14-01-2025
Catastrophic risks aimed at properties
Elmar Mirsalayev, executive director of the Azerbaijan Insurers Association (AIA), told the “Report”that one of the main issues to pay attention to in 2025 is catastrophic risks directed to property.
"The experience of past years shows that natural disasters, such as floods, floods, fires or incidents caused by negligence, cause serious damage to immovable and movable property. If the property is not insured, then this situation entails large financial losses. For example, we can cite the cases of floods and floods in unstable weather, which were recorded in January, April and October 2024. In particular, in October, 122 applications were received for damage caused to insured real estate as a result of precipitation in excess of the norm,” said the head of the AIA.
E. Mirsalayev stressed that natural disasters are inevitable, and in 2025 these risks will remain relevant. Therefore, in his opinion, citizens should definitely insure their property with the types of “compulsory real estate insurance” and “property insurance against Fire and other risks.”
According to statistics, in January-November last year, fees on “compulsory real estate insurance” increased by 2.4 million Manats compared to the previous year, and on “property insurance against Fire and other risks” - by 4.1 million Manats. "These indicators indicate an increased interest of citizens in this type of insurance, and this trend will continue”" E.Mirsalayev added.
Risks of Motor Transport
He believes that the import of a large number of cars into Azerbaijan every year and limited visibility due to unstable weather conditions at different times indicate that the risks of Motor Transport will remain relevant in 2025. This increases the likelihood of accidents for drivers and can create additional financial costs.
"In such cases, car owners should pay attention to two main types of insurance. ” Compulsory insurance of civil liability of motor vehicle owners " – is important to ensure damage caused to third parties as a result of an accident. Casco insurance, on the other hand, is recommended to protect the driver's own car from damage or theft.
Statistics confirm that these risks are inevitable. Thus, in January-November last year, payments made on “compulsory civil liability insurance of motor vehicle owners” compared to the same period of 2023 increased by 28.7 million Manats, and by Casco type-by 2.6 million Manats.
These figures show an increased interest of drivers in insurance products and reaffirm the possibility of more effective management of motor vehicle risks through insurance, " E. Mirsalayev said.
Medical risks
Taking into account seasonal diseases, periodic epidemics that we have encountered in some cases, it shows that medical risks will also remain relevant in 2025.
In his opinion, “voluntary health insurance” is of paramount importance to protect against such risks and reduce health care costs. This type of insurance eases the financial burden on citizens in case of unforeseen illness, making it easier to access the necessary medical services.
According to statistics, in January-November 2024, payments for “Voluntary Health Insurance” reached 88 million Manats, which compared to the same period in 2023 is an increase of 14.6 million Manats. "These figures prove that interest in health insurance products is growing and that they play an important role in risk prevention," added the head of the AIA.
Vital risks
According to him, vital risks, especially against the background of industrial accidents and incurable diseases, remain a serious threat in 2025. E. In order to minimize the impact of these risks, Mirsalayev recommends using such types of insurance as “Life Insurance”, “Life Insurance against death”, “insurance against incurable diseases”, “occupational health insurance” and “compulsory insurance against industrial accidents”.
"These products provide effective tools for managing risks, allowing both individuals and their families to protect themselves from unexpected financial burdens," he stressed.
E. Mirsalayev believes that preparation for the expected risks of 2025 is made possible by the effective use of insurance products: "awareness and the development of the insurance market are of great importance in order to reduce the effects of unforeseen circumstances, such as natural phenomena, transport accidents, medical problems and life risks."
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