Insurance | “UZINFOINVEST” the Information Support & Foreign Investments Promotion Agency

Business Expenses

There is the system of mandatory and voluntary insurance in effect in Uzbekistan. Mandatory insurance has been introduced withappropriate laws and are designed for sharing responsibility related to the emergence of an insurance case between the insurer andthe government.

At present, 38 different insurance companies function in the market of insurance services including two companies providing life insurance and another one rendering reinsurance services. Of all insurance companies, 4 are assessors of insurance damage, 2 are insurance brokers, 4 are support companies, and 2 offer actuary services. The largest insurance companies are State joint stock insurancecompany "Uzagrosugurta", National company for export-import insurance "Uzbekinvest", "Kafolat" State joint stock insurance company,Uvt-insurance, and INGO-Uzbekistan.

List of Insurance Services and Applicable Insurance Premiums

Insurance service	Basic rate of insurance premium, % of insurance amount
Insurance of property	0.1-0.7 *
Insurance of collateral	0.1-0.7*
Insurance of property in transit	0.05
Insurance against fire and natural calamities	0.02
Insurance of cargo	0.15 - 2
Insurance of surface transport vehicles	1.5 -4.5
Insurance of pledged transport vehicles	1.5-4.5
Insurance of railroad rolling stock	0.2
Insurance of agrarian transport vehicles	from 0.25
Voluntary insurance against all construction and assembly risks	0.1- 1.0
Insurance against all construction and assembly risks	0.2 to 0.7
Insurance of export agreements	0.3 to 2
Insurance of guarantees	from 1
Insurance of borrower's liabilities against unsecured credit default	5 - 7 APR

Insurance service	Basic rate of insurance premium, % of insurance amount
Insurance of pledged securities	from 0.25 APR
Insurance of mortgage objects	from 0.1 APR
Insurance of property - leasing object	from 0.1 APR
Insurance of legal protection costs	2.5
Insurance of professional responsibility	3 - 5
Insurance of civil liability of the manufacturer (seller) of goods (works, services)	0.5 - 5.0
Animal insurance	from 3
) Depending on the insurance amount, these fees can increase or decrease. Source:www.mf.uz,www.sugurta.uz*.

on compulsory insurance of employer's civil liability

In April 2009 the Law on compulsory insurance of employer's civil liability of the Republic of Uzbekistan entered into force. In accordance with law, the employer must no later than 15 business days since the date of state registration or the date of signing the labor contract for physical entity- employers to insure their civil liability on reimbursing damage caused to life or health of an employee in connection with injury at workplace, professional sickness or another damage in connection with execution by an employee of his/her labor obligations.

The insurance sum on compulsory insurance of employer's civil liability shall be established to:

- employer, carrying out his activity for more than a year, in the amount of yearly wage of employer's all employees for previous twelve months until the month of signing the insurance agreement;

- employer, to have started his operations anew, in the amount of yearly wage of employer's employees for twelve months that follow after signing the insurance agreement. Meanwhile, the yearly wage shall be calculated by way of multiplying the amount of wage for the first month by twelve;

- employer, carrying out his activity for less than a year, in the amount of wage of employer's all employees for a period of carrying out by an employer of his activity.

The amount of insurance tariffs on compulsory insurance of employer's civil liability shall be fixed by the Cabinet of Ministers of the Republic of Uzbekistan and depend on a type of employer's activity. The insurance premium shall be calculated by way of multiplying an insurance sum by an insurance tariff which corresponds to the type of employer's activity.