Azerbaijan’s life insurance market increases by almost 74 per cent

Business Materials 25 November 2013 10:52 (UTC +04:00)

Baku, Azerbaijan, Nov. 25
By Emin Aliyev -Trend:
Three companies with the right to engage in life insurance in Azerbaijan - Pasha Heyat, Ateshgah Heyat and Qala Heyat, collected 56.96 million manat for all types of life insurance in January- October 2013, which exceeds the figure for the same period last year by 73.71 per cent, the Finance Ministry's report on the activities of insurance companies in January-October 2013 said.
According to the report, the share of life insurance premiums in total fees collected by companies grew from 11.62 per cent to 16.87 per cent per year.
As the report said, the payments for these types decreased: in January-October 2013, compensation was paid out to the sum of 3.35 million manat, which is by 14.76 percent less than the same period last year. The share of these payments in the total pay-out of the insurance market decreased during the year from 5.21 per cent to 3.38 per cent.
During the first 10 months of 2013, the companies collected 22.5 million manat on compulsory insurance against disability resulting from occupational diseases and accidents at work, or 9.97 per cent more than the same period last year.

Premiums for voluntary life insurance over the year rose by 2.8 times and reached 34.46 million manat. Most of the charges in the segment of voluntary life-insurance have fallen to insurance on survival (29.91 million manat), while the remaining part accounted for the life insurance in case of death (4.41 million manat) and insurance from incurable diseases (134,930 manat).
Payments for voluntary life-insurance in January-October amounted to 2.27 million manat, while for mandatory insurance amounted to 1.08 million manat.
The total premiums of all companies operating in the country in January-October 2013 amounted to 337.65 million manat (annual growth of 19.67 per cent), and payments made during the reporting period totalled 98.97 million (an increase of 31.16 per cent).
The ministry's report does not include the figures for the only reinsurance company AzRE.
The official exchange rate on November 25 is 0.7843 AZN / USD.