Azernews.Az

By Nigar Abbasova

Azerbaijan’s insurance companies, which render the service of obligatory civil liability insurance of vehicles (OSAGO), have collected some 5.7 million manats ($ 3.5 million) in September 2016, recording an increase of 2 percent in this type of insurance as compared to month earlier.

The Compulsory Insurance Bureau of Azerbaijan informed that insurers have signed 69,710 contracts on OSAGO in the reported period. The figure is by 59.1 % higher as compared to the same period in 2015.

Some 10,625 policies were signed with vehicle owners, driving into the country with transit purposes.

The average volume of collection on OSAGO policies amounted to 81.4 manats ($ 50.21), increasing by 2.7 percent.

OSAGO is compulsory by law for anyone, who owns a vehicle. Driver must have the minimum OSAGO insurance (which must be carried all times while driving) in order to drive any vehicle in Azerbaijan.

Under the law on compulsory types of insurance, the basic cost of an insurance policy on OSAGO is 50 manats ($ 30.6), which applies to vehicles with an engine capacity of 1,500 cubic centimeters.

The Compulsory Insurance Bureau was established as a union of legal entities to protect interests of insured persons and third parties who suffer damages and losses, as well as for stabilization and developing the system of compulsory insurance and fulfillment of duties prescribed by the law.

The Bureau participants include 16 companies, while 13 of them have the right to sell compulsory third party liability insurance policies.

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Nigar Abbasova is AzerNews’ staff journalist, follow her on Twitter: @nigyar_abbasova

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