BAKU, Azerbaijan, July 1
By Yusif Aghayev – Trend:
Azerbaijani insurance companies involved in the field of life insurance collected the premiums worth 140.9 million manat ($82.9 million) from January through May 2020, Trend reports referring to a report published by the country's Central Bank.
The amount of the collected premiums exceeds the indicators of the same period of 2019 by 24.6 million manat ($14.5 million), thereby demonstrating an increase of 21.1 percent.
During the reporting period, insurance premiums worth 113.9 million manat ($67 million) were collected in voluntary types of life insurance, which is by 20.9 million manat ($12.3 million) or 22.5 percent more than from January through May 2019.
At the same time, accumulated life insurance continues to steadily grow, the growth dynamics of which reaches 35 percent while the amount of the collected premiums exceeded 98.4 million manat that’s $57.9 million (an increase by 25.4 million manat that’s $14.9 million). This testifies to a positive trend in the development of this kind of insurance and an increase in interest in it, said the bank.
This result was achieved following the review of marketing strategies by insurance companies, the use of an individual approach to attract customers from various categories, the expansion of the tools for selling insurance products, as well as raising the awareness of the population in this sphere, especially in relation to the preferences that this type of insurance gives to the citizens.
At the same time, death insurance premiums decreased by 3.1 million manat ($1.8 million), amounting to 15.03 million manat that’s $8.8 million (a decrease of 17.5 percent).
This type of insurance is mainly used while issuing the loans and a decrease in premiums is associated with a decrease in economic activity in the financial and banking sector.
Only four insurance companies are involved in life insurance in Azerbaijan, namely PASHA Hayat Sigorta, Ateshgah Hayat Sigorta, QALA Hayat Sigorta and Xalq Hayat Sigorta.
From January through May 2020, the insurance companies of Azerbaijan collected 355.9 million manat ($209.3 million) of insurance premiums, which is 36.6 million manat ($21.5 million) or approximately 11.5 percent more compared to the same period of the previous year.
Today, 21 insurance companies and one reinsurance company operate in Azerbaijan.
(1 USD = 1.7 AZN on July 1)
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