17:25 - 23.04.2026

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April 23, Fineko/abc.az. There is little competition in the insurance market of Azerbaijan in the segment of government orders and high concentration has formed.

ABC.AZ informs, referring to Accounts Chamber’s bulletin "State Audit", that only 4 insurance companies are involved in fulfilling government orders. At the same time, 75% of the insurance portfolio is accounted for by one company, which indicates limited competitive environment in the market.

In addition, regulatory contradictions have been identified in the field of compulsory insurance in Azerbaijan. Thus, according to Cabinet Ministers’ decision, insurance premiums are paid only after the conclusion of the contract. However, according to the general legislation, advance payment is required for the insurance contract to enter into force. This discrepancy makes it difficult to implement the insurance process in practice.

The audit also revealed that in some cases, different replacement values were applied to the same property in different years. This led to unexplained differences in insurance premiums and increased costs.

The report notes that insurance of all state-owned facilities is not provided, and the process is mainly carried out within the allocated funds. This indicates incomplete insurance coverage.