Five Azerbaijani insurance companies join Green Card system

Economy Materials 17 December 2015 15:06 (UTC +04:00)

Baku, Azerbaijan, Dec. 17

By Anvar Mammadov - Trend:

Four insurance companies of Azerbaijan have been included in the registry of Green Card system, the Compulsory Insurance Bureau of Azerbaijan (ISB) said.

Xalq Insurance, AzSigorta, Meqa Insurance and AtaSigorta have received the right to render compulsory insurance services of civil liability of vehicle owners (CTP) within the framework of Green Card system.

Earlier, Azerbaijani AXA MBASK insurance company was included in the register of Green Card system. Thus, the number of Azerbaijani insurance companies included in the register reached five.

The deadline for registration in the register of the Green Card system in Azerbaijan is December 21, 2015.

In case if insurers don't apply to the office for registration in the registry and purchase of forms for Green Card before that date, or defects will be found in the documents provided by them, their activities on CTP will be limited starting from January 1, 2016.

The decision on Azerbaijan's ascension to the system was adopted at the next session of the General Assembly of the Council of Green Card Bureaux in Poland.

The system will become operational in Azerbaijan since January 1, 2016.

The Green Card international system of motor insurance has been functioning since 1951. Its main objective is the settlement of claims of victims of road accidents, in accordance with the national legislation of the country where the accident occurred, with the participation of foreign motorists. This objective is stated in the agreement "On the Green Card", insurance policy for civil liability of motor vehicles, issued by any member state of the agreement and remains valid in any other country that is a member of the agreement.

The National Bureau of Green Card is made up of a united organization - the Council of Insurance Bureaus, with headquarters in Brussels, and operates under the auspices of the Working Party on Road Transport of the Inland Transport Committee of the UN Economic Commission for Europe. The Green Card system includes 46 countries: Russia, the whole of Europe, as well as Israel, Morocco, Tunisia and Iran.

Compulsory Insurance Bureau will perform functions of the National Insurance Bureau of the Green Card international system in Azerbaijan.

ISB participants include 16 companies, 11 of which have the right to sell compulsory third party liability insurance policies.

In accordance with the law, insurance reserves of the bureau will be formed at the expense of payments of the ISB members.