The acquisition is part of Ingosstrakh’s strategy to expand its presence on the insurance markets of CIS countries, Interfax reported.

With compulsory motor-vehicle insurance coming into effect in Uzbekistan in 2008, Standard Insurance Group will be building up its retail insurance business and could gain at least a 20% share of the national insurance market if its corporate clientele continues to increase and a branch network is set up, the statement says.

Standard Insurance Group was founded in January 2005 by Uzbek commercial bank Credit-Standard in addition to foreign legal entities and individuals. The company has charter capital of US$1 million and possesses licenses for almost all types of insurance.

The Uzbek company collected 9.376 billion soums in gross premiums in 2007, or 12.86% of all premiums on the Uzbek insurance market, ranking fourth in the country. The official exchange rate on 3 April was 1,301 soums per US$1.