Monitoring of SRB Bureau ( – ) Snežana Sremčević, executive manager

Background SRB Bureau is a Member of the Green Card System as of 1954 SRB Bureau is a Member of the Green Card System as of 1954 Disintegration of the former SFRY beginning of 90’ of the last century Disintegration of the former SFRY beginning of 90’ of the last century

Background Debts of 21, DM. Debts of 21, DM. New Bureaus to be obliged to settle their debts occurring while they were in the former country New Bureaus to be obliged to settle their debts occurring while they were in the former country Bureau of the former Republics (SRB and MNE) – debts of 9, DM. Bureau of the former Republics (SRB and MNE) – debts of 9, DM.

Reasons for financial instability UN sanctions and blockade UN sanctions and blockade No foreign currency transfer No foreign currency transfer EU excluding Greece and France have cancelled Uniform Agreements with former Yugoslavia (SRB and MNE) EU excluding Greece and France have cancelled Uniform Agreements with former Yugoslavia (SRB and MNE)

Suspension

Suspension Oxford General Assembly Decision – 1999 Oxford General Assembly Decision – 1999 Conditions: Conditions: Payment of all debts (including KOSOVO claims before the conflict in March 1999)Payment of all debts (including KOSOVO claims before the conflict in March 1999) Organization of the Bureau according to the Geneva Recommendation no. 5. to have the regular incomeOrganization of the Bureau according to the Geneva Recommendation no. 5. to have the regular income

Termination of the suspension

Conditions fulfilled: Conditions fulfilled: 1.Payments of the debts of KOSOVO insurers; 2.Consistent financing of our Bureau according to the Geneva Recommendation no. 5;

Monitoring

Monitoring Obligatory financial guarantees and reinsurance program Obligatory financial guarantees and reinsurance program Guarantee Calls statistics Guarantee Calls statistics Questionnaires on work of SRB Bureau (insurance cover confirmation, payments of claims, work in general both as handling and guaranteeing bureau) Questionnaires on work of SRB Bureau (insurance cover confirmation, payments of claims, work in general both as handling and guaranteeing bureau)

Monitoring Reinsurance premium and the membership fee paid well before the determined deadline Reinsurance premium and the membership fee paid well before the determined deadline SRB Bureau has provided for the regular income SRB Bureau has provided for the regular income The general goal to regain the reputation in the Green Card System The general goal to regain the reputation in the Green Card System

Monitoring Insurance Law - adequate strong supervision Insurance Law - adequate strong supervision The system solution to revoke the license for the nonpayment of green card claims and monthly contribution to the National Bureau The system solution to revoke the license for the nonpayment of green card claims and monthly contribution to the National Bureau Close cooperation between SRB Bureau Ministry of Finance, other Govermental bodies and Supervisory authority Close cooperation between SRB Bureau Ministry of Finance, other Govermental bodies and Supervisory authority

Monitoring During the monitoring period SRB Bureau has remitted all the reimbursement demands as prescribed by the Internal Regulations During the monitoring period SRB Bureau has remitted all the reimbursement demands as prescribed by the Internal Regulations During this same period SRB Bureau had great number of reimbursement demand in larger amounts that could not have been reimbursed for more than a year During this same period SRB Bureau had great number of reimbursement demand in larger amounts that could not have been reimbursed for more than a year Therefore the intervention of the Council of Bureaux had to be sought Therefore the intervention of the Council of Bureaux had to be sought

Financial prospects of SRB Bureau

Financial prospects Financial guarantee of 4, € on the account of our Bureau for Green Card obligations Financial guarantee of 4, € on the account of our Bureau for Green Card obligations Annual interest income of €. Annual interest income of €. Improved financial stability of the Bureau Improved financial stability of the Bureau Regular annual income of 1, € Regular annual income of 1, € Total assets over 11, € (reserves, deposits and cash flow) Total assets over 11, € (reserves, deposits and cash flow)

Financial prospects If necessary Insurance Companies provide for the excess amount in the course of 15 days If necessary Insurance Companies provide for the excess amount in the course of 15 days Regular income of the Bureau excluding financial guarantee are enough to cover all the obligations Regular income of the Bureau excluding financial guarantee are enough to cover all the obligations Reinsurance program according to the financial capacity of the SRB Bureau Reinsurance program according to the financial capacity of the SRB Bureau

Conclusion

Conclusion Financial stability Financial stability Strong leadership position with its Members by regular meetings and seminars Strong leadership position with its Members by regular meetings and seminars Imposition of the sanctions for defaulting Members Imposition of the sanctions for defaulting Members Supported by its members, Ministry of Finance and supervisory authority Supported by its members, Ministry of Finance and supervisory authority

Thank you for your attention !