Key Points

  1. Kazakhstan has prepared a program to develop its insurance market by 2030, which includes changes in mandatory and voluntary insurance, new mechanisms for resolving insurance cases, and the development of digital sales channels and a system of obligatory insurance of housing from natural disasters.
  2. The program aims to expand insurance protection for the population and businesses, increase the availability of products, and improve the transparency of the work of insurance organizations.
  3. The reform includes six strategic directions and 18 initiatives, with a focus on transitioning to a unified model of obligatory insurance with flexible tariff regulation.

Why Kazakhstan's Insurance Market Reform Matters

Kazakhstan has prepared a program to develop its insurance market by 2030, which includes changes in mandatory and voluntary insurance, new mechanisms for resolving insurance cases, and the development of digital sales channels and a system of obligatory insurance of housing from natural disasters.

The program aims to expand insurance protection for the population and businesses, increase the availability of products, and improve the transparency of the work of insurance organizations.

The reform includes six strategic directions and 18 initiatives, with a focus on transitioning to a unified model of obligatory insurance with flexible tariff regulation.

At a Glance

Main CompanyAgency for Regulation and Development of the Financial Market
Regulator of the insurance market in Kazakhstan
Main ExecutiveNurzhan Tursunhanov
Deputy Chairman of the Agency for Regulation and Development of the Financial Market
IndustryInsurance
The program aims to develop the insurance market in Kazakhstan
Key Product/ServiceInsurance services
The program includes changes in mandatory and voluntary insurance
Key RegulationNew law on the insurance market
The agency has prepared a project of a new law on the insurance market to modernize the system of regulation and improve the structure of classes and types of insurance

Where the Sides Stand

Insurance companies

Position: Support the reform

Role in the story: Industry stakeholders

Motivation: To increase their market share and profitability (our reading)

Regulators

Position: Implement the reform

Role in the story: Regulatory body

Motivation: To improve the transparency and efficiency of the insurance market

Behind the Headlines: Kazakhstan's Insurance Market Reform

Behind the Headlines: Kazakhstan's Insurance Market Reform

The program includes six strategic directions and 18 initiatives, with a focus on transitioning to a unified model of obligatory insurance with flexible tariff regulation.

The reform will affect the mandatory and voluntary insurance, new mechanisms for resolving insurance cases, and the development of digital sales channels and a system of obligatory insurance of housing from natural disasters.

The agency has prepared a project of a new law on the insurance market to modernize the system of regulation and improve the structure of classes and types of insurance.

What to Expect from Kazakhstan's Insurance Market Reform

What to Expect from Kazakhstan's Insurance Market Reform

The reform will expand insurance protection for the population and businesses, increase the availability of products, and improve the transparency of the work of insurance organizations.

The key initiatives include:

  • Transitioning to a unified model of obligatory insurance with flexible tariff regulation
  • Developing digital sales channels and a system of obligatory insurance of housing from natural disasters
  • Expanding the availability of insurance products and improving transparency

Risk & Opportunity Assessment

Commercial RiskMediumThe reform may lead to increased competition among insurance companies, which could result in a decrease in market share and profitability for some companies
Competitive RiskMediumThe reform may lead to increased competition among insurance companies, which could result in a decrease in market share and profitability for some companies
Regulatory RiskMediumThe reform may lead to changes in the regulatory framework, which could result in increased costs and complexity for insurance companies
Reputation RiskLowThe reform is expected to improve the transparency and efficiency of the insurance market, which could result in increased trust and confidence among consumers
Technology DisruptionLowThe reform includes the development of digital sales channels, which could result in increased efficiency and cost savings for insurance companies
Commercial OpportunityHighThe reform is expected to expand insurance protection for the population and businesses, increase the availability of products, and improve the transparency of the work of insurance organizations