From the beginning of the year, selected insurers have forfeited licenses on some insurance activities. SALEM’s license for voluntary insurance was cancelled on August 28. Additionally, the license for general insurance of Kompetenz was suspended for 6 months, wrote allinsurance.kz.
The main reason for retraction is usually multiple violations of the prudential regulation requirements. According to insurance ombudsman Andrey KOPOV, if a company fails to fulfill the prescribed measures within a one-month period, its license must be suspended for a period of 3-6 months. At the end of that period, in case of failure to amend all violations, the National Bank makes a ruling on the company’s license cancellation. There are other reasons for license suspension as well. The license of NURPOLICY, a subsidiary insurer of Nurbank, was cancelled due to its merger to VICTORY, according to Kapital.kz.