Azerbaijani microfinance institution AccessBank has announced that it will be offering insurance policies for vehicle owners. The service was established in connection with a new law in the Azerbaijan Republic regarding mandatory insurance of vehicle owners’ third-party liability. The policies will be offered through three undisclosed insurance companies in the country. Depending on the vehicles’ engine size, the annual cost of insurance may range from AZN 50 (USD 64) to AZN 250 (USD 318) for individuals and AZN 60 (USD 76) to AZ 300 (USD 382) for legal entities. The maximum amount of insurance coverage for each insured accident is AZN 50,000 (USD 63,646).
Andrew Pospielovsky, the general manager of AccessBank, said, “Many banks and insurance agents offer customers the policies of only one specific insurance company. At AccessBank, customers are free to choose a policy from three leading insurance companies, and simultaneously benefit from the excellent customer service offered by AccessBank staff.”
As of December 2011, AccessBank reported to the US-based nonprofit Microfinance Information Exchange (MIX) total assets of USD 488 million, a gross loan portfolio of USD 378 million and approximately 120,000 borrowers. AccessBank is affiliated with Access Microfinance Holding AG, a joint-stock company based in Germany that holds stakes in six microfinance institutions.
By Kristha Abores, Research Associate
About AccessBank:
AccessBank was founded in 2002 as the Micro Finance Bank of Azerbaijan (MFBA) and was renamed AccessBank in 2008. AccessBank is owned by six organizations: the European Bank of Reconstruction and Development (20 percent), an institution owned by 61 countries and two intergovernmental institutions; the International Finance Corporation (20 percent), the investment arm of the World Bank Group; the Black Sea Trade and Development Bank (20 percent), a financial institution with eleven European member countries; Germany’s KfW Bankengruppe (20 percent); Access Microfinance Holding AG (16.53 percent), a commercial microfinance holding company based in Germany; and LFS Financial Systems GmbH (3.47 percent), a German consulting and management company that focuses on microfinance projects. As of December 2011, AccessBank reported to the US-based nonprofit Microfinance Information Exchange (MIX) total assets of USD 488 million, a gross loan portfolio of USD 378 million and approximately 120,000 borrowers. As of December 2010, AccessBank reported return on assets of 7.68 percent and return on equity of 40.14 percent.
About Access Microfinance Holding AG (AccessHolding):
Access Microfinance Holding AG (AccessHolding) was established in 2006 in Germany by LFS Financial Systems GmbH (LFS). It invests in microfinance institutions (MFIs) and aims to develop its investments through equity finance, holding services and management services rendered by LFS, which acts as its technical partner. AccessHolding establishes new MFIs together with external partners and transforms existing non-bank microlending institutions into microfinance banks that offer a wider range of services such as deposits. AccessHolding is a joint-stock company with committed capital of EUR 26.4 million (USD 37 million). As of March 2012, AccessHolding has investments in AccesBanque Madagascar (39.2 percent share); AccessBank Azerbaijan (16.5 percent share); AccessBank Tanzania (42.9 percent share); AB Microfinance Bank Nigeria Limited (50.1 percent share); AccessBank Liberia (52 percent share); and AccessBank Tajikistan (52 percent share).
Sources and Additional Resources:
[1] “AccessBank Launches vehicle insurance,” http://www.accessbank.az/en/page/2012-02-28.html
MicroCapital.org article, January 10, 2012, “MICROCAPITAL BRIEF: European Fund for Southeast Europe Lends $24m to AccessBank of Azerbaijan, Kreditimi Rural I Kosoves of Kosovo, Byblos Bank Armenia, Alter Modus of Montenegro,” https://www.microcapital.org/microcapital-brief-european-fund-for-southeast-europe-lends-24m-to-accessbank-of-azerbaijan-kreditimi-rural-i-kosoves-of-kosovo-byblos-bank-armenia-alter-modus-of-montenegro/
MicroCapital.org article, January 4, 2012, “MICROCAPITAL BRIEF: Microfinance Institution AccessBank of Azerbaijan Disburses 500,000th Loan,” https://www.microcapital.org/microcapital-brief-microfinance-institution-accessbank-of-azerbaijan-disburses-500000th-loan/
MicroCapital.org article, January 26, 2011, “MICROCAPITAL BRIEF: AccessBank of Azerbaijan Reports Deposit Portfolio Increase of 86 Percent During 2010,” https://www.microcapital.org/microcapital-brief-accessbank-of-azerbaijan-reports-deposit-portfolio-increase-of-86-percent-during-2010/
MicroCapital Universe Profile: AccessBank, https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=AccessBank
MicroCapital Universe Profile: Access Microfinance Holding AG (AccessHolding), https://www.microcapital.org/microfinanceuniverse/tiki-index.php?page=Acc…
Browse the MicroCapital Universe and add your entry to the wiki at: https://www.microcapital.org/microfinanceuniverse/
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