Article 7. Guarantees of the Insurance Benefit Guarantee Fund Act

Home / RLA / Article 7. Guarantees of the Insurance Benefit Guarantee Fund Act

 1. From the date of the decision by the authorized body to revoke the license of the participating insurance company and appoint a temporary administration, the Fund assumes obligations to:

1) payment of the insurance portfolio of the insurance (reinsurance) organization being liquidated, transferred to the participating insurance organization in accordance with the procedure and on the terms provided for by the legislation of the Republic of Kazakhstan on insurance and insurance activities;

2) making guarantee payments to creditors for insured events that have occurred under insurance contracts for which the liquidated insurance (reinsurance) organization has unlawfully refused (in whole or in part) or failed to make insurance payments in full, prior to the date of transfer (acceptance) of the insurance portfolio of the liquidated insurance (reinsurance) organization in accordance with the procedure provided for by the Law of the Republic of Kazakhstan "About insurance activities."

2. Excluded by the Law of the Republic of Kazakhstan dated 07/12/2022 No. 138-VII (effective sixty calendar days after the date of its first official publication). IZPI's note! Paragraph 2-1 is provided for in the wording of the Law of the Republic of Kazakhstan dated 30.06.2025 No. 205-VIII (effective sixty calendar days after the date of its first official publication).

2-1. The guaranteed types (classes) of insurance, for which this Law provides for mandatory participation in the Fund, include:

1) all types of compulsory insurance, with the exception of types of insurance, in which the requirement for compulsory insurance, types and minimum conditions of insurance (including the object of insurance, insurance risks and minimum amounts of insurance amounts) are established by the laws of the Republic of Kazakhstan, and other conditions and procedures of insurance are determined by agreement of the parties (imputed insurance);

2) life insurance carried out in accordance with the Law of the Republic of Kazakhstan "On the State educational Accumulative System";

3) Pension annuity insurance;

4) annuity insurance provided in accordance with the Law of the Republic of Kazakhstan "On compulsory insurance of employees against accidents in the performance of their labor (official) duties."

2-2. As part of the guarantee of annuity insurance, the Fund provides:

continuity and timeliness of insurance payments under existing annuity insurance contracts concluded by a liquidated insurance (reinsurance) organization, from the date of appointment by the authorized body of the interim administration on the basis of its decision to revoke the license of the insurance (reinsurance) organization until the transfer of the insurance portfolio to another insurance (reinsurance) organization licensed in the life insurance industry";

payment of an insurance premium under an annuity insurance contract concluded in connection with the establishment or extension (re-examination) of the degree of professional disability of an employee upon termination (liquidation) of a legal entity (employer).

The procedure and conditions for the Fund to make the guarantee payments specified in part one of this paragraph and other payments are determined by a regulatory legal act of the authorized body.

3. The Fund undertakes obligations to make payments to compensate for damage to the life and health of the victim and (or) funeral expenses in the cases provided for in subparagraph 2) paragraph 1 of Article 8 of this Law.

4. The Fund keeps records of insurance contracts subject to the Fund's guarantees in order to:

1) implementation by the Fund of the functions provided for by this Law;

2) providing creditors with the opportunity to verify the validity of the Fund's guarantees in respect of their insurance contracts.

The Law of the Republic of Kazakhstan dated June 3, 2003 No. 423.

This Law defines the legal status, the procedure for the establishment and operation of the Insurance Benefit Guarantee Fund, as well as the conditions for the participation of insurance organizations, branches of insurance organizations that are non-residents of the Republic of Kazakhstan in the Insurance Benefit Guarantee Fund and the principles of ensuring control over its activities.

President

Republic of Kazakhstan

Constitution Law Code Standard Decree Order Decision Resolution Lawyer Almaty Lawyer Legal service Legal advice Civil Criminal Administrative cases Disputes Defense Arbitration Law Company Kazakhstan Law Firm Court Cases