.circu@mxp.ro, 23.11.2010



The Government has issued the legislation regarding the introduction of the health services copayment system
The Executive has adopted, in the meeting held on the 24th of November 2010, a project of law that regulates the mechanism of copayment of medical services and introduces the health voucher, announced Health Minister, Cseke ATTILA.
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by mihaela.circu@mxp.ro, 25.11.2010



IRES: 60% of Romanians would contribute to private health insurance
Only 15% of Romanians possess a private health insurance policy, although 60% claim that they would be willing to contribute to such additional health insurance in order to receive better medical services. Yet, when it comes to the sums that they would be willing to pay, only 14% would be willing to pay more than RON 100. These are the results of the IRES - The Romanian Institute for Evaluation and Strategy study, presented with the occasion of "The Radiography of the Health System" Conference, that took place on November the 25th 2010, organized by Ziarul Financiar in partnership with METLIFE.
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by andreea.ionete@mxp.ro, 25.11.2010



STELLAR Re: Mandatory household insurance beneficiaries will be compensated without long delays in case of a major catastrophe
In the event of a major natural disaster, namely one of the three insured risks (earthquakes, landslides, floods), PAID, the company issuing the mandatory household insurance policies (PAD), is able to compensate the beneficiaries of the insurance, due to the reinsurance protection it has.
We recall that signing the reinsurance contract was a condition for starting the campaign to sell mandatory household insurance policies, which is one of the safety measures taken in favor of the insured, as PAID program is one with a deep social value.
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by oleg.doronceanu@mxp.ro, 22.11.2010



Motor Hull insurance continues its decline at 9 months
Gross written premiums of Romanian insurance companies on the voluntary motor insurance segment amounted in January-September 2010 to EUR 475.58 million, 20.4% less than in 3Q/2009.
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by vlad.boldijar@mxp.ro, 22.11.2010



The insured can obtain discounts of up to 25% for MTPL before applying the bonus-malus system
Four insurance companies have so far notified the Insurance Supervisory Commission regarding the MTPL tarrifs for 2011, and they will soon make them public, according to a statement of the authority. Thus, tarrifs established for the average range of insured individual persons (that own cars with engine capacity between 1,200 and 1,600 cc and are aged between around 30 and 50 years) vary, on average, by minus 5% to plus 15% compared to those of this year.
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by andreea.ionete@mxp.ro, 19.11.2010



Radu MUSTATEA: Evolution of the leasing market has influenced the hierarchy of insurance companies
"Insurance companies that had a portfolio mainly built on leasing and financing have suffered the most, the proof being the changes in the top of insurance companies throughout last year", said Radu MUSTATEA, President of the Directorate, ASTRA Asigurari, during ALB National Conference.
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by vlad.boldijar@mxp.ro, 19.11.2010



Mediated premiums of over EUR 10 million for SAFETY Broker
EUR 10.06 million was the amount of gross written premiums of the brokerage company SAFETY Broker in the first nine months of this year, about 71% more compared to 3Q/2009, this result placing the company on the 7th position in the top of the profile companies, hierarchy made by the Specialty Review INSURANCE Profile.
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by vlad.boldijar@mxp.ro, 29.11.2010



Business of EUR 5.4 million for ASIGEST
In the first nine months of 2010, ASIGEST has reached a volume of mediated premiums of RON 22.34 million, equivalent to EUR 5.35 million, a nominal decrease in EUR by about 20%, compared to January-September 2009, when the broker had mediated insurance premiums of EUR 6.65 million.
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by vlad.boldijar@mxp.ro, 01.12.2010



Increasing prices for second hand cars
"During the first 10 months of 2010, there was a slight increase, of 3%, in the prices of used cars. On one hand, this was a positive thing, as the auto dealers were capable of reducing their deficit by selling second hand cars, but it had a greater impact in terms of 'an older' Romanian car fleet", stated Sorin IACOB, General Manager, EUROTAXGlass's Romania.
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by mihai.cracea@mxp.ro, 26.11.2010

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Safety Broker
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REPUBLIC OF MOLDOVA

Exponential growth for the Moldavian brokerage market
MDL 152.73 million (EUR 9.27 million) was the volume of gross written premiums of insurance brokers in Moldova at the end of September 2010. Compared to the correspondent period of 2009, in EUR, the growth was 124%, and in MDL the real evolution (adjusted at the 8% inflation rate) was over 126%.
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by vlad.boldijar@mxp.ro, 26.11.2010



Anton CABA, ABAR: "Brokers want to change the reporting deadlines"
Several brokerage companies in Moldova have been fined by the National Commission of Financial Markets (NCFM), because they were late with the submission of the quarterly report on the activity of insurance mediation: "Although some collaborators from the General Surveillance Direction assured us that we will not be fined, finally, we received fines", commented the situation, exclusively for xprimm.md, Anton CABA, President of the Insurance-Reinsurance Brokers Association (ABAR).
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by vlad.boldijar@mxp.ro, 24.11.2010



Brokers members of ABAR have registered 10% share of the brokerage market
The 10 insurance brokerage companies members of the Association of Insurance-Reinsurance Brokers of Moldova (ABAR) achieved, by the end of September 2010, cumulated, a volume of mediated premiums of MDL 15.16 million (about EUR 920,000), which represents 9.9% of the total brokerage market. The percentage is declining, as in the same period of last year the same companies owned a share of 16.4% of the total market.
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by vlad.boldijar@mxp.ro, 30.11.2010

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CEE, RUSSIA&CIS

European insurance sector remains stable despite economic turbulence
The European insurance sector remained stable in 2009, according to key figures released on 23rd of November by CEA, the European Insurance and Reinsurance Federation.
Provisional figures for 2009 indicate that gross written premiums in Europe totalled EUR 1,057 billion, representing a growth of 2.9% at constant exchange rates compared with 2008.
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by andreea.ionete@mxp.ro, 18.11.2010



Russian market - key discussion topic at this year's "World Views for Life Insurance in Eastern Europe, CIS and Asia"
On November 9th-10th, 2010, Moscow hosted the 6th international conference "World Views for Life Insurance in Eastern Europe, CIS and Asia" held by RUSSIAN POLIS Information Group with the support of HANNOVER Life Re, SCOR Global Life and Russian life leaders ALICO-METLIFE, ROSGOSSTRAKH Life, ALLIANZ ROSNO Life, SOGAZ Life, MSK Life and URALSIB Life.
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by andreea.ionete@mxp.ro, 26.11.2010



The insurance market in Kazakhstan increased by 28% in the first 10 months
Insurance companies in Kazakhstan have cumulated, in the first 10 months of this year, gross written premiums amounting to EUR 588.4 million, up by about 28% compared with the corresponding period of last year, according to data of the Insurance Supervisory Agency in Kazakhstan.
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by oleg.doronceanu@mxp.ro, 01.12.2010



VIENNA Insurance Group said to postpone USD 670 million subordinate bond sale
VIENNA Insurance Group, Eastern Europe's biggest insurer, postponed its EUR 500 million (USD 666 million) sale of 30-year subordinated bonds, according to a banker involved with the transaction.
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by Bloomberg, 24.11.2010



GENERALI boosts real estate and asset management operations in Asia and Central Europe
Assicurazioni GENERALI, Europe's third-biggest insurer, plans to increase its real-estate holdings and boost asset-management in Central and Eastern Europe and Asia to raise profitability, according to Bloomberg.
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by mihai.cracea@mxp.ro, 30.11.2010

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FINANCIAL NEWS


FRANKS: Romanian economy starts to recover, insolvency risks decreased
Contrary to statements made by the Managing Director of the International Monetary Fund (IMF), Dominic STRAUSS-KAHN, suggesting Romania is facing default over its very large debt, the head of the IMF mission to Romania, Jeffrey FRANKS, has said Romania had better prospects than some of the Euro-zone countries such as Portugal, Hungary, Ireland or Latvia who encounter difficulties, because, in Romania, the budget deficit has been curbed to a significant extent and the economy is recovering, thus reducing existing risks.
"Very tough measures were taken in Romania, in July, towards cutting the budget deficit. The budget revenue is growing whilst expenditures decrease. Romania's risk premium dropped on the international markets when such measures were taken, because the international markets know that Romania is now in a much more sustainable situation", FRANKS pointed out, according to Mediafax. He explained that, by the structural measures adopted, the country's financial situation had changed from an "explosive" one into one that would allow the budget deficit to drop to under 3 percent in 2012. FRANKS mentioned that the value of a new agreement had not been discussed yet, but assured that the Fund would make available to Romania sufficient financial resources to act against possible issues that might occur in the coming years.
The IMF official pointed out that current issues in Europe are one of the reasons why President Traian BASESCU and Prime-Minister Emil BOC had decided to extend the agreement with the IMF.
The Fund representative noted that, under the current programme with a 2011 budget deficit of 4.4 percent and one smaller than 3 percent in 2012, Romania's public debt will not go beyond 40 percent of GDP, that being the level causing "nervousness" on the international markets when it comes to a country like Romania, the situation being quite different for countries such as the US or Great Britain.
In his turn, Adrian VASILESCU, Adviser to the Governor of the National Bank of Romania (BNR), says STRAUSS-KAHN's statements were political and unsustained ones, according to Realitatea.net.
The BNR official said also that Romania cannot come out of recession through inflation, although a higher inflation could get us economic growth, but the system would become ill in that way. He pointed out that the forecast 2 percent economic decrease by the end of the year was very close to reality for Romania.
Lending could only be resumed by banks when Romanians will have regained their trust in the Romanian economy, according to VASILESCU. He also made the positive point that the banks did not need to intervene to rescue the banking system in Romania. Romania's foreign debt is now worth EUR 90 billion, of which the state has to repay EUR 18.5 billion, BNR - EUR 9 billion and the population EUR 17 billion, according to data presented by Adrian VASILESCU.
by nineoclock, 29.11.2010


Economy showing signs of thawing, but how solid are they?
The first EUR 100 million transaction since March 2008, the revival of lorry sales and the fact that exports continued their 28% growth rate are signals that the economy can return to growth in 2011.
The real estate market, corporate lending and even the stock exchange, by announcing future listings, are showing the first signals that the Romanian economy is trying to pick itself up after two years of recession, primarily with the aid of exports, amid the recovery of economies in the euro zone.
The last transaction worth over EUR 100 million was sealed in Romania in March 2008. At the end of last week, a group of South African investors and UK's Robert NEALE struck a deal in Bucharest for the purchase of FLOREASCA Business Park, in Northern Bucharest, an over EUR 100 million deal, struck just three weeks after AUCHAN and two Belgian investors paid over EUR 30 million for 12 hectares of land at ELECTROPUTERE Craiova.
What does this mean? There is still money for real estate investments and some foreign investors see a business potential in Romania and expect a return to economic growth. Is this another "fata morgana" or are these the "first seagulls" signalling that the shore is close, as lawyer Ion NESTOR recently wondered in an interview to ZF?
Blake HORSLEY, Manager of the Investments Department of COLLIERS, which acted as a consultant in the FLOREASCA Business Park transaction, does not provide details on the deal concluded last week, but says: "Over the next 12 months we will see more transactions involving quality properties at more competitive prices for sellers. (...) There is an opinion on the market, according to which 2011 could see Romania become a target for investors who will buy interesting assets for specialised real estate funds, which are as yet absent from the market, but which will come later".
by www.zf.ro, 1.12.2010


Renewable energy capacity to rise by 2020
The National Energy Regulatory Authority (ANRE) estimates that, by 2020, Romania will boast a total 4,800 MW- renewable energy capacity, in which the largest portion will be claimed by wind power (70 pc), and the rest by hydropower, biomass and solar power. "The effect of the aid scheme on the final price of energy will range between EUR 2 and 33/MWh. This is an estimate which may fall short of reality", Zoltan NAGY-BEGE, General Director of the Energy Efficiency Regulatory Department within ANRE, stated on the 25th of November, in a specialized conference, quoted by Agerpres. According to the latter, by July 2011, Romania has to draft a new National Energy Efficiency Action Plan, which will have to be presented in Brussels. As a matter of fact, statistics show that Romania boasts the highest wind power potential in South-Eastern Europe, especially in Dobrogea, in Constanta and Tulcea areas.
by nineoclock, 26.11.2010


RON 36 million works at Gheorgheni power substation completed
TRANSELECTRICA and ABB-Romania completed modernization works on the Gheorgheni (Harghita County) 220/110/20 kV electrical power substation, works which amounted to a total RON 36 million, Agerpres informs. The Gheorgheni substation is the only injection substation within the TRANSELECTRICA transport network, in the Harghita County 110 kV network, which generates power for the entire county under normal exploitation conditions. In its modernised form, the Gheorgheni substation has the capacity to generate enough power for up to three neighbouring counties, in the event electrical units in neighbouring substations should be faced with problems. The general contractor for works was the Swiss industrial group ABB-Romania. The latter estimates, for 2010, a 10 pc rise in its turnover, and a 15 pc advancement for next year, the company's general manager for Romania, Peter SIMON, stated on Friday, the 26th of November 2010, in a press conference.
by nineoclock, 29.11.2010


GfK: Number of credit card users doubled in 2010
The number of Romanians who are using credit cards doubled this year against 2009, up to 10 pc of the urban population - similar to the level registered at the beginning of 2008. This kind of banking product is most popular with managers and highly educated specialists, GfK announces in a press release. Although the economic crisis worsened in 2010, a possible explanation for this experienced comeback is the banks' focus on promoting credit cards this year, with an accent on various benefits, such as an extended grace period. Those who earn more than RON 1,300 a month tend to use credit cards more than the rest of the population - 17 pc, compared to 10 pc at the level of the whole urban population.
by nineoclock, 26.10.2010


Physical employment records to be replaced by electronic records as of January 1st
As of January 1st next year, traditional physical records of employment will be replaced by databases to which employers will have access via a username and a password. The measure is provided for in the current Labour Code and this is not the first time one seeks to implement it, with the previous deadline being the beginning of 2009.
"There are two steps involved: the first one is to introduce the information in the employment records, and the second one is to scan employment records so they can be returned to employees. One thing is certain: classical employment records will disappear," says Eugen TIFIN, spokesman of Labour Inspection. All information on length of service, pension rights and on each employee's professional trajectory will be electronically recorded with pension houses and with territorial labour inspectorates. At present, there are two places where employees' records can be found: at the headquarters of the employer and at the territorial labour inspectorate (ITM).
by www.zf.ro, 1.12.2010

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EVENTS


MDRT Europe ClassIQ Regional Meeting
February 2nd-4th, 2011
Athens, Greece
Organizer: MDRT Europe
Media Partner: PRIMM Magazine - Insurance & Pensions
Official web-page: mdrteuropeclassiq.com


International Conference on Insurance Mediation - 1st Edition
March 28th-29th, 2011
Istanbul, Turkey, HYATT Hotel
Organizer: Media XPRIMM


FIAR - International Insurance-Reinsurance Forum
May 23-26th 2011
Sinaia, Romania
14th Edition
Organizer: Media XPRIMM
Official web-page: www.fiar.ro

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XPRIMM Newsletters

THE EDITORIAL STAFF:

President: Sergiu COSTACHE CEO: Adriana PANCIU
Business Development Director: Alexandru D. CIUNCAN

Editor in Chief: Mihaela CIRCU
Scientific Advisor: Daniela GHETU
International Column Coordinator: Andreea IONETE
Senior Editors: Vlad PANCIU, Oleg DORONCEANU
Editors: Vlad BOLDIJAR, Oana RADU, Mihai CRACEA, Andreea STATE
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IT Department: Octavian GRIGOR, Dorin PALADE, Cosmin ARMASESCU

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PUBLISHED BY: Media XPRIMM


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