Baku, Azerbaijan, June 25
By Anvar Mammadov - Trend:
The level of insurance penetration in Azerbaijan is currently low, analysts of the international ratings agency Fitch believe.
The agency told Trend June 25 that this is especially evident in non-life insurance.
"While in the life insurance market, the indicators of Azerbaijan exceed those of Georgia and Kazakhstan, and second only to Russia in the region, in non-life insurance Azerbaijan lags behind all three major insurance markets of the region," the agency noted.
According to the data provided by Fitch, the share of life insurance in Azerbaijan's GDP is 0.3 percent, while in Kazakhstan this figure is 0.1 percent, in Russia - 0.35 percent, and in Georgia - 0.05 percent.
The share of non-life insurance in Azerbaijan's GDP, according to the Fitch data, is almost 0.5 percent.
The leader of the region in this indicator is Georgia - 1.1 percent, followed by Russia - a little more than 1 percent, and Kazakhstan - 0.55 percent.
According to Fitch, a similar situation is observed in the amount of insurance premiums per capita. For example, Azerbaijan is second only to Russia in terms of life insurance with a figure of $12 per capita. In Kazakhstan, this figure is also $12, and in Georgia - about $4 per capita.
Fitch analysts believe that in general the main growth of the insurance sector in Azerbaijan in recent years is achieved through life insurance.
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