Baku, Azerbaijan, April 2
By Abbas Akhundov - Trend:
Azerbaijani insurance company concluded more than 61,000 insurance contracts on the compulsory insurance of civil liability of vehicle owners (CTP) in March 2014, which collected premiums totaling more than 4.4 million manat.
Some 19,800 contracts insured liability of owners of vehicles registered outside of Azerbaijan, but being in its territory for transit purposes. These contracts are signed for a period of a month or a year.
The statement was made by the Compulsory Insurance Bureau that was established in accordance with the law "On compulsory types of insurance". The insurance companies started application of the law on December 2011. Besides CTP, the law also regulates the compulsory property insurance, compulsory insurance liability in real estate operations, and compulsory insurance of passengers.
The average premium for CTP was 72.9 manat in March in Azerbaijan, according to the report.
The number of policies on CTP increased by 1.7 percent, the amount of fees for this type by 2.4 percent, compared to the same period last year.
Some 14 companies are the participants of the Compulsory Insurance Bureau.
When the 'Law on compulsory insurance' came into force, the cost basis of compulsory insurance of vehicle owner's civil liability stood at 50 manats when implemented with regard to those vehicles with an engine capacity of up to 1500 cubic centimeters.
With an increased engine size from 1500 to 5000 cubic centimeters, the value ratios ranging from 1.5 to five are implemented with regard to prices.
The value ratio of five is implemented for vehicles with an engine capacity over 5000 cubic centimeters. Previously the insurance premium for all cars was 10 manats.
The contract with the owners of motor vehicles registered abroad and imported to Azerbaijan for transit purposes is signed for one month and the insurance amount is equal to 25 percent of the annual premium for such motor vehicles.
The official exchange rate on April 1 is 0.7843 AZN / USD.
Translated by S.I.
Edited by C.N.