Azerbaijani MP: agricultural insurance project in Azerbaijan to improve insurance market

Business Materials 9 July 2019 15:20 (UTC +04:00)

Baku, Azerbaijan, July 9

By Kheyraddin Nasirzade – Trend:

The new Law on Agrarian Insurance aims at developing a mechanism for regulating the agrarian sector of Azerbaijan, taking into account the high risks in agrarian production, Azerbaijani MP, member of the Parliamentary Committee on Economic Policy, Industry and Entrepreneurship Rufat Guliyev, told Trend.

In his words, the law applies to insurance in the field of crop production, aquaculture and livestock. Economic, legal and organizational issues of insurance in agriculture will be determined.

According to the law, producers of agricultural products will be insured against the risks associated with natural disasters, fires, technological accidents, infectious diseases and poisonings, attacks of wild animals, spread of parasites, and actions of third parties. The law provides for compensation within even days of the occurrence of an insured event.

Guliyev said that a state agency will be created for agricultural insurance in accordance with the law. According to MP, the insurance regulation will be adjusted due to the intensively developing agribusiness in the country. Insurance companies will carry out agricultural insurance under the coordination of this institution. Contracts will be concluded with farmers and producers of agricultural products. Independent experts will also take part in this activity.

Guliyev noted that this law will become part of the program for the integration of the Azerbaijani economy into the global economy in the field of legal relations. According to him, the adoption of this law is very important, because earlier farmers suffered heavy losses due to external factors. Once this law is passed, agricultural producers will be able to improve production results, and improve the quality and increase quantity of the harvest.

The Law on Agrarian Insurance was recently adopted by the Azerbaijani Parliament and sent for approval to the head of state.

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