New method of paying membership fees offered to insurers

The Azerbaijan Insurers Association (AIA) offers its member companies a new method of paying membership fees.

The AIA said in a message on July 11 that such an offer was made by Chairman of the association Mustafa Abbasbayli at the meeting of the association’s Supervisory Board.

Under the new method, insurance companies will pay membership fees to AIA according to their share in the market.

“The size of the membership fees of each insurance company for the new year will be determined on the basis of its fees in the previous year. We want the membership fees of insurance companies to be commensurate with their share in the market,” the message said.

The proposal will be considered by all members of the association, and after that a final decision will be made.

Presently, insurance companies pay membership fees depending on the company’s category.

The association said that if now the member companies are divided into two categories, the new method implies their division into 10 categories.

The AIA is a non-governmental organization united on the basis of common interests, uniting voluntarily, based on the principles of the legal equality of members, which does not intend to earn income as the main purpose of its activity.

The association was established in December 2006.

As many as 27 insurance companies and one reinsurance company operating in Azerbaijani market are members of the AIA.