In a recent meeting to address industry concerns, Davut Menteş, President of the Insurance and Private Pension Regulatory and Supervision Agency (SEDDK), Uğur Gülen, President of the Turkey Insurance Association (TSB), and Levent Korkut, Chairman of TOBB’s Insurance and Reinsurance Commission, discussed critical issues impacting the insurance market. Accompanying them were Özgür Obalı, TSB General Secretary, and Mevlüt Söylemez, Director of Insurance at TOBB.

The discussion centered around SEDDK’s recent directive concerning capital requirements for insurance companies and the implementation of a free tariff system in traffic insurance. The leaders emphasized the necessity of a robust insurance sector as a cornerstone of societal welfare. Menteş highlighted the importance of the new capital directive in reinforcing this sector’s resilience.

In addressing the escalating costs in traffic insurance, Menteş was informed that the transition to a free tariff should not be confined to insurance companies alone; agents and all third parties must also adapt to these changes. TSB President Gülen remarked on the complications arising from the controlled market, particularly pointing out the inconsistencies in pricing made by companies. He proposed clear solutions, including the establishment of standardized tables for bodily injury claims, defining compensation limits, progressing towards a free tariff, and eliminating arbitration conditions for mandatory insurances, with the goal of removing traffic insurance from the list of contentious issues.

Gülen underscored that similar to other industries, competition is crucial for the growth of the insurance sector. He expressed confidence that all stakeholders understand that limited consumer options inhibit market development.

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