Azerbaijan, Baku, May 17 /Trend A.Akhundov/
Today it is necessary to expand the use of information technology in the insurance sector of Azerbaijan, chairman of the board of insurance company AXA MBASK Yavuz Olken said.
"Retail is poorly developed in the Azerbaijani insurance market today. New laws on compulsory types of insurance are very important for the development of the retail segment and for increasing public awareness in insurance which will create opportunities for rapid growth of insurance companies," Olken told Trend.
The insurance companies have started using the law on compulsory insurance since December 16, 2011. The law regulates the four types of compulsory insurance - real estate, liability of motor vehicle owners, passenger insurance and liability insurance while exploiting real estate.
Competition in the market will increase with the beginning of the new law, Olken added.
"It will improve the quality of services in the market and help increase the country's insurance market. I am convinced that the insurance market can produce 10 times more services than they do now by using the right tools," Olken said.
Charges of insurance companies in 2011 amounted to 212.98 million manat (growth by 36.89 per cent for the year), and payments for the period amounted to 61.57 million manat (growth of 14.38 per cent).
The total volume of premiums of all companies operating in the country amounted to 81.6 million manat (growth by 66.17 per cent for the year) in the first quarter of 2012, and payments for the period under review, amounted to 16.6 million manat (growth of 28.2 per cent)
Olken said insurance companies have to invest more in education and technology and thereby increase the professional level of the sector.
"Most policies are sold and filled in by hand at the moment. It is necessary to expand the use of information technology in this area," Olken said.
In October last year, the MBASK insurance company replaced the principal shareholder. The controlling stake (51 per cent) was acquired by AXA Group (France), through its subsidiary AXA Sequros Generales, SA De Sequros Y Reasequros (Spain). The licence of MBASK was updated as was that of AXA MBASK in connection with the company name change on 7 December 2010.
AXA Group is a world leader in financial protection operating in 57 countries world-wide with the highest concentrations of business in Europe, North America, Asia-Pacific and the Middle East.
Official exchange rate on May 17 is 0.7858 AZN/USD