Insurance market grows 24%: payouts rise even faster

According to navigator.az, citing the Central Bank of Azerbaijan, 20 insurance companies in the country collected 221.068 million manats in insurance premiums in January-February this year. This is 24% more than in the same period last year.

At the same time, insurance payouts amounted to 70.514 million manats, up 81.1% year on year. As a result, out of every 100 manats collected in premiums, 31.9 manats were returned as payouts. Last year this figure stood at 21.8 manats.

What the numbers show

A 24% rise in premiums alongside an 81.1% rise in payouts means insurers settled claims on a significantly larger scale this year than the year before. The jump in the payout-to-premium ratio from 21.8 to 31.9 manats points to risks materializing faster across the market. This trend is most visible in segments tied to auto insurance (CASCO, mandatory coverage) and property insurance, since these are the most commonly insured assets.

What shows up in Prayk

Insurance costs are usually directly linked to car and apartment ownership, so it's useful to look at the market picture for these assets. Prayk's catalog currently lists 48,100 listings in the "Cars" section, with a median asking price of 14,000 AZN. On the real estate side, the "Apartments" category holds 98,111 listings; in Baku, the median sale price is 275,000 AZN for new buildings and 178,000 AZN for older ones. These figures help gauge the average value of insurable assets — since the size of an insurance premium often depends on an asset's market value.

What buyers and sellers should do

When buying a car or apartment, it makes sense to factor in insurance costs in advance, since rising payouts suggest insurance rates in the market may be reconsidered as well. When choosing a car, it's worth checking current prices in the Cars section, and browsing spare parts if needed. When buying an apartment, compare current prices in the Real Estate section, and use the price calculator to assess value. The rise in insurance payouts is, in essence, another reminder of how important it is to properly assess an asset's value.

Source: navigator.az, 2026.