The insurance sector opposes the reduction of the government contribution in the Private Pension System (BES).

Reactions to the Reduction of State Contribution

TSB President Gülen, expressing his thoughts on the possibility of reducing the current 30% state contribution rate to 20% within the scope of the Individual Retirement System (BES), stated that the sector does not support this change. He reminded that BES, which has shown success since 2003, has reached 20 million participants with a 2 trillion lira fund size as of today.

The Role of State Contribution and Suggestions

Gülen emphasized that the state contribution plays a strategic role in growing the BES system and provided some suggestions:

• Gradual State Contribution: Maintaining the 30% contribution rate but differentiating it according to participant profiles.
• Incentives for Youth: Providing a higher contribution share to new young participants, while offering lower rates to those approaching retirement age.

2025 Target: 1 Trillion Lira Premium Production

TSB President highlighted that the insurance sector is expected to have a very efficient year in terms of both growth and profit for 2025, stating that over 1 trillion lira premium production has been achieved in the first 11 months of this year, representing a 47% growth compared to the same period last year.

Additionally, he added that thanks to the high TL interest rate environment, the sector's return on equity has exceeded 40%.

Innovations in Traffic Insurance

Providing information about the new era in traffic insurance that will start on January 1, 2026, Gülen announced that the injustices in the no-claim discount steps would be eliminated. He noted that the standard 4th step entry applied in the purchase of second vehicles would be revised according to the driver's record (good or bad driving history).

Health Insurance Targets

Stating that they aim to further grow the health insurance, described as the "star branch" of the last decade, Gülen mentioned that they aim to increase the number of insured persons from 8.5 million. He pointed out that 80% of health expenditures in Turkey are covered by the public, emphasizing that transferring 10% of this burden to private insurance would save 1 billion dollars for the public budget. The sector's goal is to increase private health insurance penetration to 20% levels.