CBA approves procedure for formation of insurance reserves

11:47 - 5.04.2024

April 5, Fineko/ The Board of Directors of the Central Bank of Azerbaijan has endorsed the Procedure for the formation of insurance reserves for life insurance and other types of insurance, with the exception of life insurance.

ABC.AZ. reports that the decision was signed by CBA chairman of board Taleh Kazimov.

This provision regulates composition of insurance reserves, the rules for the formation and calculation of the share of reinsurers in insurance reserves, as well as criteria for catastrophic risks, taking into account the level of diversification, reliability, investment orientation, profitability, liquidity, composition and other criteria for the quality of assets providing insurance reserves. Insurance reserves by type of compulsory insurance are calculated in accordance with this regulation, taking into account the requirements of the Law on Compulsory Insurance.