Restoring two insurance companies’ licenses possible

Photo: Restoring two insurance companies’ licenses possible
 / Finance

Baku, Azerbaijan, March 7

By Abbas Akhundov - Trend:

Royal Sigorta and Gunay Sigorta insurance companies will be able to reinstate their licenses if they align their aggregate capital with Azerbaijani Finance Ministry's minimum requirements within six months, State Insurance Supervision Service Head, Namig Khalilov told journalists on March 7.

The licenses of these companies were suspended in line with the Finance Ministry's decision, dated February 24.

A period of six months is provided for addressing the shortcomings, which resulted in suspension of licences, according to the requirements of insurance legislation.

"This right is also granted to Royal Sigorta and Gunay Sigorta," Khalilov said.

The minimum amount of total capital of insurers, operating in the non-life insurance sector, is set at the level of five million manats, according to the Finance Ministry.

Azerbaijani Gunay Bank is the sole shareholder of Gunay Sıgorta, which has worked in Azerbaijan since 1992.

Royal Sıgorta passed state registration on October 11, 2011.

On December 28, 2011 the State Insurance Supervision Service of Azerbaijani Finance Ministry issued a five-year license to Royal Sıgorta for insurance activities. Five individuals are the founders of this insurance company.

There are 28 insurance companies (including Gunay Sıgorta and Royal Sıgorta) and one reinsurance company in Azerbaijan.

The official exchange rate on March 7 is 0.7844 AZN/USD.

Translated by E.A.

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