Türkiye Sigorta and Türkiye Hayat Emeklilik expect a net profit of 16.6 billion lira in the first half of 2025

PHOTO: SABAH

Çakmak emphasized that they broke records in the first half of 2025, achieving premium production and profitability above market expectations. He said, "This positive performance reflects the sustainable growth policies we've been pursuing since 2024, the strategic actions we've taken in individual products like health and insurance, and the fire branch, as well as our strong capital structure. Compared to the industry as a whole, our financial results in the first six months stand out. We differentiate ourselves with our pricing, risk management, customer-focused solutions, and balanced and effective use of multiple distribution channels."

Çakmak, touching on the increase in both the number of insured and the balanced growth in premiums in the insurance and health branches, continued as follows:

Our top priority in individual insurance is to ensure our citizens have easy access to insurance. To this end, we model the behavior of our policyholders in our pricing efforts, enabling us to both grow our scale and achieve our targeted technical profitability through robust and effective loss management. In line with our expectations and technical strategy, our premium production in the auto branch increased by 29 percent compared to the same period last year, reaching 14.4 billion lira. Our comprehensive insurance premium production also increased by 55 percent, reaching 7.6 billion lira. As of June 30, the number of active comprehensive insurance policies approached 1 million. Despite maintaining price competition in comprehensive insurance, we managed to maintain our technical profitability.

In the healthcare sector, we are continuously improving our products and service quality to facilitate access to healthcare for our insured and ensure that a wider audience benefits from high-quality healthcare services. In this sector, we reached 9.4 billion lira in premium production in the first six months of the year, a 155% increase compared to the same period last year. In healthcare, the fastest-growing branch in our portfolio, we surpassed 1 million insured individuals, a significant milestone. We are placing digitalization at the core of our operations in our healthcare claims processes. We have also further deepened our product offerings by increasing our coverage limits, expanding our network of alternative contract institutions, and updating our risk acceptance criteria.

Çakmak emphasized that the quality of companies' actuarial discipline is more prominent than ever, saying, "As we enter a disinflationary period, we see that the quality of our companies' actuarial discipline is more prominent than ever. Our technical profitability continued to perform impressively this quarter. The disinflationary period will further strengthen Türkiye Sigorta's focus on pricing and effective claims management, and will be a significant differentiator by supporting its technical results."

Çakmak stated that they strengthened their balance sheet structure with effective field management and successful corporate performance in the first half of the year, and that thanks to their disciplined damage and cost management, they differentiated their combined ratios from their competitors in the first half of the year and closed at 97.5 percent.

Çakmak emphasized that their goal is to complete the year with the same financial stability and maintain similar technical profitability levels, and provided the following information:

On the claims side, in the first six months, we paid a total of 20.9 billion Turkish Lira in claims, including auto, non-auto, and health. In the first six months, we incurred 3.5 billion Turkish Lira in car insurance, with a 58 percent loss ratio, and 5.9 billion Turkish Lira in health, with a 90 percent loss ratio. While claims paid due to frost damage in the agricultural segment increased by 61 percent, we continued to stand by our farmers during this difficult period. We undertook a total of 2.66 billion Turkish Lira in claims paid in the agricultural sector, the majority of which were agriculturally induced frost.

"WE WILL DISTRIBUTE 2 BILLION LIRA IN CASH DIVIDEND ON AUGUST 28"

Çakmak, noting that they increased the company's registered capital ceiling tenfold to 50 billion lira and doubled its paid-in capital to 10 billion lira, said, "We will distribute 2 billion lira in cash dividends on August 28th. Thanks to our consistently above 50% average return on equity and our regular annual dividend payments, we continue to provide value and confidence to our shareholders."

Highlighting Türkiye Hayat Emeklilik’s performance, Çakmak stated that the total fund size of the sector in BES and automatic enrollment systems (OKS) exceeded 1.535 trillion lira with a 25.6 percent increase in the first half of 2025, while the company’s fund size grew by 45 percent, exceeding the sector average, exceeding 352 billion lira.

Çakmak emphasized that they play a leading role in the sector not only with the size of the funds they manage but also with the returns they offer, saying, "While the weighted return across the entire sector, including BES and OKS, was 20.14 percent in the first half of the year, we became the sector leader by offering a 23.22 percent return to our participants."

Çakmak emphasized that rapid changes in investment trends bring about strong adaptability and innovative approaches for companies, and noted:

As Türkiye Hayat Emeklilik, we continue to add new themes to the wide range of funds we offer our participants. In April, we launched the Money Market Participation Pension Investment Fund, the only one on the interest-free side. Furthermore, we established the Lease Certificates Fund on the interest-free side, becoming one of the few companies offering this fund type. We also presented our Agriculture and Food Fund Basket Pension Investment Fund to our participants. Our Debt Securities Fund achieved the highest return among Debt Securities Funds, with a 20.97 percent return in the first half of the year. Among stock funds, our Technology Sector Stock Fund ranked second with a 9.5 percent return between January and June. Our Precious Metals Participation Fund ranks first among Precious Metals Participation Funds with a 40.83 percent return. The performance of state contribution funds, which manage government contributions, is quite significant. Our Contribution Pension Investment Fund also ranked first with a 9.33 percent return in the first half of the year.