Turkiye Sigorta, 2020: GWP of to TRY 8.99 billion secured the company the market leading role

11 March 2021 — Daniela GHETU
Turkiye Sigorta (Turkey Insurance), the state-controlled insurer of Turkey established last year, that has brought together all the local insurers in which the state had a significant shareholding, ended 2020 with GWP worth TRY 8.88 billion, almost 24% up y-o-y, thus ranking first, with a 13.04% market share.

According to the company's annual report, GWP for the main business lines amounted to:

  • TRY 1.728 million (market share of 16.32%) in the Fire and Natural Disasters branch,
  • TRY 405.6 million (18.13% market share) in the Accident branch
  • TRY 899 million premium production industry leader with its production and 25.63% market share in the Engineering branch
  • TRY 2.304 million TL (market share of 58.43%) in the State Supported Agricultural Insurance branch
Gross claims paid by the company reached TRY 2.44 billion, about 2.5% less y-o-y. The technical profit of the company reached TRY 1.34 billion vs. TRY 0.91 billion the previous year, while the Net Profit reported was of TRY 1.15 billion, up by about 40% y-o-y. The volume of assets held by the company rose at the end of 2020 at TRY 10.74 billion, from TRY 8.7 billion the previous year.

In 2020, total insurance premium production of the Turkish market increased by 19.3% compared to the previous year and reached TRY 82.6 billion. Out of this total, the premium production of the sector was TRY 68.1 billion in the non-life branch and TRY 14.4 billion in the life branch, with nominal growth rates of 17.7% and 27%, respectively. When real change is calculated by deducting inflation, it is seen that the sector grew by 4.1% in premium production. In real terms, the life branch grew by 10.9%, while the real growth in the non-life branch was 2.7%.

"The insurance sector, which stood by the insured during the natural disasters and pandemic process in 2020, exhibited a strong stance and passed a successful test. Our industry, which took action to cover the treatment expenses caused by the pandemic within the scope of health insurance, even though it is not covered by the coverage, worked to increase its contribution to the national economy with a proactive approach. As of December 15, 2020, the compensation amount in health insurances, including COVID-19 payments, reached approximately TRY 105.9 million. Likewise, in natural disasters, our industry quickly went to the field and completed compensation payments. In the Izmir earthquake, TRY 180 million were paid in compensation within the scope of Compulsory Earthquake Insurance," Atilla Benli, Chairman of the Board of Directors and General Manager said commenting on the 2020 events in the Turkish insurance sector. As for the Turkey Insurance's goals for the near future, he explained that "in line with its strategic goals, the company will turn into a technological insurance company with a strong information technology infrastructure and digitalization."

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