Granting licenses to insurance companies to issue bonds
In an interview with Iran Economist, Ali Fanadi Naini said about the investment of insurance companies in the country’s economy: Recently, the bylaws of investment of insurance companies in the central insurance were amended, as well as the emergence of insurance companies in the investment of knowledge-based and venture companies, as well as the connection of life insurance to the financial assets of policyholders and funds. Gold is the way people attach the value of their money to gold.
He said: Last year, the insurance industry invested 120 thousand billion tomans in the country’s economy.
He also said: In the world, life insurance companies invest in the capital market in various formats and regulate the capital market, and recently, companies such as Karisma, Aghah and Istatis, which are specialized life insurance companies, are present in the capital market.
The vice president of central insurance planning and development also said: One of the manifestations of the cooperation between the capital market and the insurance market is the issuance of reinsurance bonds and the securitization of reinsurance, which was done in the interaction between the stock market and the Jurisprudence Council, and one of the new trends in the discussion of reinsurance is the permission to issue Reinsurance bonds are those that we have obtained permission from the capital market and we have given permission to issue these bonds to two reinsurance companies and one general insurance company, and these three companies can issue reinsurance bonds in the capital market.
Regarding whether the reinsurance bonds will be released in the capital market by the end of the year, Fanadinaini said: It is possible to release reinsurance bonds in the capital market from 1403.
The vice president of central insurance planning and development said about the share of insurance in the gross domestic product: this share is actually the insurance penetration rate which is currently 1.82 percent and the insurance penetration rate should reach 7 percent during the sixth plan, which in practice We have a distance.
He said about the ways to increase the penetration rate of insurance: One of these ways is the cooperation between the insurance and the bank. and they receive insurance service packages without having to pay Riyal at first, the insurance policy is paid by the relevant bank, and the customer gradually pays the installments of this bank credit to buy the insurance policy. For example, a person who wants third party insurance, liability insurance, fire insurance buy life insurance, but at the moment he has no money, so he buys insurance policies through the credit provided by the bank and pays the installments over time. It helps to increase the penetration rate of insurance in the country.
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