Motor insurance compensations have grown - Report


November 27, Fineko/abc.az. The Financial Market Supervision Authority (FIMSA) has published the indicators of the insurance market for Jan-Oct 2019.

ABC.AZ informs that according to FIMSA’s report, premiums on compulsory insurance make up 10% or AZN 17.1 million versus the 2018 same term.

The main drivers of growth in compulsory life insurance are compulsory real estate insurance (rise of 20% or AZN 5.1 million), compulsory civil liability insurance of motor vehicle owners (rise of 4% or AZN 3.5 million) and compulsory state personal insurance of judicial & law enforcement officials (rise of 9% or AZN 1 million). Despite the fact that as a result of reforms in the tax sphere, life insurance has decreased in general, due to the reduction of the previously proposed tax benefits and the limit on funds allocated for life insurance, as a result of accidents at work and occupational diseases, insurance premiums on compulsory insurance have decreased by 27% (to AZN 8 million).

Compared with Jan-Oct 2019, the growth of compensations amounted to AZN 10.9 million on compulsory insurance of civil liability of motor vehicle owners, AZN 5.4 million on insurance of air vehicles, AZN 2.8 million on motor vehicle insurance, and AZN 2.6 million on life insurance. The decrease was mainly observed on civil liability insurance (AZN 800,000), civil liability insurance of air vehicle owners (AZN 500,000) and state compulsory personal insurance of servicemen (AZN 1.8 million). Compensations on this type of insurance change depending on the intensity of the event for the relevant period.