Supreme Board of Inspection criticizes malpractice in insurance industry

The Supreme Board of Inspection (NIK) announced yesterday the results of its inquiry into the insurance system and, as NIK chairman Jacek Jezierski said, the system does not work properly. In almost every sector of insurance (from compulsory car insurance, to insurance from companies and farmers) inspectors found some evidence of incorrect procedures or malpractice. The 'hole' in the car insurance systems creates the publically hazardous situation that over 1 million uninsured cars are driven on the country's roads. Only the police received a positive evaluation from NIK, for checking drivers. According to inspectors, the situation with border guards and the customs service is worse as they are licensed to check drivers but not obliged to do so. " Between 1999 and 2000, foreign nationals entering Poland without valid insurance caused accidents the costs of which topped zl. 3 million. And all these cost we [the public] have to cover from the Insurance Guarantee Fund," said Jezierski. (Rzeczpospolita, p. B5) A.L.