Using entirely incorrect data and “secret” forecasts, Decision No. 237-03 of 9 April 2026 directly and substantially contradicts the earlier Decision No. 610-03 of 9 October 2025—both adopted by the current leadership of the Financial Supervision Commission (FSC). The first decision, signed by nine experts, compulsorily increased DallBogg’s technical reserves to BGN 254.6 million. DallBogg complied with this FSC requirement in advance, by the end of the third quarter of 2025, thereby completely frustrating what is described as the original unlawful plan to bankrupt the insurer.
Following the failure of that plan, on 9 April 2026 the FSC, for a second time—and this time with the signature of the Chairman alone—decided to require a compulsory increase in gross technical reserves, but now on an unprecedented scale that is presented as impossible for DallBogg, or any other Bulgarian insurer, to meet: increasing them to BGN 745.7 million. This represents almost a threefold increase in the target level of technical reserves, recalculated “behind closed doors,” from BGN 254.6 million within only a few months. According to the text, this second increase places DallBogg into the most severe pre-bankruptcy procedure. It argues that the FSC is acting in a manipulative manner because, during the second half of 2025, DallBogg’s cross-border operations had already been suspended, whereas technical reserves are established to cover future claims arising from newly issued insurance policies. When the number of policies increases, an increase in reserves may be expected; when the number of policies decreases threefold, a proportional reduction should be expected. Consequently, it argues that the increase is effectively approximately six times greater when comparing 2024 with 2025. A rhetorical question is posed: Why does the FSC require an increase in reserves after prohibiting the issuance of new policies? Who ordered this alleged unlawful action and the destruction of the country’s largest insurer?
Today, in addition to everything else that has already been stated, DallBogg reportedly has approximately 400,000 active policies in Bulgaria and abroad, for which the FSC has determined technical reserves amounting to BGN 745.7 million, whereas only a few months earlier, with 1.2 million active policies, the FSC had determined gross technical reserves of BGN 254.6 million. According to the text, the use of allegedly false data, data corrected by the insurer, and manipulated forecasts purportedly originating from the Green Card Bureaux does not even ostensibly provide the FSC with a lawful or prudent basis, under Decision No. 237-03 of 9 April 2026, to suspend all sales and the entire business activity of DallBogg, including in Bulgaria. Nevertheless, it alleges that, through the abuse of unchecked regulatory powers, this was done solely for the purpose of forcing the insurer into bankruptcy.
DallBogg has submitted a short-term realistic recovery plan to the FSC, providing that by 30 June 2026 the insurer will maintain technical reserves of BGN 179.3 million, at which time it expects to have only 250,000 active insurance policies. Everyone is now waiting to see the FSC’s decision on the submitted plan and hopes that the regulator has abandoned what the text describes as its unlawful objective of bankrupting the fundamentally sound, severely weakened, but financially solid DallBogg at any cost. Otherwise, it warns, the consequences will be severe for everyone.
To date, 79 motorcycle clubs, the Institute for Road Safety, the Union of International Carriers, and the Bulgarian Association of Road Transport Organizations (BASAT) have unanimously called for the removal of the FSC leadership, arguing that it has failed the institution.
