Insurance's share in Azerbaijan's GDP may increase - association

Finance Materials 18 December 2020 10:51 (UTC +04:00)
Insurance's share in Azerbaijan's GDP may increase - association

BAKU, Azerbaijan, Dec. 18

By Zeyni Jafarov - Trend:

The digitalization and automation of insurance services, like in all other sectors of Azerbaijan’s economy, is also important in the field of insurance operations, Mammad Aghayev, Advisor to the Executive Director of the Azerbaijan Insurers Association (AIA), told Trend.

“The modern period, and especially the situation amid the coronavirus pandemic, both throughout the world and in Azerbaijan, requires the further implementation of automation. Based on this, electronic services began to be used in many insurance products. In the near future, it is expected that the stages of collecting documents will be ensured by electronification in the contracting process for all services present in the sector,” said the advisor.

“The potential of the insurance market is not fully used, and in order to fully use it, a number of problems must be resolved. The share of insurance in GDP can grow by 2 or 3 percent,” Aghayev noted.

Among the types of insurance for which positive development trends are observed, the AIA representative especially noted compulsory real estate insurance and compulsory civil liability insurance of vehicle owners.

“The insurance market in Azerbaijan, of course, is young compared to the world’s, but it develops every year. We believe that the process of full automation of insurance services will accelerate soon, which will further improve the sector and its effective activity,” Aghayev said.

The Azerbaijan Insurers Association was registered on December 29, 2006. Currently, 21 insurance companies and one reinsurance company operate in Azerbaijan.


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