BAKU, Azerbaijan, Feb.4
By Zeyni Jafarov – Trend:
Revenues from voluntary liability insurance of vehicle owners in 2020 amounted to 1.73 million manat ($1.02 million), which is 95 percent more than in 2019, a source in the country’s Central Bank (CBA) being regulator of the local insurance market told Trend on Feb 4.
According to the source, 2020 was also successful for voluntary insurance of vehicles. The insurance fees worth over 36.8 million manat ($21.6 million) were collected and more than 13 million manat were paid, thus showing 1.6 percent rise in collections and 0.3 percent decrease in payments respectively, the source noted.
“Meanwhile, the revenues on compulsory liability insurance of vehicle owners (OSAGO) amounted to 93.3 million manat ($54.8 million) against 100.4 million manat ($59.06 million). Thus, the OSAGO market in 2020 shrank by 7.1 percent,” the source said.
Regarding the total volume of voluntary types of insurance, the source stressed that a growth of more than 10 percent was recorded here in annual terms. So, the insurance portfolio of companies for voluntary types of insurance rose from 456.6 million manat ($268.6 million) to 502.8 million manat ($295.7 million).
Compulsory insurance types have also seen growth in 2020. Revenues on this class grew by 0.6 percent, exceeding 225 million manat ($132.3 million).
For a more transparent, efficient and expanded coverage of the insurance sector, the regulator cooperates with international institutions. So, an agreement was concluded between the Central Bank and the World Bank in 2020 to receive technical support in connection with plans to regulate insurance, said the source.
Earlier the head of the Central Bank of Azerbaijan Elman Rustamov stated that the insurance segment should take a worthy place in the financial market of Azerbaijan and despite certain problems with technologies and human resources, this issue will be gradually resolved.
(1 USD = 1.7 AZN on Feb.4)
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