Azerbaijani insurance company doubles authorized capital

Azerbaijan, Baku, April 2 / Trend , U.Ismayilova/

Azerbaijani AzSigorta insurance company intends to bring the authorized capital to 10 million manat in the next two years, deputy chairman of the board of AzSigorta said Khayal Mammadkhanli said.

"Last week the company's board made a decision to double the authorized capital to 4million manat as soon as possible," said Mamedhanli.

According to him, the authorized capital will be increased owing to profits. In accordance with the President of Azerbaijan's order, banks, insurance and reinsurance companies shall be exempt of earnings to their capitalization for three years period.

Company's premiums exceeded 10 million manat in 2008. Company inked 150,000 insurance deals worth 2 million manat. AzSigorta's clients are above 100,000 people.

In the first quarter company collected about 2.5 million manat while the growth hit 70 percent and the index is planning to bring to 10 million manat before the end of the year and 15 million manat in 2010.

Company's automobile insurance portfolio is 15 percent, property insurance - 35 percent and cargo insurance is 35 percent.

In 2008, AzSigorta offered agricultural insurance and paid 29,000 manat to the plant growing and 3,900 manat to cattle breeding.

Company's profitability hit 150 percent.

The AzSigorta has been operating in the insurance market of Azerbaijan since November 2006 and offers 28 types of insurance services, out of which three are compulsory insurance.

On April 2, the official exchange rate is 0.8029 manat to $1.