NORMS No. 6/ 2001
Regarding the categories of the admitted assets for representing the technical reserves for the insurers practicing the general insurances, the rules of spreading the placements as well as the liquidity value.

A. The evaluation of the admitted assets to represent the technical reserves.

Art.1 The categories of the admitted assets to represent the insurer's technical reserves are:

1.State titles and the titles issued by the local administration authorities;

2.Land and constructions

3. Current accounts I the banks as well as bank deposits;

4. Investment funds and movable values (shares, bonds, and other participation titles);

5.other assets.

Art.2 The evaluation of the admitted assets to represent the technical reserves will comply with the following conditions and criteria:

1.a) The State tiles and the titles issued by the local administration authorities will be evaluated at the nominal value to which the legal interest calculated for the period including the date of issuing of the titles and the date of evaluation will be added;

b) The accepted value of the assets for this category is 100% of their value;

2.a) The land and the constructions are accepted at their present value;

b) The present value means the value arising out of an evaluation by an evaluator, authorized legal person, with the previous agreement of the Insurance Supervising Commission. The lowest value resulting from the three methods of evaluation (cost, out put, market comparison) will be accepted.
c) The constructions complying with the above situations will be insured against all risks at least at the present value , established according to the provisions of the point 1. b), upon a distinctive insurance concluded with another insurer or selfinsured on the condition that at least 70% of the risk is ceded in reinsurance with the first rank reinsurance companies.

3. a) The bank deposits in ROL will be evaluated on nominal basis which means the value of the deposit without the corresponding interest;

b) The currency availabilities set up as bank deposits on terms according to the contracts concluded with the banks and currency availabilities in current accounts are evaluated at the currency market exchange value communicated by the National Bank of Romania at the end of the financial exercise.

4. a) The placements with the investment funds, quoted on an official stock exchange , are evaluated at the market value which means the value established at the end of the financial year and when such end of financial exercise is not a day of stock transactions, the last day of transaction preceding this one will be taken into consideration.

b) In case of the shares quoted on official stock exchange the present value is the market value established at the end of the financial exercise and when the end of the financial exercise is not a transactions day, the last day of stock transactions preceding this one is to be taken into consideration.

The bonds and other titles with a fixed venue quoted on an official stock exchange are evaluated at their nominal value.

Other assets will be admitted to represent the technical reserve with the approval of the Insurance Supervising Commission at a value established upon case-by-case examination.

B. The spread up of the placements

Art.3. Before any placements of the admitted assets to represent the technical reserves following spreading rules are to be observed:

a. The State titles may represent 100% of the total technical reserve and the titles issued by the local administration authorities may represent 25% of the total technical reserves;

b). The investment on a land or a construction or a number of more lands or constructions which form one complete and which can be considered as one investment cannot be more than 10% of the total technical reserve; the investment in more piece of land or constructions cannot be more than 40% of the total technical reserve;

c). The bank deposits cannot be over 60% of the total of the technical reserves;

d). The shares quoted on, the bonds and other titles wit a fixed venue cannot be more than 20% of the total of the technical reserves;

e). For " Other assets" category, the percentage cannot go over 20% of the total of the technical reserves with the exception of the claims advanced to the reinsurers and confirmed by them, to the extent that these claims are overdue for at least 3 months.

C. The liquidity value

Art.4. The liquidity value means the statement between the liquid assets and the short term certain liabilities of the insurer towards his insureds.

The State titles, bank deposits the placement of which does not go beyond 50% in one bank, but no more than 20% in bank belonging to the same financial Group or it is a significant holding of the respective insurer, availabilities in current accounts or in cashier belong to the liquid assets.

The damage reserve and the unreported damage reserve belong to the short term certain liabilities.

The minimum request regarding the liquidity value is met if the liquid assets will represent 50% of the short term certain liability toward the insureds.

Art.5. The nonfulfilment of the present Norms will be sanctioned in accordance with art.39 of the Law no.32/2000 regarding the insurance companies and the supervision of insurance.