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ASSOCIATION OF THE INSURANCE
AND REINSURANCE COMPANIES OF
TURKEY–TSRŞB
TURKISH INSURANCE
SECTOR
March 2011
ASSOCIATION OF THE INSURANCE AND
REINSURANCE COMPANIES OF TURKEY

The Association of the Insurance and
Reinsurance Companies of Turkey is a
specialist
institution
with
the
characteristics of a unique nongovernmental institution operating under
Insurance Law No. 5684.

All local or foreign insurance and
reinsurance companies operating in
Turkey are members of the Association.
As of March 2011, the Association has a
total number of 64 members, 62 of them
being insurance companies and the
remaining
2
being
reinsurance
companies.
COMMITTEES OF THE ASSOCIATION
The Association established the following
committees to facilitate the preparation and
revision of all legislation, tariffs, working
guides and general clauses relating to insurance;
to foster the insurance sector and to conduct
studies and research on sectoral problems:
Fire Insurance
Marine Insurance
Casualty Insurance
Non-life Claims
Engineering Insurance
Life Insurance
Health Insurance
Liability Insurance
Agriculture Insurance
Financial & Accounting
Law & Legal Protection
AML/CFT
INTERNATIONAL MEMBERSHIPS
• CEA, The European Insurance and Reinsurance Federation
www.cea.eu
• IAIS, International Association of Insurance Supervisors
www.iaisweb.org
• IMIA, International Association of Engineering Insurers
www.imia.com
• IUMI, International Union of Marine Insurance
www.iumi.com
• ICC, International Chamber of Commerce
www.iccwbo.org
• FALIA, The Foundation for the Advancement of Life & Insurance www.falia.jp
TURKISH INSURANCE
SECTOR
MAIN CHARACTERISTICS OF THE MARKET

The Turkish insurance market is a fast growing market.

The market faces a problem in its technical profits
stemming from price competition, especially in the motor
branch.

Two different licences are required for the operation of
life insurance and private pension system.

As of March 2011, 2.4 million people are in the private
pension system. The total amount of participants’ funds is
8.3 Billion USD.
6
TURKISH ECONOMY IN 2010

National Income:
 GDP *: 1.080 Billion TL = 717 Billion USD
 GDP per capita*: 9 728 USD

Inflation:
 CPI (consumer price index): 6.40 %
 PPI (producer price index): 8.87 %

Unemployment: 11.4 %
*: Estimated figures
WORLD INSURANCE SECTOR & TURKEY
(2009)

Total premiums: 4.1 Trillion USD (- 1.1 % decrease)

Premium size in:




Developed countries: 3.5 Trillion USD
Developing countries: 533 Billion USD
Turkey: 7.9 Billion USD
Real increase (inflation-adjusted):
 Developed countries : - 1.8 %
 Developing countries : 3.5 %
 Turkey: - 18.9 % ( - 2.3% in local currency)
WORLD INSURANCE SECTOR & TURKEY
(2009)

World premiums in percent of GDP : 7%







Developed countries:
Developing countries:
United Kingdom:
Poland
Hungary
Turkey:
8,6 %
2,9 %
12,9 %
3,8 %
3,1 %
1,3 %
World premiums per capita: 595 USD






Developed countries :
Developing countries:
United Kingdom:
Poland
Hungary
Turkey:
SOURCE: Swiss Re, Sigma No: 2/2010
3 405 USD
92 USD
4 579 USD
630 USD
398 USD
109 USD
WORLD INSURANCE SECTOR & TURKEY
(2009) ($)
Premium
Production
(Million $)
Real Premium
Increase
(in %)
World
share
(%)
Premiums in
percent of
GDP
(%)
Premiums per
capita
($)
America
1 349 495
- 6.1
33.19
6.91
1 470
Europe
1 610 620
1.8
39.61
7.58
1 862
Asia
989 451
2.8
24.33
6.08
243
Africa
49 287
- 11.1
1.21
3.26
49
WORLD
4 066 095
- 1.1
100
6.98
595
Developed Countries
3 532 716
- 1.8
86.88
8.61
3 405
Developing Countries
533 379
3.5
13.12
2.89
92
7.938
-18.9
0.19
1.29
109
TURKEY
SOURCE: Swiss Re, Sigma No: 2/2010 and TSRŞB Annual Report 2009.
EU INSURANCE SECTOR AND TURKEY
(2009) ($)
Premium
Production
(Million $)
Real
Premium
Increase
(%)
Premiums in
% of GDP
Premium
Prod. per
Capita ($)
Number of
Companies*
(2008)
Number of
Employees*
(2008)
UK
309 241
- 9.43
12.9
4 579
1 096
175 700
France
283 070
8.20
10.3
4 269
460
144 000
Germany
238 366
3.64
7.0
2 878
606
216 300
Netherlands
108 144
- 1.51
13.6
6 555
335
51 010
Poland
16 286
- 16.86
3.8
430
66
29 584
Hungary
3 986
- 10.20
3.1
398
30
27 806
1 481 834
2.2
8.4
2 775
4 783
912 473
7.938
- 18.9
1.29
109
61
16 007
EU-27
TURKEY**
Data related to premiums are taken from Swiss Re, Sigma No: 2/2010.
* Data related to number of companies and employees are taken from CEA Statistics No: 37, European Insurance in Figures, Oct. 2009.
** Data related to Turkey are taken from TSRŞB, Annual Reports 2008-09.
TURKISH INSURANCE SECTOR
INSURANCE AND REINSURANCE COMPANIES
As of March 2011, the Association has 64 members. Out of these 64
companies, 62 are insurance (10 life, 14 life and pension and 38 non-life
companies )and remaining 2 are reinsurance companies.
INSURANCE AND REINSURANCE COMPANIES
2006
2007
2008
2009
2010
Insurance companies
53
56
59
58
62
Life
21
21
23
22
24
Non life
32
35
36
36
38
Reinsurance companies
2
2
2
2
2
TOTAL
55
58
61
60
64
WORKING AREA
EMPLOYMENT IN INSURANCE AND
REINSURANCE COMPANIES
As of the end of 2010, the number of people employed in the
insurance sector reached 20.418.
Employment in Insurance and Reinsurance Companies
Year
2006
2007
2008
2009
2010
No. of
Employed
13 550
14 950
16 007
18 841
20 418
Around 16.000 agents, 81 broker and 1.072 loss adjuster operate in
Turkish insurance market.
PREMIUM PRODUCTION
(2006 – 2010)
14
PREMIUM INCOME-ANNUAL CHANGES-PERCENTAGE
BRAEKDOWN ACCORDING TO THE BRANCHES (2010)
Branches
Accident
Sickness
Land Vehicles
Railway Rolling Stock
Aircraft
Ships
Good in Transit
Fire and Natural Forces
Other Damage to Property
Motor Vehicle Liability
Aircraft Liability
Liability for Ships
General Liability
Credit
Suretyship
Miscellaneous Financial Loss
Legal Expenses
Assistance
Non Life Total
Life
Total
2010
(USD)
397.424.366
1.132.570.860
2.069.797.633
452.138
31.543.387
71.632.338
198.302.139
1.314.968.772
659.618.242
1.690.840.817
33.374.962
361.284
217.472.793
21.149.942
10.918.568
56.254.508
28.664.055
93.677
7.935.440.481
1.448.459.228
9.383.899.709
Percentage
Breakdown
(%)
Annual
Changes
(%)
4,24
12,07
22,06
0,00
0,34
0,76
2,11
14,01
7,03
18,02
0,36
0,00
2,32
0,23
0,12
0,60
0,31
0,00
84,56
15,44
100,00
14,96
23,82
21,65
357,42
-14,87
-1,52
18,71
6,45
12,85
18,74
9,62
49,25
33,96
18,08
1,50
33,10
20,86
0,00
17,21
24,01
18,21
15
DATA ON CASCO AND MOTOR TPL
INSURANCE (2009-2010) TL
Motor TPL
Premium
2010
2.305.578.574
2009
1.702.950.436
Paid Losses
1.793.117.148
1.603.397.864
Technical Profit
-585.708.697
-296.003.657
Casco
Premium
2010
3.116.701.275
2009
2.404.707.197
Paid Losses
2.347.536.083
2.446.060.188
Technical Profit
-81.536.540
-364.079.080
16
TOP TEN INSURANCE COMPANIES
(2010)
Rank
Non-life Companies
1
Axa
12,71 Ziraat Hayat ve Emeklilik
27,59
2
Anadolu
11,89 Anadolu Hayat Emeklilik
16,38
3
Allianz
8,33 Garanti Emeklilik
4
Ak
7,41 Halk Hayat ve Emeklilik
6,48
5
Yapı Kredi
6,35 AvivaSA
5,70
6
Gunes
6,17 Yapı Kredi Emeklilik
5,03
7
Groupama
5,81 Finans Emeklilik ve Hayat
3,91
8
Ergo
5,81 Vakıf Emeklilik
3,82
9
Eureko
5,18 Allianz Hayat ve Emeklilik
3,41
10
Mapfre Genel
3,45 Deniz Emeklilik ve Hayat
2,77
Top Ten Companies
Market
Share (%)
Life Companies
73,09 Top Ten Companies
Market
Share (%)
10,74
85,83
17
DISTRIBUTION CHANNELS
(2010)
TOTAL PREMIUM PRODUCTION
IN % OF GDP
* In 2007, there has been a decrease in total premium production in percent of GDP stemming from the
revision of national income calculations. As a result of this revision, national income in 2007 increased by
65% from 400 Billion USD to 658 Billion USD.
NON-LIFE PREMIUM PRODUCTION
IN % OF GDP
* In 2007, there has been a decrease in total premium production in percent of GDP stemming from the
revision of national income calculations. As a result of this revision, national income in 2007 increased by
65% from 400 Billion USD to 658 Billion USD.
20
LIFE PREMIUM PRODUCTION
IN % OF GDP
* In 2007, there has been a decrease in total premium production in percent of GDP stemming from the
revision of national income calculations. As a result of this revision, national income in 2007 increased by
65% from 400 Billion USD to 658 Billion USD.
21
TOTAL PREMIUM PRODUCTION PER CAPITA
($)
NON-LIFE PREMIUM PRODUCTION PER CAPITA
($)
LIFE PREMIUM PRODUCTION PER CAPITA
($)
24
TECHNICAL PROFIT/LOSS ACCORDING TO THE BRANCHES –
2010
Branches
Accident
Sickness
Land Vehicles
Railway Rolling Stock
Aircraft
Ships
Good in Transit
Fire and Natural Forces
Other Damage to Property
Motor Vehicle Liability
Aircraft Liability
Liability for Ships
General Liability
Credit
Suretyship
Miscellaneous Financial Loss
Legal Expenses
Assistance
Non Life Total
Life
Total
2010
USD
131.897.696
-22.815.849
-54.148.320
-380.402
-3.772.916
10.272.171
77.084.118
128.698.395
34.303.979
-320.116.714
107.315
18.463
-12.349.536
3.949.791
3.210.915
9.154.785
14.440.195
800
-445.112
95.946.185
95.501.073
Technical
Profit Ratio
2010
(%)
33,19%
-2,01%
-2,62%
-84,13%
-11,96%
14,34%
38,87%
9,79%
5,20%
-18,93%
0,32%
5,11%
-5,68%
18,68%
29,41%
16,27%
50,38%
0,85%
-0,01%
6,62%
1,42%
Technical
Profit Ratio
2009
(%)
44,10%
-8,26%
-13,84%
54,26%
-1,07%
16,15%
37,05%
9,81%
8,21%
-5,27%
-0,35%
15,21%
28,32%
-6,86%
3,58%
6,67%
57,15%
0,00%
1,04%
5,99%
1,86%
25
PROFITABILITY, ASSETS AND EQUITY
2010
Financial Profit
Ratio
(%)
2009
90.149.589
0,64
Balance Sheet Profit
(After Tax)
117.800.414
0,83
455.504.907
3,71
Shareholders Equity
7.198.125.866
1,64
8.821.077.683
5,16
36.749.023.343
0,32
31.254.635.042
1,46
Total Assets
381.540.061
Ratio
(%)
3,11
26
PRIVATE PENSION SYSTEM FIGURES
(USD)
2007
Number of
Participants
2008
2009
2010
2.274.293
1.457.704
1.745.354
1.988.322
Total Amount
of
Contributions
3.330.429.174
3.575.760.749
4.660.445.382
6.271.221.838
Total Invested
Amount
3.219.635.401
3.455.762.697
4.507.836.732
6.076.968.255
Total Amount
of Participant's
Funds
3.891.433.755
4.167.651.967
5.950.553.583
7.922.109.869
Technical Profit
-103.192.281
1.541.282
7.141.094
37.461.740
27
SWOT ANALYSIS OF THE SECTOR
STRENGTHS
strong legislative framework
human resources
experience with crises
growth potential
knowledge
good relations with public authorities
OPPORTUNITIES
WEAKNESSES
price competition
reputation problems
deficiencies in publicity
sale skills
low technical profitability
THREATS
low penetration level
need for new products
optimization of distribution channels
conservation
shrinking economy
contraction in the reinsurance market
increasing earthquake risk
cost controls
28
DEVELOPMENTS IN THE
EU HARMONIZATION
PROCESS
The Association and EU Harmonization…
-
TAIEX Seminars on “EU Insurance Legislation” and “EU Legislation on Reinsurance and
Insurance Groups” in cooperation with DG Enlargement
-
The new Insurance Law and 20 other legal documents on insurance were translated into English
-
Sessions are allocated to the “EU Harmonization of the Insurance Sector” in national and
international symposiums held by the Association
-
Series of conferences are held on the “Primary Problems of the Turkish Insurance Sector
throughout Turkey’s EU Membership Process”
-
Regular meetings are held with the officials of the Turkish Treasury General Directorate for
Insurance, Delegation of the European Commission to Turkey, Secretariat General for EU
Affairs and State Planning Organization
-
PUBLICATIONS:
EU Insurance Legislation Guide (EN+TR)
EU and EU Single Insurance Market in 15 Questions
EU Solvency II Project
Insurance Intermediation in the European Union
Regulation in the EU and Turkish Insurance Markets
Insurance Accounting in Turkey and the EU
Solvency II and Risk Management in Turkey and the EU
The EU Taxation System and the Insurance Sector
Alternative Dispute Resolution in the EU
CURRENT STATUS OF THE
NEGOTIATION PROCESS WITH THE EU
The screening process under Chapter 9, “financial
services” (the chapter including insurance) has been finalized;
HOWEVER
following the recommendation of the EU Commission, the EU Council
decided to suspend negotiations with Turkey under 8 chapters, one of
which is “financial services”. This has brought the process to a major halt.
The Turkish insurance sector, on the other hand, has accelerated the
harmonization process unilaterally. There has been significant progress in
the area of insurance and supplementary pensions and the Turkish
insurance sector is to a great extent in harmony with the EU insurance
acquis.
LEGISLATIVE
DEVELOPMENTS
Turkish Insurance Law

“Turkish Insurance Law” enshrines 12 chapters and 47 articles.

All insurance and reinsurance companies operating in Turkey,
the Association of the Insurance and Reinsurance Companies of
Turkey, intermediaries, actuaries and insurance experts are
subject to this law.

Turkish Insurance Law was approved on June 3, 2007 at the
General Assembly of the Turkish Parliament and published in
the Turkish Official Gazette (No: 26552) on June 14, 2007.
Turkish Commercial Code &
Code of Obligations

The new Turkish Commercial Code was recently enacted. The new
Turkish Commercial Code introduces important novelties in the field
of consumer protection, categorization of insurance classes,
information society, etc. The Code will enter into force by July 2012.

The new Code of Obligations was recently enacted. The code which
regulates obligations between legal and natural persons and contains
provisions relating to insurance sector will enter into force by July
2012.
Draft Law on Catastrophe Insurances

Another important legal development in the Turkish insurance
market is the Draft Law on Catastrophe Insurances.

The Draft Law not only foresees the extension of the penetration
level for compulsory earthquake insurance through new measures
but also the completion of legislative and technical infrastructure
work for the extension of the Turkish Catastrophe Pool (TCIP)
indemnity to cover all natural catastrophes (flood, landfall, storm,
avalanche, hail), environmental pollution and terrorism.

The draft Law is still pending.
Draft Law Amending the Motorways Traffic
Law No. 2918

Draft Law Amending the Motorways Traffic Law No. 2918, which
is prepared in line with EU standards, envisages the introduction of
new traffic measures.

The Association of the Insurance and Reinsurance Companies of
Turkey has formulated the views of the insurance sector on the
Draft Law, specifically on measures relating to compulsory third
party liability insurance.

The Draft Law also empowers the Association to authorize “special
experts” to intervene traffic accidents with material damages. After
the coming into force of the Law, traffic police will only intervene
such accidents when traffic security necessitates.

The draft Law is still pending.
OTHER
DEVELOPMENTS
Activities of Agents and Loss Adjusters

Turkish Insurance Law has foreseen the establishment of executive
committees for agencies and loss adjusters under the auspices of
The Union of Chambers and Commodity Exchanges of Turkey
(TOBB) and integration of those professions to the sector in an
organized and disciplined manner.
Regulation on Information Regarding
Insurance Contracts

Regulation on Information Regarding Insurance Contracts came
into force on 1 March 2008.

The implementation of the Regulation is sustained within the
framework provided by the sample forms sent by the
Undersecretariat of Treasury Directorate General of Insurance.

The Regulation obliges the insurance companies and agencies to
inform the insureds during the conclusion of the contract and
contract period.
Solvency II

In Turkey’s EU harmonization process, the Turkish insurance
sector has been conducting studies on the implementation of
Solvency II.

Within this context, a “Specialized Committee on Solvency II” was
established in accordance with Art. 33 of the Turkish Insurance
Law No. 5684.

A sample of ten insurance companies were determined to conduct
Quantitative Impact Study 4 (QIS 4), which had previously been
conducted by the European Commission in EU countries. QIS 5
was also started to be applied from December 2010.

The Solvency II Directive was also translated into Turkish and
distributed to companies by the Association.
Technical Reserves

There have also been major amendments to the “Regulation on
Technical Reserves of Insurance, Reinsurance and Pension
Companies”. In this context, a more developed and sophisticated
actuarial chain ladder method for the calculation of IBNR reserves
has been introduced.
Medical Malpractice Insurance

Medical malpractice insurance became compulsory in Turkey in
July 2010.

With the introduction of “Compulsory Liability Insurance on
Medical Malpractice”, doctors and dentists are required to be
covered by professional liability insurance.

Doctors working at public or private institutions will pay half their
insurance premiums and their institutions will pay the remainder.
Doctors working at their own private offices will pay the entire
premium.
Coastal Facilities Sea Pollution Compulsory
Liability Insurance

Another compulsory insurance that was introduced in 2010 with the
publication of tariffs and procedures is the “Coastal Facilities Sea
Pollution Compulsory Liability Insurance.”

In this context, all coastal facilities (including refineries, gas
terminals, power houses, industrial production facilities, shipyards,
etc.) are obliged to be covered by insurance against sea pollution.
Studies for the Development of Life Insurance

The portfolio of saving life insurance intends to decline due to the
private pension system.

The portfolio structure of life insurance is mainly comprised of life
insurances related with credit.

In this context, a study was prepared by the Association on the
development of life insurance and it was submitted to the
Undersecretariat of Treasury.

The studies on the development of life insurance, especially the
annuities, will continue.
Mortality and Morbidity Tables

The study on Mortality and Annuity Table of Turkey” initiated in
2009 by the Undersecretariat of Treasury and conducted with
Hacettepe and Marmara universities under coordination of
Insurance Information Center was completed in June 2010.

The results of the mortality and morbidity study which was
conducted to examine the sickness and death rates in Turkey were
introduced to the insurance sector.
ASSOCIATION’S
SUBSIDIARIES
46
ASSURANCE ACCOUNT

Assurance Account was founded within the body of the Association of
the Insurance and Reinsurance Companies of Turkey as per article 14
of the Insurance Act 5584 dated June 14th 2007.

Assurance Account meets medical treatment expenses of those who
suffer bodily injuries (such as injuries, disabilities and death) under any
coverage provided under compulsory insurances, and pays disability
indemnities to those who become disabled due to such accidents and
also death benefits to dependents who have been deprived of the
deceased’s support in case of death.
47
INSURANCE INFORMATION CENTER

The Insurance Information Center was established in August 2008
within the Association. The Center is responsible for collecting data on
life, health, traffic and compulsory insurances including compulsory
liability insurance on medical malpractice; achieving consistency in
insurance practices; realizing sound pricing; preventing fraudelent
activities and developing reliable statistics. The Center comprises four
sub-information centers, namely, TRAMER (Traffic Insurance
Information Center), SAGMER (Health Insurance Information Center),
HAYMER (Life Insurance Information Center) and HATMER
(Insurance Loss Pursuit Center). Through TRAMER, it has become
possible to issue on-line real time motor third party liability insurance
policies.
48
INSURANCE ARBITRATION COMMISSION

Insurance Arbitration Commission was established within the Association
for the resolution of disputes between insurance companies and the
insureds. As of August 2009,the commission has started to accept
complaints.

Insurance Arbitration Commission composed of 46 member company, has
123 arbiters working in non-life branch and 14 arbiters in life branch.

As of 2010 1.133 application have been made to Commission. 1.063 of
them belong to non life insurance branches and 70 of them to life
insurance branches. 614 of the applications have been concluded and 519
of them are still in process.

% 83 of applications belong to real persons, % 17 of them to legal persons.
49
INSURANCE TRAINING CENTER
Insurance Training Center (SEGEM) was established to enable the
holding of necessary examinations on specific topics related to
insurance in an impartial manner and to meet training demands both at
home and abroad and within the framework of international
agreements.
 SEGEM held the training on Agency Technical Personnel for nearly
40.000 candidates last year.


Nearly 10.000 people applied for the expert training.

163 people applied for the actuarial examinations.

5.700 people applied for the training of trainers.
50
TURKISH MOTOR INSURANCE BUREAU

Turkish Motor Insurance Bureau, in the frame of Civil Liability
Insurance
regarding the use of motor vehicles
in countries
participating in the Green Card System where the insured vehicle
circulates, was founded based on Written Regulation regarding work
methods and essentials of the Turkish Motor Insurance Bureau which
was published in the Official Journal dated 28.06.2008 with number
26920 and based on article no:24 of the Insurance Law to issue
internationally valid documents and provide settlement for
damages caused in that regard and to handle and settle claims of
accidents in Turkey caused by foreign plated vehicles which have a
valid green card.
51
TURKISH INSURANCE INSTITUTE


Turkish Insurance Institute (TII) is founded in 1970, by the equal shares
of the Association of the Insurance and Reinsurance Companies of
Turkey and Milli Re. TII aims to disseminate the use of insurance in
Turkey as well as to carry out activities that will raise the public
awareness, improve the insurance industry, bring in staff to insurance
industry through vocational trainings, determine the economic, legal
and technical aspects as well as problems in all branches of insurance
including the social securities, prepare informative publications on
these matters and assist the Turkish insurance sector to take its place at
the highest level in economic and social life as well as in the process of
development.
In order to improve the quality and efficiency of employment in the
insurance sector, TII provides short- and long-term training
programmes to those working at the insurance companies (newcomers,
experts, managers), brokers (newcomers, experts), to the agencies
(newcomers, managers), experts and their employees.
52
OTHER INSTITUTIONS


Turkish Compulsory Insurance Pool (TCIP)
The Turkish Agricultural Insurance Pool
53
TURKISH COMPULSORY INSURANCE POOL



Subsequent to the Marmara earthquake which took place on 17th of August
1999 and caused loss of thousands lives and properties, great numbers of
precautions were taken in order to minimize the damages of Earthquakes by the
public authority. On of the most significant precautions is the execution of the
Turkish Compulsory Insurance Pool (TCIP).
The intent of the Compulsory Earthquake Insurance is to have a standard cover
with a minimal premium. Consequently, TCIP grants cover in specified
maximum sum insured determined by using unit cost of building construction.
As of 1st of January 2011 maximum sum insured amount granted by TCIP
policies in all structure types is determined as 150.000 Turkish Lira (100.000
USD). Nearly 3.5 Million dwellings hold TCIP policy .
The sum insured is determined according to the magnitude and structure type
however not exceeding the maximum sum insured amount of the dwellings. If
the value of the dwelling exceeds the sum insured amount given by TCIP, the
insured optionally can get additional cover for the exceeding amount from the
insurance companies.
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TURKISH AGRICULTURAL INSURANCE POOL
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In order to provide the coverage the risks threatening the agricultural industry
of our country, "Agricultural Insurance Code No. 5363" was enforced as of
14/06/2005.
The Agricultural Insurance Pool establishes the conditions for transferring risk
under reasonable provisions, ensure centralized payment of the indemnification
upon occurrence of the risk, improves and popularizing the agricultural
insurances
TARSIM, a management entity, was established with equal share as a
corporation by the insurance companies writing agricultural business in order
to carry out all tasks of the Pool, within the context of the law.
Insurance companies issue insurance contracts with their own name and all
risks together with the premiums on 100% thereof is transferred to Agricultural
Insurance Pool and through retrocession, the individual insurance companies
can take share optionally from the Pool.
The Government contributes 50 % exclusively to insurance contracts executed
under the Code, in terms of the premium on behalf of the farmers; the amount
of which to be determined by Council of Ministers on annual basis, with
respect to the crops, risk, region and premises scale.
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THANK YOU FOR YOUR
ATTENTION…
ASSOCIATION OF THE INSURANCE AND REINSURANCE
COMPANIES OF TURKEY
www.tsrsb.org.tr