AZERBAIJAN: MTPL reaches its peak, and life insurance may become the next market leader

According to the Chairman of the Azerbaijan Insurers Association (AIA) Mustafa ABBASBAYLI, MTPL on the Azeri insurance market is reaching its peak, Trend News Agency informed.

ABBASBAYLI noticed that "in terms of GWP and penetration - MTPL is the market leader in Azerbaijan, at that life insurance is getting closer with its GWP to MTPL. By the end of the year life insurance may probably become the next market leader in Azerbaijan".

According to the AIA Chairman, some amendments to MTPL will let increase its GWP by AZN 10-15 million (~EUR 5-8 million) in 2019 through improvement of the bonus system and policy issuance procedure. "We believe, we can also reduce the number of fraud cases in MTPL", added ABBASBAYLI.

Based on AIA forecast for 2019, ABBASBAYLI pointed out that all insurance types will continue development in a certain way and agro insurance is expected to grow as well. "Today we are working to increase mandatory real estate insurance and here we expect some growth", he said. As for the other classes, ABBASBAYLI explained that AIA is considering to see growth rates at the level of 10-15%.

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