Kazakhstan sees increase in liabilities of insurance companies

Kazakhstan Materials 2 November 2021 16:05 (UTC +04:00)

BAKU, Azerbaijan, Nov. 2


The liabilities of insurance (reinsurance) organizations in Kazakhstan in September 2021 increased by 5.2 billion tenge ($12.1 million) or 0.5 percent, Trend reports with reference to the Agency of Kazakhstan for the Regulation and Development of the Financial Market.

According to the agency, the liabilities of insurance companies in the country as of October 1 amounted to 998 billion tenge ($2.3 billion), increasing since the beginning of 2021 by 21.5 percent.

The agency reports that the increase in liabilities was mainly due to the increase in insurance reserves. Thus, in the structure of liabilities, the largest share (85 percent of total liabilities) is held by insurance reserves in the amount of 848 billion tenge ($1.982 billion).

Also, insurance reserves in September 2021 increased by 628 million tenge ($1.5 million) or 0.1 percent, mainly due to an increase in the reserve for losses (growth since the beginning of 2021 by 23.5 percent)

In addition, equity capital of insurance (reinsurance) organizations as of October 1 amounted to 721 billion tenge ($1.7 billion), having increased in September 2021 by 8.5 billion tenge ($19.9 million) or 1.2 percent (growth since the beginning of 2021 by 8.3 percent).

The agency noted that the net profit of the insurance sector, mainly derived from income from insurance activities, increased by 13.6 billion tenge ($31.8 million) in September 2021 and amounted to 90.7 billion tenge ($212 million) as of October 1.