UZBEKISTAN: new Presidential Decree provides for e-policies and increasing insurer minimum charter capital

19 August 2019 —
In Uzbekistan, a new Presidential Decree "On measures to reform and ensure accelerated development of the insurance market of the Republic of Uzbekistan" was adopted on August 2. It involves several changes on the local market, UzReport news reported.

Among the innovations is introduction of e-policies for certain insurance types, increasing the maximum amount of insurance reserves up to 50% of insurer charter capital, and others.

By 2022 the phased increase of insurer minimum charter capital should be accomplished. The minimum charter capital for companies offering voluntary non-life and life services, from July 1, 2020, will be equal to UZS 15 billion (~EUR 1.55 billion), from July 1, 2022 to UZS 20 billion (~EUR 2.07 billion). While for compulsory life and non-life insurers this figure will be UZS 25 billion from July 1, 2020, and UZS 35 billion from July 1, 2022. For reinsurers the minimum level of charter capital by July 1, 2020 will be UZS 35 billion, and by July 1, 2022 it will be UZS 45 billion.

*EUR 1 = UZS 9657.13 (as of August 14, 2019)