During primary application to Financial Market Supervisory Authority (FIMSA), the scanned versions of the documents on following requirements are attached to the application (Written application form is shown in Annex 1):
Documents certifying the required information on the founders of the insurance company:
Citizen of Azerbaijan Republic willing to become a founder or shareholder of the insurance company must meet following criteria:
1. Possess sufficient funds to purchase relevant shares;
2. Possess safe background clearance if willing to become preferred shareholder or take main control of the company. (No criminal record due to deliberately performed felony, no previous imprisonment due to serious or very serious criminal action on property damage and business activity, and no restriction by the court on expected position or business activity).
Local legal entity willing to become founder or shareholder of the insurance company must meet following criteria:
1. Compliance with the financial stability norms in the business field as required by the legislation;
2. If willing to become preferred shareholder or take main control – the chief executives must pass safe background clearance.
Foreign insurer must meet following criteria if willing to become the founder or shareholder of the insurer:
1. Compliance with the norms of financial stability and payment capacity as required by the legislation of their own country;
2. Confirmation by the financial monitoring authority of their own country on not having financial fraud or criminal activity in their business;
3. Performing insurance and/or reinsurance activity without a break in the last 5 years in their own country;
4. Possessing a relevant rating given by the international rating organizations and relevant to the rules set by the financial supervisory authority.
Copy of the open joint stock company Charter. In case the founders are more than one, the copy of the approved registration agreements;
Information on the founders of legal entities and their below mentioned documents:
1. Notarial copy of the certification of registration as a legal entity;
2. Notarial copy of business registration documents;
3. Accounting balances, approved financial reports including the profit and loss statements along with the review by independent auditors for the last three years, and if the business is less than three years old, all the activity period including the last quarter before the submission of the documents;
4. Official copy of the decree of relevant authority on obtaining intended participation share.
National Identification information, documents indicating permanent resident address, work place (type of job) and documents certifying the sufficient assets to purchase the shares by the individuals.
Official documents certifying the authority of person to apply on behalf of the founders;
Information on preferred shares of founders in other legal entities, as well as the information on preferred shares of other entities in the nominal capital for each legal entity;
Business plan at least for the next 3 years indicating the following information:
1. Organizational work plan and the substantiated amount of funding for this purpose;
2. Amount of funding for the first phase of the activity;
3. Types of insurance risks and adopted responsibilities;
4. Marketing plan, description of future client base and expected client groups;
5. Principle of reinsurance policy and reinsurance program;
6. Financial outcomes forecast of established insurer;
7. Information on independent auditor that will do audit;
8. Simplified balance sample reflecting the plan on business development and payment capacity increase as an income and expense form, as well as indicating the forecasted numbers of the amount and structure of transactions, insurance fees, commission rewards, business expenses, insurance payments, investment income and taxes;
9. Description of office building, computer and telecommunication systems, electronic accounting and other computer programs that will be used;
10. Description of internal control mechanisms.
List of persons to be appointed as chief executives and their application on background clearance with the approval of Notary.
Note: Documents provided by the foreign countries must be legalized as per legislation and must be translated into Azerbaijani language (translation must be notarized).
During the final application for financial supervisory authority (Written final application form is provided in Annex 2), scanned versions of following supporting documents must be attached:
- Notarial copy of state registration certificate;
- Notarial copy of the Charter;
- Information on chief executives, as well as the notarial copy of the documents reflecting their education and work experiences;
- Notarial copy of the document indicating the right on using the office building for established open joint stock company as an insurer;
- Official copy of the documents certifying the transfer of nominal capital of established open joint stock company as an insurer to the dedicated bank account;
Insurance rules on requested volunteer insurance type (types).
Note: Appointed senior chief executives must pass the test exam by FIMSA.