President of Rosgosstrakh group of companies Danil Khachaturov said that legislative initiatives are required in Armenia for introduction of life insurance.

“If we consider that it is high time to introduce this service, we will establish a company providing it,” Khachaturov told a PanARMENIAN.Net reporter.

“Tax privileges are needed for life insurance development in the country. Employees and employers should be confident that if a part of salary is transferred to a non-state pension fund or life insurance company, it is tax-free. In other words, the state lends you for 15-20 years at a zero interest rate so that you save funds for yourself,” he said.

According to Khachaturov, Armenia has a great potential for the insurance market development.

In his opinion, currently insurance should make 2.5-3% of the country’s GDP. “This figure makes 15% in Great Britain, basically at the expense of life insurance. The government should teach the Armenian people to save funds for old age, while life insurance should be stimulated to this end. It is the main type of insurance worldwide,” concluded Khachaturov.