The Insurance Supervision Commission (CSA) has forbidden insurance companies to sell auto liability policies (RCA) on the streets, at street stands or in cars. "Companies must sell these policies on their own premises or at the agents' places, not like tomatoes at the market," said Angela Toncescu, chairperson of the Insurance Supervision Commission Council.
This is the first step Angela Toncescu has taken since her appointment as CSA chairperson, sending a memo to insurance companies several days ago. She was selected for this position on July 4, 2006, nominated by the National Liberal Party.
This measure had been expected, with the former CSA chairman, Nicolae Crisan, recently saying CSA was preparing a regulation regarding this matter.
Angela Toncescu explained that the policy and policyholder identification details had to be sent to the new CEDAM database in a very short time. The database checks the number of insurance policies against the number of cars registered.
Moreover, policies filled out under improper conditions may contain errors that are hard to rectify, so that insured clients may not show up as such in the CEDAM database.
It is hard to say how many of nearly 3 million RCA policies are sold outside of insurers' premises. However, this is widespread practice throughout big cities.
The CSA chairperson explained insurance companies were responsible for the place their policies are sold and not the agents, who sell these policies by proxy. Those that do not comply will receive a warning, or even have their right to sell auto liability policies suspended.
"It's a good idea. The problem I see here is that we cannot always control this phenomenon. I don't know who sells, in what market or through what stand. We too have problems with agents selling wherever they please. The decision is very hard to apply," stated Oc
