106
FIGURE 22: T HE LIFE I NSURANCE IN TURKEY
Source: IAT
It is believed that such tremendous success is driven by the Takaful Sector. Thus, the Turkish
economy’s share in the world Takaful sector is growing fast. The IAT reveals that the total
contributions realised from the Takaful or Participation Insurance Sector amounted to US$414
million as of end 2018, with four full-fledged Takaful companies out of 82 operating in Turkey.
TOs are the key actors in ensuring the sustainability of the overall interest-free financial system
in Turkey. It is the most critical pillar to collateralise the financial risks and the necessity of
integrating the interest-free financial system. Also, Family TOs with their pension plans feed
both the Islamic banking, Sukuk market, Islamic index stock companies, and Islamic portfolio
management companies. In the conventional system, the insurance mechanism is intertwined
with the whole of the financial system at every point and drive economies with their volume as
financial actors. Similarly, Takaful is developing parallel to the Islamic financial industry, and
overall Islamic finance is growing with Takaful in Turkey shows the list of full-fledged
Takaful companies and windows in the Islamic insurance sector of Turkey.
TABLE 17: FULL-FLEDGED TAKAFUL COMPANIES AND WINDOWS IN TURKEY AS OF END 2018
Company Name Takaful Type
Neova Insurance General Takaful
Katilim Pension and Life Family Takaful
Bereket Insurance General Takaful
Bereket Pension and Life Family Takaful
Gunes Insurance Window
Unico Insurance Window
Groupama Insurance Window
Vakıf Pension and Life Window
HDI Insurance Window
Ziraat Insurance Window
Ziraat Pension and Life Window
Doga Insurance Window
Source: Authors
0
1
2
3
4
5
6
7
8
2014 2015 2016 2017 2018
TYR Billions