Risk management in the insurance sector of Azerbaijan developed poorly

Baku. 3 July. REPORT.AZ/ "In the domestic insurance sector is underdeveloped risk management."

Report informs, Director of Audit department of Deloitte Azerbaijan, Tural Hajiyev said at the seminar in the framework of Insurance Forum held in Baku on July 2-3.

According to him, this sector is poorly developed in Azerbaijan in comparison with the CIS countries. However, he noted that risk management in the banking sector is in a better situation.

T. Hajiyev said that, to expand the bancassurance insurance companies must not only sell, but also to improve the risk management process, to bring them into line with the banks.

Member of the board of the insurance company Qala Heyat, Head of reinsurance and underwriting Tatyana Savelyeva stressed that, the company cooperates with the banks: "We sell credit insurance. We are working on other products. We have already presented a number of pilot products. We focused attention on the product of credit insurance life. We cooperate with 20 banks for mortgage life insurance, with 7 banks for insurance of consumer loans. In Azerbaijan, these products are not in wide use."

According to her, in Azerbaijan operate three life insurance companies, of which the first place in terms of insurance premiums takes Pasha Heyat (41,9 mln. AZN), the second - Ateshgah Heyat (37,93 mln. AZN), the third - Qala Heyat (25,16 mln. AZN): "In the Qala Heyat growth observed due to the corporate sector."

"Now the country banks consider life insurance as a tool to reduce risk. To Bank considers this sector as a source of income, it is necessary to provide training and to enhance cooperation," - said a company representative.