The Czech National Bank fined Pojišťovna VZP six million crowns over the way it set prices of compulsory motor liability insurance; the insurer's appeal was unsuccessful.
The Czech National Bank fined Pojišťovna VZP (PVZP) six million crowns. According to the decision, the reason is chiefly the way the insurer administered compulsory motor liability insurance ("povinné ručení") and set its prices. PVZP is a commercial insurer wholly owned by VZP, the country's largest health insurer, and provides non-life insurance. The decision is final and legally effective.[1][2]
Findings of the inspection
According to the inspection by the Czech National Bank, in 2020 to 2023 every hundred crowns collected on compulsory motor liability insurance were matched by costs and liabilities of 122 to 132 crowns. Besides compensation for road accidents, these included operating expenses, commissions to dealers and the cost of reinsurance against large claims.[1][2]
The bank further criticised that in its calculations the insurer worked with incorrect or outdated data, insufficiently took into account the risk of rising commissions and did not carry out all the analyses required by its own internal regulations. The shortcomings also concerned travel insurance. E15 reports that the insurer included only part of the costs in its calculations and relied on faster growth in the number of clients than actually occurred.[1][2]
Background
According to Seznam Zprávy, interim results of the administrative proceedings were one of the reasons for the changes in the insurer's leadership in May 2026. VZP director Ivan Duškov then justified the personnel changes also by findings of inspections led by the new supervisory board. According to its annual report, the insurer reported a profit of 90.4 million crowns for 2025 and about 184.6 million crowns for 2024.[2] The website E15 drew attention to the final decision on 15 October 2026.[1][2]
Chronology
- — The Czech National Bank fined Pojišťovna VZP six million crowns over the way it handled compulsory motor insurance; the insurer's appeal was unsuccessful. E15 Seznam Zprávy
Sources
- E15 — 15 October 2026
- Seznam Zprávy — 15 October 2026