Azerbaijan’s three largest insurers collected 77.66% of active companies’ premiums in January–August 2026. The top five accounted for 86.67%. FinFly calculated concentration using the premiums of 15 participants in the Central Bank’s table.
The overall figure conceals even stronger concentration within individual segments. The top three life insurers collect 95.86% of life premiums. In non-life, the corresponding share is 78.53%.
One leader shapes each segment
PAŞA Həyat accounts for 80.99% of life insurers’ premiums. PAŞA Sığorta holds 57.42% of non-life premiums. With that distribution, changes at a single large participant materially affect its entire segment.
CR3 adds the market shares of the three largest companies, while CR5 adds the top five. HHI includes every participant: market shares expressed as percentages are squared and added together. A higher result indicates greater concentration.
| Segment | CR3, % | CR5, % | HHI |
|---|---|---|---|
| All insurers | 77.66 | 86.67 | 2 864.07 |
| Life | 95.86 | 100.00 | 6 716.94 |
| Non-life | 78.53 | 87.67 | 3 605.76 |
An aggregate HHI can hide product differences
HHI is approximately 2,864 for the complete list, 6,717 for life and 3,606 for non-life. Combining different products makes the market appear more diverse than the choices available to someone buying a particular policy.
The calculation does not consolidate companies by ultimate ownership and is not a competition-law finding. It measures premium distribution between legal entities. Group-level consolidation could change the picture, but would require a separate ownership review.
Scale and competition are different questions
Concentration can give large insurers advantages in costs, technology and customer access. By itself, however, it does not prove excessive pricing or poor service.
Assessing competition requires product terms, available alternatives and evidence of customers switching providers. Premiums establish the market’s starting structure: smaller participants compete with leaders whose operating scale is many times larger, not merely with their immediate neighbours in a ranking.
