The document is intended to stimulate the formation of a competitive environment in the insurance services sector, development of innovative and high quality insurance products, increase in the level of capitalization and financial stability of insurance companies, expansion of their regional networks, as well as improvement in the methods of insurance sector regulation and supervision.

 

The Resolution approves the Programme of Reforms and Development of the Insurance Market of the Republic of Uzbekistan for 2007-2010 developed by the Ministry of Finance in cooperation with local insurance companies.

 

The programme envisages the implementation of a set of measures aimed at improving the legislative and regulatory framework for insurance, insurance activity and supervision in line with the international best practices.

 

Also, the Programme sets the objectives to expand the volume and range and improve the quality of insurance services, particularly insurance of entrepreneurial activity, import and export operations, long-term life insurance, including savings insurance types.

 

Particular attention in implementation of the measures envisaged by the Programme will be paid to the improvements in the system of preparation and training of the sphere’s personnel.

 

The resolution also approves the Act on Professional Participants of the Insurance Market, which is to enter into force as of 1 January 2008. Meanwhile, insurance companies are ordered to bring their capitals to compliance with the requirements outlined in the Act by the time it comes into force.

 

The Ministries of Economy, Finance, and Higher and Secondary Specialised Education of Uzbekistan are ordered to submit proposals to the Cabinet of Ministers on the establishment of special groups at the economic universities and institutes of the country, who are to improve the quality of preparation of specialists for insurance companies, and regular improvement of their qualifications.

 

According to the resolution, in response to the initiative from the Ministry of Finance and insurance companies, the Association of Professional Participants of the Insurance Market of Uzbekistan is to be created.

 

It should be mentioned that for the purpose of stimulating the development of the insurance market and expanding the legal entities’ and individuals’ interest in insurance, the resolution states that insurance premiums for property and long-term life insurance shall not be taxable.