Kyrgyzstan introduced a mandatory home insurance

Almaty. February 1. Silkroadnews – As of February 1, 2016, Kyrgyzstan enacts the law on compulsory property insurance, KyrTAG informs.
Earlier, the Prime Minister of the Republic of Kyrgyzstan Temir Sariyev said that as of February 1, 2016, the state insurance company shall start operating. From that day on the citizens of Kyrgyzstan are obliged to insure their housing.
“All the houses should be insured on a mandatory basis. If a house was not insured, but damaged or destroyed in the disaster, the government will not grant funds for its restoration,” -  said T. Sariyev.
Compulsory insurance of property will be divided into two categories – for the urban and for the rural areas.
“In rural sector the minimum amount of insurance shall make 600 som per year (50 som per month) and will cover the responsibility for 500 thousand som. Insurance in urban area will be twice more expensive - 1200 som and responsible for 1 million som. This is the minimum amount under the compulsory insurance of property,” - said the chairman of the State Service of regulation and supervision of financial market Sanjar Mukanbetov.
According to official data there are 1 million housing units in Kyrgyzstan.
It should be noted that in 2015 a law on compulsory motor insurance and also a law of property insurance against fire and natural disasters have been enacted. Compulsory Third Party Law will come into effect as of February 7, 2015, though the fine for lack of the insurance policy will be enacted as of January 1, 2018, only.