The establishment of the Insurance and Private Pension Regulation and Supervision Agency (SDDK) is an important step for the expansion of the Turkish insurance sector and a positive development that industry players have been looking forward to for a long time, says Turkey Insurance Association (TSB) president Atilla Benli.
Mr Benli was giving the trade body's response following news that the presidential decree granting for the establishment of the SDDK was gazetted last week.
According to a report by Sigorta Medya, Mr Benli said, “Today, 62 insurance and pension companies operate in our country. Total assets of these companies reached TRY200bn ($34.5bn).”
“Our sector paid TRY36bn in compensation last year,” he added.
Previously, supervision of the insurance industry was by the Ministry of the Treasury and Finance. Insurers though have lobbied for the establishment of an independent insurance supervisory authority.
Stating that the SDDK will have a positive effect on the sector, Mr Benli said, “As an autonomous institution, we believe that the agency will make rapid decisions especially in secondary regulations.
“We fully believe that the SDDK will take decisions that will provide depth and balance to the financial system and that our sector will play an active role in solving pending chronic problems.”