FOCUS SHORT

Concerns about insuring state assets

A STATEMENT by the Finance Ministry that it is not necessary for the state to have commercial insurance policies over the long term and that some state institutions and bodies should terminate their policies was met with disagreement from many of these organisations, the SITA newswire wrote in late February.

A STATEMENT by the Finance Ministry that it is not necessary for the state to have commercial insurance policies over the long term and that some state institutions and bodies should terminate their policies was met with disagreement from many of these organisations, the SITA newswire wrote in late February.

The ministry prepared a proposal for what it called a systematic solution for insuring state assets with commercial insurance companies, stating that it prefers to retain the funds currently paid for insurance for coverage of potential damages, recommending at the same time that some insurance policies be terminated.

The ministry reported that during the last five years the state paid €41.6 million in premiums to insure its assets but reimbursed insurance claims amounted to only €5.2 million.

The Slovak Insurance Association (SLASPO) said that it does not agree with the ministry’s perception of the effectiveness of insurance, stating that insuring assets is not meant to act as an investment and it is impossible to calculate an economic return analysis as the ministry had done.

“Not covering state assets, with a value reaching billions of euros, with commercial insurance is a hazard with potentially heavy losses which especially threaten as a consequence of climate changes,” SLASPO wrote in a statement.

Among those state bodies disagreeing with the Finance Ministry’s proposal is the Culture Ministry which argued that the value of some items of cultural heritage is incalculable. The Ministry of Agriculture also stated it is against the proposal.


Get daily Slovak news directly to your inbox

Theme: Finances and Advisory

Read more articles by the topic

Top stories

News digest: Former state secretary describes the corruption at courts

Schools will definitely not open on Monday. Coronavirus vaccine could be available starting in mid-December. Slovakia joins campaign to fight violence against women.

The Presidential Palace lit in orange, to support the Orange the world! campaign.

One in five women has experienced violence

The situation is far from satisfactory, said President Čaputová.

Secret votes and public lies

There are uncanny echoes today of Slovakia’s agonies over its choice of chief prosecutor ten years ago.

Dobroslav Trnka (left) and Jozef Čentéš (right), the candidate who was eventually selected by MPs in 2011, never got to take up the post because the then president, Ivan Gašparovič refused to appoint him for reasons that were never clearly explained.

How a Catholic charity became a voice for migrants in Slovakia

Religious organisations have added leverage in changing perceptions of foreigners and migrants, says Caritas Slovakia.

Caritas Slovakia's ‘World Without “the Other” – Migration Myths’ campaign educates Slovaks on migration in a fun and artistic way.