Azerbaijan, Baku, Jan. 24 / Trend U. Ismayilova /
The two companies dealing exclusively with life insurance in Azerbaijan - Atesgah Heyat and Qala Heyat - cannot cover the full potential of the market for compulsory insurance and disability resulting from occupational diseases and industrial accidents, Alfa Sigorta Chairman of the Board of Directors Khayal Mammadkhanli said.
"I think that at least 10 companies rendering services in life insurance must operate to cover this amount of insurance on the market," Mammadkhanli said.
The presence of a great number of such companies on the market will create conditions for free competition, and render qualitative insurance services and the opportunity to cover all employees and employers.
"The potential volume of fees for compulsory insurance and disability resulting from occupational diseases and industrial accidents hit 50-100 million manat per year," Mammadkhanli said.
He said that the potential of this market in 2012 can be covered by 70-80 percent. These expectations are linked with the plans to expand the number of life-companies in the country.
In July 2010, Azerbaijani President Ilham Aliyev approved the law on compulsory insurance on labor ability loss in production.
According to the World Labor Organization, accidents at work kill 2.3 million people each year worldwide; three times more people are injured.
In Azerbaijan, in 2007, there were recorded 259 accidents, 128 facts of death, 202 facts of injury; in 2008 - 255 accidents, 79 deaths and 212 facts of injury; in 2009 - 250 accidents, 69 deaths and 218 injuries.
The official exchange rate is 0.7974 manat to $1.