Atilla Oksay, Deputy General Secretary of the Turkish Insurance Association (TSB), made some striking observations regarding the public perception of the insurance sector. In a post on his social media account, Oksay noted that insurance often comes to the fore only at the time of a claim or when problems arise, and stated that the security and resilience the sector provides to the economy are not sufficiently visible.
Stressing that insurance should be viewed not as a cost factor but as a fundamental protection mechanism for individuals and organisations, Oksay said that in the public eye, the insurance industry is often assessed solely in terms of premiums paid, claims processes or isolated problems. In contrast, he highlighted that the risks the sector assumes every day, the financial security it provides, and the resilience it brings to the economy are often overlooked.
“The Value of Insurance Is Revealed Not at the Time of a Claim, but Before the Risk Materialises”
Noting that it is easy to discuss the price of a product but much harder to assess the costs that might arise in its absence, Oksay stated that the insurance sector is also evaluated from a similar perspective.
Oksay noted that the true value of insurance should be measured not only when a loss occurs, but by the protection it offers before the risk materialises, and stated that the Turkish insurance sector currently provides an extremely important safeguard for the Turkish economy. Oksay recalled that the total coverage provided by the sector amounts to approximately 20 times Turkey’s gross domestic product.
Thousands of Claims Settled Every Day
Oksay noted that people are more inclined to share negative experiences, adding that this is not a situation unique to the insurance sector. He pointed out that in many sectors, processes that run smoothly do not make the headlines, whereas the problems encountered receive greater public attention.
Emphasising that thousands of claims are settled every day in the insurance sector, Oksay stated that millions of people are protected against significant financial losses thanks to health, motor, home, agricultural and life insurance. He also mentioned that millions of citizens are saving for their future and building additional pension security through the Individual Pension Scheme.
Despite all these positive developments, Oksay noted that a significant portion of the sector’s benefits and success stories are not brought to the public’s attention, stating that evaluating the insurance industry solely through the lens of prices or criticism constitutes an incomplete perspective.
Climate Risks and the Protection Gap Are Gaining Greater Importance
Stating that evaluating a sector solely through the lens of criticism or solely through success stories does not yield sound results, Oksay emphasised that a proper assessment must take into account the total value the sector delivers.
Highlighting that the management of climate change, the growing protection gap and rising economic risks is becoming increasingly critical worldwide, Oksay stated that issues such as climate risks, resilience and the reduction of the protection gap would also come to the fore during this year’s COP31 Climate Summit, which Turkey is hosting.
In his post, Oksay posed the question, “How well do we really understand insurance?”, noting that under current conditions, insurance should not be viewed merely as a cost item, and underlined that it is a fundamental protection tool that enhances the resilience of individuals, organisations and economies.
