FIMSA: Involvement of foreign investors in Azerbaijan’s insurance market started - EXCLUSIVE

Processes to analyze the legislation on involvement of foreign investors in Azerbaijan’s insurance market and conform the insurance legislation to the International Insurance Principles have started, Head of the Insurance Supervision Department of the Financial Market Supervisory Authority of Azerbaijan (FIMSA) Firdovsi Aghashirinov told Report.

According to him, currently, the share of foreign capital in Azerbaijan’s insurance market is less than 10% and participating share of the foreign capital in the total authorized capitals of the insurers has been 100% since January 1, 2017.

Along with this, foreign individuals and legal entities have access to the market, while only foreign insurers had such a right till 2015.

Until 2008, the participating share of foreign capital in the capital of a company would not exceed 49%. However, in March 2014, a limitation was imposed on the total capital of the insurance market. This means that the limitation to establish a company fully-owned by a foreign company was eliminated.

Currently, 22 insurers operate in Azerbaijan and only AXA MBASK has a foreign investment in its capital.