Economic difficulties due to Covid-19 negatively affected to the insurance companies’ business listed on Mongolian Stock Exchange. For instance, Mongol Daatgal JSC announced that the company planned to decrease its main performances of 2020 plan by 13-15 percent.
Furthermore, the company has created an opportunity to work from home to its employees and decreased working time of some employees by up to 50 percent. Also, the company has been introducing online insurance service, moreover, they have tested artificial intelligence system for damage assessment and compensation in order to solve driver’s liability insurance claims quickly. The artificial intelligence system will be introduced from May 01, 2020.
Mongol Daatgal JSC operated with profit of MNT 105 million in 2019 but the company decided not to distribute dividend for 2019.
In addition, Net profit of Mandal Insurance JSC rose by around 50 percent in 2019 and reached MNT 5.9 billion. The company announced that they will distribute MNT 2.5 billion dividend for 2019 at the shareholders meeting which was held on April 23, 2020. Share price of the company rose by 2.02 percent and closed at MNT 43.88 but its share price has decreased by 12.3 percent since the beginning of this year.