Azerbaijan, Baku, March 16 /Trend, U.Ismaylova/
Azerbaijan has created favorable conditions for the development and formation of the insurance market, the head of parliamentary committee on economic policy Ziyad Samadzade said at a conference "The insurance market of Azerbaijan: Problems and Prospects" in Baku on Wednesday.
"But despite this, the insurance market of Azerbaijan is still lagging behind in terms of development of other segments of the country's financial market," said Samadzade.
The insurance market of Azerbaijan lags behind in quality and scope of reforms in the financial market, tax and financial system, he said.
Samadzade added that in recent years, Azerbaijan has adopted a number of serious measures to ensure the development of the insurance market. The measures also include adoption of the Law on insurance activity, which conforms to international standards, a number of regulations for the development of the market, the draft law on compulsory insurances is currently being considered by Parliament.
"The current level of the insurance market in Azerbaijan does not satisfy both the government and the head of state, since the share of premiums per capita does not exceed $20, which is the lowest among the CIS countries," Samadzade.
Regarding the possible development of the insurance market in Azerbaijan, Samadzade said that the country is rapidly developing and diversifying the economy, rising property of the population, strengthening the material-technical potential of the country, and all these create favorable conditions for development of the insurance market.
"While in many developed countries the insurance companies are engaged in serious investments, in Azerbaijan this process has not been developed, but over time I think it will happen," said Samadzade.
"Our goal is to ensure the dynamic development of the insurance market, creating conditions for the development of compulsory insurance, elimination of the imbalance of insurance premiums, said Samadzade. - In many countries, life insurance occupies a significant place in the overall portfolio of the market, but the fees for this type of insurance in Azerbaijan are not at a sufficient level. I am sure that the insurance market of Azerbaijan will develop along with other segments of the financial market and a strong financial insurance market will be created."
A total of 28 insurance and one re-insurance company operate in Azerbaijan.