Insurance – Under the Law on Insurance Activity, insurance companies are established as life insurance or non-life (general) insurance companies.

Insurance companies must be established as open joint stock companies and must be licensed by the FMSA. Apart from the licensing, insurance companies are required to get separate permits for any type of insurance activities such as voluntary insurance, compulsory insurance and reinsurance.

Under the law on Compulsory Insurances, owners or holders of the property must have the following insurances:

• Compulsory insurance of real property;
• Compulsory civil liability insurance associated with use of real property;
• Compulsory civil liability insurance of motor vehicle owners;
• Compulsory personal accident insurance of passengers

Among other compulsory insurances, all employers are required to obtain compulsory insurance against loss of professional work capacity of employees as required by the Labor Code and the relevant law.

Until 20th day of the month following the end of each quarter insurers (also reinsurers) are obligated to report on fixed assets of legal entities, their branches and representative offices insured by them. Since 1 January 2019, new social insurance contribution rates for nonpublic sector and for non-oil and gas sector have been determined as follows:

• Individuals with gross taxable monthly income below AZN 200 – 3% to be withheld from employee and 22% from employer;
• Individuals with gross taxable monthly income above AZN 200 – 10% of the amount exceeding AZN 200 plus 6 AZN to be withheld from employee and 15% of the amount exceeding AZN 200 plus AZN 44 to be paid by employer