New draft law on mandatory insurance under development

02-04-2011 | 14:14        


A new draft law on Compulsory Insurance is being elaborated. The draft law has been discussed at the joint meeting of the parliament’s committee for economic policy and committee for social policy. When discussing the new draft law on “Mandatory Insurance” in the second reading, Chairman of the Economic Policy Committee Ziyad Samedzadeh said that adoption of this document that is of great importance in terms of protecting population’s healthcare would give an impulse to improvement of an insurance market which has not developed enough. The law to regulate the relations in mandatory insurance sector will define the main basics for application of manatory insurance in the country, the rules and terms for various types of insurances with the view of protecting the rights and interests of insurers and insured people. This law is a logical continuation of the law on insurance activity adopted in 2007. The draft reflects the purpose, use of the mandatory insurance, a mandatory insurance contract, the sum, and other related issues. Chairman of the Social Policy Committee of the Milli Majlis Hadi Rajabli said that an insurance system was irreplaceable to ensure social protection of the population. He said it was necessary to take some actions, along with adopting this law, to develop insurance culture. Speaking during the discussions, MPs said that today’s insurance market cannot be regarded as satisfactory for dynamically developing Azerbaijan. There are some shortcomings in the draft, so it was proposed to establish a commission consisting of experts of the Ministry of Finance in order to eliminate them and to improve the document. Besides, the draft’s resting on an analysis of the insurance market is a positive case. It was noted that interests of all parties must be covered in the paper to work out the law and to develop the insurance market. Another proposal dealt with giving exact insurance amount in the draft. In conclusion it was stated that prior to submitting the draft law for discussion in the parliament the suggestions and recommendations given by lawmakers would be considered and relevant ones would be included in the document.