Budapest, 24 September 2015 Contrary to certain false information published in the press, pursuant to the statutory provisions, the Romanian and Hungarian guarantee funds are obliged to stand surety for the Hungarian injured parties of the Romanian Astra Insurance Company, and they have necessary funds for this. MABISZ is already performing the claim inspection of the MTPL claims, the compilation of the claim documentation and the claim payments in respect of claims occurred after 17 August. With the ordering of the liquidation of the insurance company the payments by the guarantee institutions related to the earlier claims will also commence. The Astra customers are advised to accept the insurer's proposal with regard to the termination of their contract by mutual consent.

Contrary to certain false information published in the press, it is the statutory obligation of the Romanian and Hungarian insurance guarantee funds to reimburse the customers for the motor third party liability insurance (MTPL) damages – and actually in the case of the Romanian guarantee fund (FGA) also for the damages arising from other insurance relations – related to the Romanian Societatea Comerciala de Asigurare-Reasigurare Astra S.A. Insurance Company (Astra Insurance Company) after the liquidation of the insurer. Both guarantee funds have the funds necessary for this, as prescribed by the laws.

The Indemnity Account (IA) of the Association of Hungarian Insurance Companies (MABISZ) already accepts, since 16 September 2015, the MTPL-related claim reports with regard to the claims caused by the Hungarian customers of the Astra Insurance Company after 17 August, but not yet reported to the insurer. As a result of the successful negotiations with the MNB, the MABISZ registers these claims, inspects the damaged motor vehicles, obtains the documents necessary for the claim assessment and pays the claim amount to the debit of IA. Accordingly, it is a false allegation by the press that the new claimants receive no assistance. The MTPL and other types of claims occurred before 17 August will be reimbursed by the Romanian or – in the case of MTPL – the Hungarian guarantee fund.

The Romanian financial supervisory authority (ASF) notified the Magyar Nemzeti Bank (MNB) that – in line with the EU regulations – once the court orders the liquidation of the Romanian Astra Insurance Company, the customers/claimants of the Hungarian branch office of the insurer can submit their claims in Hungarian – rather than in Romanian or other foreign language – to FGA operating within ASF.

According to the information provided by ASF it will also shortly designate the Hungarian claim settlement agent that will help them settle the claims of the Hungarian customers.

Under the given circumstances the MNB regards it as an adequate measure that the customers of the Romanian Astra Insurance Company have recently received a letter from the Hungarian branch office with regard to the termination of their insurance contract by mutual consent with effect of 30 September, by signing an agreement attached to the letter sent by the insurer's branch office and returning it by ordinary mail or by e-mail in scanned form. In order to prevent any future potential disputes with regard to the claims, the customers are advised to accept the proposal to terminate the contract by mutual consent. In parallel with this the MTPL customers are also advised to take out their new insurance with another Hungarian insurer with effect of 1 October.

The customers/claimants should obtain information on the situation from the MNB's website under the "Astra" menu item (www.mnb.hu/fogyasztovedelem/vezeto-hirek) rather than from uncontrolled sources. The central bank provides the claimants/customer of the Romanian Astra Insurance Company with information with regard to the claim payments on a continuous basis. The claim report forms of the Romanian guarantee fund are already available in Hungarian at www.astrabiztosito.hu/pag-alert-documents.

Magyar Nemzeti Bank