Uzbekistan, Tashkent, July 4 / Trend D.Azizov /
The INGO Uzbekistan insurance company, a subsidiary of Russia's Ingosstrakh, has increased its authorised capital by 34.8 per cent to 3.492 million euros with 2.591 million euros in the equivalent to national currency soum, the company's representative told Trend on Thursday.
According to the source, the decision to increase the share capital through the capitalisation of retained earnings was made at the annual general meeting of shareholders in late June.
It was reported earlier that in accordance with the shareholders' decision, 95 per cent of the net profit for 2010 and 2011 has been left unallocated. In 2011, the insurance company received 1.069 billion soum of net income, while in 2010 - 793.9 million soum.
The authorised capital was raised through increasing the nominal value of shares from 5.089 million soum to 7.6 million soum.
The company's authorised capital is presently comprised of 1000 ordinary shares with a par value of 7.6 million soum each.
The corresponding changes in the company's charter are registered by the Ministry of Justice of the Republic.
As reported, in April 2008, InVestPolis JSC (a subsidiary of Ingosstrakh, Russia) has acquired 76 per cent of the share capital of the insurance company JV Standard Insurance Group. In September 2008, the company was renamed as the Insurance Closed Joint-Stock Company Ingo-Uzbekistan. In August 2012, InVestPolis JSC increased its stake in INGO-Uzbekistan to 90 per cent.
The company is licensed by the Ministry of Finance of Uzbekistan for the implementation of activities in the field of general insurance in the mandatory and voluntary forms under 14 classes.
Along with InVestPolis JSC, INGO-Uzbekistan's shareholders are the Bukhara refinery and national air carrier Uzbekistan Airways with a five per cent stake each.
According to the 2012 results, the insurance company has collected premiums to the sum of 6.2 billion soum which is 47.9 per cent higher than in 2011. The volume of paid insurance claims has increased by 58 per cent to 1.35 billion soum.
As reported, in accordance with the decision adopted by the country's leadership, the minimum size of authorised capital of insurers operating in the general insurance industry should be brought to 1.5 million euros in the equivalent of the national currency by the start of 2016, in the life insurance industry up to two million euros, in compulsory insurance up to three million euros and reinsurance companies in turn, have to raise the capital up to six million euros.
AS many as 33 companies operated in the country's insurance market as of early 2013, including one in life insurance, one reinsurance company, three insurance brokers, one actuarial organisation and five companies providing insurance assistance.
The official exchange rate on July 4 is 2096.19 soum / $ 1.