Turkmengas to become key founder of insurance company

Oil&Gas Materials 18 August 2012 16:37 (UTC +04:00)

Turkmenistan, Ashgabat, Aug. 18 / Trend H.Hasanov /

Turkmen President Gurbanguly Berdimuhamedov signed a decree allowing Turkmengas to be shareholder with a 25-percent stake in authorised capital as a founder of closed joint stock company Atiýäçlandyryş hyzmatlary("Insurance Services"), an official Turkmen source said on Saturday.

According to the document, the following companies may be the other shareholders: Turkmenistan Airlines - with a share of 15 percent of the authorised capital, State Insurance of Turkmenistan - with a share of 10 percent.

The Ministry of Economy and Development of Turkmenistan is instructed to ensure in the established procedure state registration of Insurance services closed joint stock company.

The creation of this structure corresponds to the objectives of the successful implementation of the socio-economic development of the country in 2012-2016, the development of the insurance market, increase in investment capacity, ensuring the insurance protection of state interests, legal entities and individuals in the territory of Turkmenistan.

The question on its creation was raised in late July at the government meeting, where President stressed that in the transition to a market economy, insurance is an important factor promoting economic and business activity, new areas of investment, helps to prevent the diversion of substantial working capital to compensation and thus ensures the continuity of the production cycle.

"Insurance also has high social value as an effective mechanism to protect individuals and businesses from the risks and is the source of domestic long-term investments in the country," the Turkmen leader said.

State Insurance Organization of Turkmenistan has an extensive network in the country - more than 40 offices. At this stage, the organization is expanding partnerships with leading international insurance and reinsurance companies and insurance brokers.

A considerable part of the reinsurance is through the largest insurance brokers in London insurance market, such as Marsh Ltd, AON Ltd, Colemont Ltd, HSBC, Willis Ltd. This allows for prompt and adequate compensation for damage caused by an insured event.