The main factor for the Motor Hull premiums decline was the quarantine regime introduced to prevent the virus spread, which led to a big reduction of contract renewals. Many insurers were not able to provide online support for contract conclusion. At the same time, declining car lending rates became one of the positive factors supporting premium collection of Motor Hull.
The main cause for the MTPL premiums decrease was driven by quarantine restrictions of movement, which led to a significant reduction in the number of citizens using their vehicles. Market leading insurance companies inform that premium collection slightly increased after the removal of these restriction; however, more precise data to demonstrate this phenomena will be available at the end of June.
In spite of Motor GWP decreases, the total GWP of the Azerbaijani insurers in April 2020 amounted to AZN 70.5 million (~USD 41.4 million), which is over 10% more y-o-y.