Azerbaijan, Baku, 30 March / Trend corr. U.Ismayilova / Life insurance is one of the most developed insurances in the world market. The new Bill on Insurance activity provides development of this type of insurance in Azerbaijan. However, there is not huge demand for this type of insurance in the country, Elshan Babayev, the Director General, of insurance company, stated.
"The reason for lag of Life insurance from Non-Life in the insurance market in Azerbaijan is unpopular and misunderstanding by population," Babayev said.
The new Bill on Insurance activity came into force on 15 March. Under the new Bill, insurance companies will be divided into Life and Non-life companies within three years. Life company will be able to render accumulative insurance with minimum term (two years) to insurers.
According to the Finance Ministry, the total sum of premiums on life insurance made up AZN 2.19mln and Non-life insurance -AZN123.8mln in 2007.
Era-trans has been rendering services on 22 types of voluntary and four obligatory insurances since 1994. The authorized capital of the company totals AZN1mln.
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