What is PAD?

PAD Contract - Compulsory Natural Disaster Insurance Policy - is the first step in home insurance.

A PAD insurance policy covers damages to the home from (naturally occurring) floods, earthquakes, or landslides.

The PAD policy covers the damages to the home resulting from direct or indirect disaster losses. The subject of the insurance is represented by dwellings located in Romania, owned by individuals or legal entities, in rural or urban areas, and registered in

the records of tax authorities, maintaining their designated use as residences.

Dwelling units in buildings assessed under the law by certified technical experts and classified in the first class of risk cannot be insured for any of the risks included in the PAD policy. Additionally, annexes, dependencies, facilities, and utilities not structurally connected to the building in which the insured dwelling is located, as well as goods inside the dwelling, cannot be insured.

Get your PAD insurance

PAD Policy Information Document

In accordance with the provisions of Directive (EU) 2016/97 of the European Parliament and of the Council of Europe of 20 January 2016 on insurance distribution, you can access the PAD Insurance Product Information Document (only in RO). It is mandatory to insure your house/apartment against natural disasters through a PAD Policy.

House/apartment without a PAD?

If a natural or legal person does not insure the house/apartment they own, in the event of one of the natural disasters defined according to Law 260/2008, they do not benefit of any compensation from the state budget or the local budget for damages to said home. Moreover, non-observance by a natural or legal person of the house/apartment insurance obligation is a contravention and is sanctioned by a fine of RON 100 - 500 lei.

The insurance premium

Type A: Type A housing, insured amount 100.000 lei and an insurance premium of 130 lei/year. A type A housing unit is a building built on reinforced concrete, metal or wood structure, or with exterior walls made of stone, burnt clay brick, wood or any other material resulting from a thermal and/or chemical treatment.

Type B: Type B housing, insured amount 50.000 lei and an insurance premium of 50 lei/year. A type B housing unit is a building with exterior walls made of mud-brick or any other material that has not been treated thermally and/or chemically (e.g. adobe).

Get your PAD insurance