Azerbaijan, Baku, May 1 / Trend A. Akhundov /
About 269,540 contracts were concluded through the Information System of the Bureau on compulsory insurance of car owner's civil liability in January-April 2012, the bureau told Trend today.
According to the information, about 61,640 contracts related to motor vehicles registered abroad and imported to Azerbaijan for transit purposes. They were signed for one month.
"The volume of insurance premiums on contracts envisaging compulsory insurance of car owner's civil liability for the first four months of this year amounted to 20.14 million manat," the bureau said.
About 123,040 contracts were concluded in April. According to 18,840 contracts, liability of vehicle owners registered outside of Azerbaijan was insured. About 9.04 million manat were collected on compulsory insurance of car owner's civil liability in April.
"The number of these contracts and the amount of insurance premiums increased by more than 52 percent in April compared to March," the bureau said.
Since the beginning of use of a new law in Azerbaijan "On compulsory types of insurance", i.e. since Dec 16, 2011 more than 270,000 contracts were signed by the Information System of the Bureau on compulsory insurance of liability of owners of motor vehicles.
At present, there are more than 1 million 49,000 vehicles in Azerbaijan. About 73,337 vehicles were registered in 2011. Currently, 42 cars fall to 100 families.
Thus, owners' liability of more than a quarter of cars available in the country was insured on new compulsory insurance of car owner's civil liability as of May 1.
According to the State Service of Insurance Supervision under the Ministry of Finance of Azerbaijan, since the beginning of 2011 until mid-October, that is, until the old law became invalid, 4.343 million manat were collected on this kind in the country. Issuance of policies has been resumed from December 16 on new terms and 98,320 manat were collected on the vehicles insurance till the end of the year.
The premiums on new compulsory insurance of car owner's civil liability increased by almost 14 times in January-April 2012 compared to the fees on compulsory insurance of car owner's civil liability in January-April 2011. This increase in premiums is associated with a significant increase in the amount of premium for this type.
After the new law "On mandatory types of insurance" came into force basic cost of insurance is 50 manat and is accepted in respect of cars with engine capacity up to 1500 cubic centimeters. With increasing engine volume (from 1,500 to 5,000 cubic centimeters) ratios from 1.5 to 5 are used to value. For vehicles with engine capacity more than 5,000 cubic centimeters ratio five is used.
Previously, the insurance premium for all passenger cars was 10 manat.
The contract with the owners of vehicles registered abroad and imported to Azerbaijan for transit purposes is concluded for one month.
The insurance amount is 25 percent of annual premium for these funds.
The official exchange rate is 0.7862 AZN/USD on May 1.