Turkish insurance market set to grow: Study

ISTANBUL, Turkey— Turkey's insurance market is developing quickly and should continue to grow in a country with low insurance penetration rates, a new report concludes.

The Benfield Group Ltd. report, "Turkey Insurance Market Review: International Interest," reveals that insurance premiums in Turkey have more than doubled to $2.2 billion during the last five years. Non-life was the fastest growing segment, with a 29% per annum increase over the period.

"There has been a surge of foreign interest through both direct and indirect investment in Turkish insurance since 2006," said Angela Coad of London-based Benfield's industry analysis and research team, in a statement.

"Economic growth, low penetration rates, an expanding population, increasing awareness of insurance and a more robust regulatory environment have all been cited as attractions of the insurance market," she said.

Around two-thirds of the Turkish market's reinsurance coverage is provided by the international market, according to the report.

The report is available at www.benfieldgroup.com/research.