Azerbaijan considers two sources of funding commitments to Soviet insurances

Business Materials 26 July 2011 11:20 (UTC +04:00)

Azerbaijan, Baku, July 26 / Trend A.Akhundov /

The Azerbaijani only state-owned commercial insurance company AzərSıgorta has developed new proposals for indexation of insurance contracts concluded during the Soviet period, Company Vice President Mohubbat Farajov told Trend.

"We had a lot of life insurance contracts from Soviet times. These contracts are maintained today. They will run following cataloguing by the government. We have repeatedly raised this issue before the Parliament and the Cabinet of Ministers. The last time these proposals were sent was about three years ago", Farajov said.

He said the company will once again present its proposals as soon as the issue of household deposit indexation in the Savings Bank of Azerbaijan SSR will be raised in parliament.

"We have the ability to fulfill contractual obligations. It will be financed through the company's profits or by the state", Farajov said.

Other Vice President Aftandil Hajiyev said earlier that the number of contracts and their monetary worth is well known, but spending for these activities will be established after the indexing selection scheme.

Total contracts have amounted to 230 million Soviet rubles since Jan.1, 1992.
The Azerbaijani Parliament continues work on the law "On indexation of deposits in the Savings Bank of Azerbaijan SSR as of Jan.1, 1992".

AzərSıgorta was established on the basis of the former State Insurance Board in 1992 after the collapse of the Soviet Union. It has 80 insurance agencies throughout Azerbaijan. The company provides 28 kinds of insurance services. The company opened its branches and representative offices in all regions throughout the country.