As in many other countries, Azerbaijani citizens have seen their travel plans failing due to the global coronavirus pandemic.
When traveling abroad, citizens often constitute a travel insurance contract. Especially when traveling to the EU, having a medical insurance policy is a prerequisite for issuing a visa. In connection with the cancellation of planned trips due to the restriction on traveling abroad imposed following the Coronavirus outbreak, many insurance companies have experienced a sharp increase in the termination rate for contracts for this type of insurance.
In accordance with the norms of the current legislation, as well as insurance rules, in case of early termination of the insurance contract, the insurer is entitled to withhold from the policyholder an amount representing administrative expenses, which is usually in the range of 10 -15% of the paid insurance premium.
Understanding the situation, the Azerbaijani insurance companies - PASHA Insurance OJSC, A-Group Insurance Company, AtaInsurance OJSC and some others, decided to support their customers and reimburse the insurance premiums paid in full without retaining the amount of administrative expenses.