Requirements to receive int'l quality rating may be toughened: Azerbaijani insurer
Azerbaijan, Baku, July 24 / Trend , U.Ismayilova, I.Khalilova/
One of Azerbaijan's largest insurance companies, Az Sigorta, postponed its plans to receive an international quality rating until a later period, Deputy Chairman of the company's board, Khayal Mammadkhanli, said.
"Experience has shown that under the global financial crisis, even those companies who have a top category rating went bankrupt in a single day," Mammadkhanli said.
He said the international rating did not justify itself in the crisis situation. That is why the company is now awaiting possible changes in the criteria for the rating. Perhaps, the international rating companies will not only change, but they also may toughen requirements for obtaining an international quality rating.
"When the rating companies announce the required criteria, we will reconsider our plans to receive an international rating," Mammadkhanli said.
In 2007 one of Azerbaijan's major insurance companies, Standard Insurance, received "B1" with a positive outlook from international agency Moody's Investors Service's rating. This is currently the highest rating for the private financial sector.
Az Sigorta insurance has operated on the market since November 2006. At present the company has eight branches, as well as 40 regional offices in the country's regions. Az Sigorta offers 28 kinds of insurance service, three of which are mandatory.
In January-June, Az Sigorta collected premiums worth 5.56 million manat, with 1.95 million of payments.