Insurance contracts in Azerbaijan to be concluded in electronic form

Business Materials 11 December 2013 16:36 (UTC +04:00)

Baku, Azerbaijan, Dec. 11
By Emin Aliyev -Trend:

It will be possible to conclude insurance contracts in electronic form in Azerbaijan, head of the Department of Licensing, applications and complaints of the State Insurance Supervision Service under the Ministry of Finance, Mahir Abdullayev said on Dec.11, speaking at the second National Forum of Insurance Agents in Baku.

"The Milli Majlis (parliament) of Azerbaijan on October 29, 2013 approved the amendments to the law 'On insurance activity', which will soon come into force. One of the innovations is the possibility to conclude contracts in electronic form. This will save time of both insurers and customers," Abdullayev said.

Abdullayev said that this option will also be available to insurance agents.

By paying an insurance premium with an electronic contract, the customer will confirm acceptance of the terms of the contract," Abdullayev stressed.

At the same time, the head of department said, changes in the law impose liability on insurers to inform customers about the insurance conditions and other circumstances.

"Insurance agents will be required to explain to customers their rights and obligations, rules of conduct in the insurance case, conditions under which the insurer may refuse to pay for what has happened and will oblige agents to give to clients clear and understandable correspondence, which will reflect all the necessary information," Abdullayev noted.

The State Service often faces complaints from citizens that they do not know how to handle insurance companies in case of an accident, and the development of legislation would eliminate this problem, head of the department added.

Baku is hosting the second National Forum of Azerbaijani insurance agents. The forum is being attended by more than 200 representatives from the country's insurance companies, government agencies and experts. Delegates will discuss the problems of the Azerbaijani insurance market, as well as prospects for its development.
Translated by M.L.
Edited by S.M.