IIFC Day 2 – There is no insurance without distribution channels

15 November 2023 — XPRIMM Teams

The second day of the 2nd International Insurance Fair began with a panel titled "The Role of Intermediaries in the Future," emphasizing the significance of agents and brokers in the industry and underscoring that a future without intermediaries is not plausible.

Moderated by the Undersecretary of the Ministry of Treasury and Finance, Ahmet GENÇ, the panel featured speakers including Adnan ÇELIK, President of TÜSAF; Ferhan ÖZAY, President of SBD; Mehmet Turgay ÖZATA, Deputy General Manager of Türkiye Sigorta; Ergin KILIÇ, Group President of SEDDK; and Nevzat YAVUZ, Sector Council President of TOBB.

Addressing the role and challenges of intermediaries, the panel explored future predictions concerning intermediaries within the context of digitization and technological advancements.

Ahmet GENÇ, Undersecretary of the Ministry of Treasury and Finance, highlighted the crucial roles played by insurance intermediaries and anticipated their continued existence in the future. However, he predicted that, given the ongoing digital transformation and increased customer usage, more insurance transactions would occur through platforms.

Ferhan ÖZAY, President of SBD, emphasized their customer-centric approach in all activities, stressing the importance of innovations and technology usage. Emphasizing the necessity of innovation to maintain a competitive advantage, ÖZAY stated, "Innovation efforts should be supported to ensure sustainability in the future. Furthermore, risk consultancy and management are crucial. Practices used globally to reduce risks should be integrated into services."

Highlighting the role of intermediaries, Mehmet Turgay ÖZATA, Deputy General Manager of Türkiye Sigorta, stated that insurance companies cannot reach their customers without agents. As of the end of September, 60% of the sector's production was carried out by agents, and 16% by brokers. ÖZATA remarked, "Agents and brokers must always be a part of our lives. As companies, the main reason for investing in technology is to improve operational processes, effective customer management, and survival in a competitive environment. We create opportunities for our intermediaries. In this way, they can reach more customers. To survive in the future, they must be part of this development."

Adnan ÇELIK, President of TÜSAF, traced the development of the insurance profession over time and conveyed the current issues faced by the sector and agents. Stressing that existing problems can only be solved collectively with all stakeholders and through common wisdom, Çelik called on everyone to bring the sector to where it deserves.

Ergin KILIÇ, Group President of SEDDK, emphasized that SEDDK is working tirelessly to respond to the changing needs of the sector. KILIÇ stated, "In this regard, we quickly implement the relevant regulations by taking into account all requests from intermediaries. We will continue to support agents and brokers."

Delivering a presentation on unfair competition, Nevzat YAVUZ, Sector Council President of TOBB, discussed the issues faced by agents due to financial institutions. Yavuz urged, "Legal regulations should be introduced to solve the problems caused by the current situation. Everyone should do their own job."