Insurance other than life insurance can include, among others, property insurance, accident insurance, car insurance, sickness insurance, insurance for injury, or liability insurance. In such cases, the authority empowered to settle extrajudicial disputes is the Czech Trade Inspection Authority (CTIA). These cases can be also referred to the Office of Ombudsman of the Czech Insurers Association, except for cases concerning statutory insurance of an entrepreneur’s liability for damages.
Filing an administrative referral to the Czech National Bank (ČNB)
ČNB supervises over the legality of conduct by insurers for protection of insured parties. All insurers operating in the Czech Republic are subject to supervision of ČNB. The purpose of this supervision is, therefore, not to substitute the activities of courts or arbitrators in dispute settlement between insurers and insured parties, but to protect the financial market as a whole – e.g. supervision over legality of conduct by insurers. Therefore, filing an administrative referral to investigate and assess activities of an insurer does not help to settle a specific dispute. In case the ČNB, within its supervision, finds irregularities in the conduct of an insurer, it can impose obligations on the insurer to remedy the situation. Among the sanction measures that can be imposed are fines, suspension of authorization to conclude insurance contracts, and, in exceptional cases, receivership or even withdrawal of authorization to conduct insurance business.
Are you not satisfied with how an insurance company dealt with your insurance claim? Would you like to consult the details of your case with professionals? Do not hesitate to contact us.