The recent Order from 30 January 2024 has amended the rate and the calculation basis for the insurer’s part of the contribution that is payable to the National Guarantee Fund. More specifically, it has changed the contribution payable by the insurers on premium amounts covering civil liability risks resulting from accidents caused by motorised land vehicles and trailers or semi-trailers of vehicles.
The new rate is 0.58% which is calculated based on the premiums and contributions. The amendment came into force with immediate effect, that is from 31st January 2024.
This is a substantial change in the calculation method of the insurer’s contribution. Previously, the insurer part of this contribution was based on the total expenses in the so called “automobile” section of the Guarantee Fund and the rate was 14%. The 2024 budget law, issued on 30th December 2023, has already foreseen this change when it shifted the contribution basis from “proportional to the premiums or contributions for the last financial year” to “based on all premiums or net contributions that insurers receive”.
Another notable change in relation to this contribution is the regularity of the settlement. This contribution, until 2024, was an annual contributions due by July the following year, calculated and levied by the Guarantee Fund. As of 2024, the contribution is payable on a monthly basis and the taxable premium is declared on the Guarantee Fund website. Payment is required to be made based on the letter sent by the Fund each month to the insurers.
