Azernews.Az

By Laman Ismayilova

Azerbaijani insurers have signed 109,842 contracts on compulsory insurance of civil liability of vehicle owners (OSAGO) in March, which is 59.1 % higher compared to 2015, Trend reports.

The Compulsory Insurance Bureau of Azerbaijan informed that the total amount of the premiums on all agreements amounted to 9.5 million (increase by 76.8 %).

Roughly 11,004 agreements were concluded with drivers traveling to Azerbaijan.

In the first quarter of 2016, the Bureau concluded 176,240 contracts on OSAGO, the fees on which amounted to 20.1 million manats. The number of contracts for the year was increased by 21%, while the revenue decreased by 31 %.

Under the law on compulsory types of insurance, the basic cost of an insurance policy on OSAGO is 50 manats, which applies to vehicles with an engine capacity of 1,500 cubic centimeters. The price increases from a coefficient of 1.5 to 5 in engines that are 5,000 ccm or more.

The Compulsory Insurance Bureau was established as a union of legal entities in accordance with the Civil Code of Azerbaijan and subject to the requirements contained in the Law On Compulsory Insurance with an aim to protect interests of insured persons and third parties who suffer damages and losses, as well as for stabilize and develop the system of compulsory insurance and fulfillment of duties prescribed by the law.

The Bureau participants include 15 companies, 11 of which have the right to sell compulsory third party liability insurance policies.

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