Today in Courtyard by Marriott President of the National Bank of Georgia Mr. Giorgi Kadagidze met the top managers of the insurance companies. Main issues of the meeting were sum-up of last year impacts of the insurance companies and general tendencies of sector developments.

Since December 1, 2009 after reinforcement of new organic law on the National Bank of Georgia function of state supervision on insurance activities was assigned to the National Bank of Georgia.

Significant changes were carried out during one year for the insurance sector regulation and bringing into line with modern international standards: normative base was improved, new regulations were imposed.

“Of course, we still have a long way to go till perfection, but the results of the reform are obvious and it is proven by a sharp decrease of in fining trends” – said Giorgi Kadagidze, the president of the National Bank of Georgia.

In the first quarter of 2010 the overall rate of fining of companies due to different types of violation was 664,766.98 GEL while this indicator decreased to 52,000.00 in the first quarter of 2011.

16 insurance companies were registered on the Georgian insurance market by the end of 2010. By the end of 2010 assets of the insurance sector were 448 million GEL (GDP - to 2.2%).

During 2010, the number of signed policies amounted to 2.6 million, which is significantly higher than the corresponding data of 2009. The increased number of policies issued to individuals should also be noted (361 thousand signed policies) which indicates to the development of retail insurance market.

In 2010 the total insurance premium attracted by insurance companies amounted to 372.5 million GEL. It should also be noted that the medical (health) insurance is still a leader according to the types of insurance by the total premium attracted – 66.3 percent.

“For the National Bank as for a controller of the insurance sector, it is very important that insurance companies fulfill their commitments to every customer, especially when it comes to the fulfillment of the state insurance programs. We still have problems in this regard and we must solve them”, - Giorgi Kadagidze said.