STATISTICS:

KAZAKHSTAN: reducing the number of licensed insurers does not impact system stability

From the beginning of the year, selected insurers have forfeited licenses on some insurance activities. SALEM's license for voluntary insurance was cancelled on August 28. Additionally, the license for general insurance of Kompetenz was suspended for 6 months, wrote allinsurance.kz.

The main reason for retraction is usually multiple violations of the prudential regulation requirements. According to insurance ombudsman Andrey KOPOV, if a company fails to fulfill the prescribed measures within a one-month period, its license must be suspended for a period of 3-6 months. At the end of that period, in case of failure to amend all violations, the National Bank makes a ruling on the company's license cancellation. There are other reasons for license suspension as well. The license of NURPOLICY, a subsidiary insurer of Nurbank, was cancelled due to its merger to VICTORY, according to Kapital.kz.

Andrey KOPOV in his turn believes that despite some cases of cancellation and license suspension, the insurance system of Kazakhstan is stable. The law on insurance provides for transition under the National Bank's control of insurance portfolios and liabilities to active insurers. Thus, such cases have no negative consequences for clients.

Follow XPRIMM Publications on LinkedIn, for more data on the insurance and financial industry.

Share |

Related articles

Moves on the Kazakh insurance market under the scrutiny of A.M.Best

A.M. Best will evaluate the impact that the merger transaction between the Kazakh Halyk-Kazakhinstrakh, Insurance Subsidiary Company of Halyk Bank of Kazakhstan, JSC (Kazakhinstrakh) and JSC IC Kazkommerts-Policy, on August 29, 2018, had on Kazakhinstrakh's Credit Rating.

2018-09-11

ON THE MOVE

TOP EVENT

photodune-3834701-laughing-girl-xs

LIVE: 1st National Reinsurers Summit in Moscow: focus on global cooperation

Today has started in Moscow the 1st National Reinsurers Summit "National Reinsurers: Focus on global cooperation". Organized by the Russian National Reinsurance Company (RNRC) with the support of the Central Bank of the Russian Federation, the conference has the xprimm.com insurance portal as Media Partner.

20.09.2018

photodune-3834701-laughing-girl-xs

LIVE from Monte Carlo: The 62nd edition of the "Rendez-Vous de Septembre"

The 62nd edition of the "Rendez-Vous de Septembre", the annual traditional meeting of reinsurers starts Sunday in Monte Carlo. XPRIMM Publications covering the CEE, SEE and CIS insurance markets are available at the XPRIMM stand in Fairmont Hotel, as well as at the most important venues in Monte Carlo.

13.09.2018

Willis Re - Market still soft, but functional

Despite the high losses from 2017 the reinsurance market is still soft, James KENT, Global Chief Executive Officer (CEO) of Willis Re stated at a press briefing in Monte Carlo.

10.09.2018

See all