Azerbaijan, Baku / Trend corr. I.Khalilova / The German insurance company Munxen Re showed an interest in participation in the state commerce insurance company of Azersigorta, stated Mammad Mammadov, the chairman of the Azerbaijani company.
"As Azersigorta is a 100% state company, we should agree with the plans of attraction the foreign shareholders with the Government. The negotiations with Munxen Re have been in process for three months," Mammadov said. The President's order is necessary to privatize the company, stated Mammadov. The Attraction of Munxen Re in the shareholders of the company may cause the strengthening of the position of the Azersigorta in the insurance market.
According to Namik Khalilov, the head of the Insurance Supervision Department of the Finance Ministry, so far the Ministry has not received any appeal on the issue. Azersigorta became a leader on the volume of payments for the nine months of 2007. During this period the company collected premiums of AZN 13.94mln and made payments of AZN 6.34mln.
According to Mammadov, Azersigorta will continue the capitalization of the company. The company is planning to reach the authorized capital of AZN 5mln by July 2008.As a tradition; re-capitalization is carried out at the expense of the total income of the company.