BAKU, Azerbaijan, June 24. Azerbaijan is
considering revising insurance coverage limits for a number of
mandatory insurance types, said Vusal Gurbanov, Director General of
the Central Bank of Azerbaijan, speaking at the International
Insurance Forum in Baku, Trend’s correspondent reports from the event.
According to him, the issue of adjusting coverage limits for
mandatory personal accident insurance is being reviewed within the
framework of a developing concept.
“We are studying international best practices and considering
reflecting this issue in the concept. Certain amendments are also
being considered in the legislation on compulsory motor third-party
liability insurance,” Gurbanov said.
He recalled that the current compensation limit for property
damage stands at 5,000 manats.
“This amount is automatically reinstated. In other words, after
compensation of up to 5,000 manats is paid for damage to
third-party property, the insured sum is not exhausted but is
automatically restored to 5,000 manats,” he said.
He noted that this mechanism differs from most other types of
insurance.
“In other insurance types, after a payout is made, the insured
amount is reduced by the compensation paid. In this case, a
different principle applies,” he added.
