TSB President Uğur Gülen: We will finish 2023 with 1.2 trillion TL in premiums.

Expectations for the Turkish Insurance Sector in 2023

The President of the Turkish Insurance Union (TSB), Uğur Gülen, announced that the premium production of the insurance sector exceeded 1 trillion TL as of November 2023. Gülen stated, 'We will complete this year with a premium production of over 1.2 trillion TL. This means a 40% growth in our 2025 targets.'

Premium Growth and Inflation Effects

Gülen indicated that inflation is around 30% and expressed his expectation that premium growth will surpass inflation. He said, 'As an industry that builds funds, we provide significant financial resources through our investments in TL assets.'

Sector Profitability and Competition Status

The TSB President remarked that according to the figures from the 9th month of 2023, profits in the sector are over 40%, and noted that prices on the reinsurance side have eased and capacity has increased. He mentioned, 'We are observing an increase in price competition following the earthquakes centered in Kahramanmaraş.'

Future Goals: 5% Insurance Penetration

Uğur Gülen evaluated the development of the insurance sector for 2025, stating that they aim to raise the share of insurance in GDP from 2.5% to 5%. Additionally, he emphasized the importance of increasing the share of private health insurance, stating that even a 3% increase in this area could lead to significant reductions in public spending.

Private Health Insurances and Public Expenditures

Gülen noted that according to data from the Turkish Statistical Institute, 80% of health expenditures were made by the public last year. He added, 'If we can increase this rate to 6%, private health insurance will double, significantly reducing public expenditures.'