Azernews.Az

Friday March 29 2024

Azerbaijan sees rise in insurance assets

7 March 2017 17:33 (UTC+04:00)
Azerbaijan sees rise in insurance assets

By Kamila Aliyeva

Azerbaijan’s insurance assets recorded a significant growth in 2016.

The total volume of the insurance sector assets in 2016 increased by 1.9 percent and made up 1.031 million manats as of January 1, 2017, according to the Cabinet of Ministers’ report on activities for 2016, Day.Az reported.

As many as 457 million manats or 44.4 percent of the assets are concentrated in bank deposits, according to the report.

The volume of insurance premiums on insurance contracts concluded in 2016 increased by 10 percent or 44 million manats compared to 2015 and amounted to 486 million manats.

Some 319 million or 66 percent of these are voluntary, while remaining 34 percent or 167 million manat - compulsory types of insurance. Compared to 2015,the insurance premiums for compulsory types of insurance increased by 3 percent (5 million manats) and voluntary insurance - by 12 percent (39 million manats).

Following the last year’s results, life insurance premiums increased by 26 percent and amounted to 146 million manat, which is 30 percent of total insurance premiums. Contributions on non-life insurance increased by 4 percent or 13 million manat and reached the total of 340 million manats.

The report says that the increase in insurance payments last year occurred mainly in life insurance's types.

For the whole period, total payments increased by 31 percent or 57 million manats, including life insurance payments by 82.7 percent or 43 million manat.

Voluntary insurance types accounted for 76 percent or 179 million manat, compulsory insurance – 24 percent or 58 million manat of all payments.

Life insurance occupies a special place in the insurance market. Today this segment is considered to be one of the most popular ones in Western Europe and other countries with developed insurance markets.

Life insurance market in the country appeared in 2011. Only specialized companies can offer life insurance in Azerbaijan, according to the domestic legislation.

Some 21 insurance companies and one re-insurance company are operating in the country.

---

Kamila Aliyeva is AzerNews’ staff journalist, follow her on Twitter: @Kami_Aliyeva

Follow us on Twitter @AzerNewsAz

Loading...
Latest See more