Azerbaijani joint insurance company forecasts 40 percent growth in 2011

Business Materials 26 January 2011 17:33 (UTC +04:00)

Azerbaijan, Baku, Jan.26 / Trend U. Ismaylova /

The joint Azerbaijani-Turkish insurance company Basak Inam Sigorta Sirketi does not consider the establishment of a separate life insurance company to be a priority in its activity for 2011, Board Chairman Assistant Hikmet Allahverdi said.

"This kind of service is not a priority, although even before the entry into force of the law on insurance activity, which envisages the division of portfolios into life and non-life insurance, the company had a strong position on such services," Allahverdi said

According to him, despite changes in the company's market position, the company has set aggressive goals for 2011 to increase charges to 40 percent.

"Meanwhile, we believe that the company has great potential for the development of life insurance," Allahverdi said.

He added that this is why the establishment of a separate company dealing exclusively with life insurance may be considered at an upcoming board meeting.

Basak Inam was established in 1996 and renders 31 types of insurance services. The company's authorized capital is 3.2 million manat. Premiums as a result of activity in 2010 totaled 2.534 million manat with payments at 1.516 million manat. The company's premiums for the year increased by 7.38 percent, payments - by 33.74 percent.

The official exchange rate is 0.7974 manat to $1 on Jan. 25.