Romanian insurance market developments

The Romanian insurance market has shown significant activity and growth in 2026. The market expanded by 15% in the first half of the year, with gross written premiums reaching approximately 14.2 billion lei. Mandatory motor insurance (RCA) remains a primary driver of this growth, with premiums accounting for roughly 6 billion lei, representing a 17% increase compared to the previous year.

The Financial Supervisory Authority (ASF) has attributed rising costs to inflation, increased operational expenses, and an 18% increase in average claim costs. Consequently, average premiums for passenger cars rose by 21% year-on-year. To address these rising costs, the Romanian Motor Insurers' Bureau (BAAR) reported that approximately 7,400 high-risk policyholders utilized price mitigation mechanisms in the first half of 2026, a fivefold increase compared to 2025.

In the context of this evolving market, German insurer DA Direkt, a subsidiary of Zurich Insurance Group, has applied for membership with BAAR. The company intends to enter the Romanian RCA market via the European Freedom of Services mechanism, utilizing digital infrastructure through a partnership with the technology firm Ominimo. A market launch is anticipated as early as late 2026 or during 2027.