Yapı Kredi Sigorta and Yapı Kredi Emeklilik join the Allianz family
After having received the approval of the regulatory and competition authorities, the announced partnership of Allianz and Yapi Kredi Bank has been completed. As of today, Allianz is the majority shareholder of Yapi Kredi Sigorta, the property and casualty insurer, including its subsidiary Yapi Kredi Emeklilik, the life and pension business.
The combination of Allianz Turkey with the Yapı Kredi insurance operations with combined statutory premiums of exceeding 3 billion TL and Assets under Management of reaching 5 billion TL will create one of the leading insurers in non-life, pensions and life insurances in Turkey, a strategically important market for Allianz where the group has a 90-year history.
Allianz has acquired Yapı Kredi Group’s 93.95 percent shareholding in Yapı Kredi Sigorta for a total net consideration to Yapı Kredi group of 1,6 billion TL. The remaining 6.1 percent of Yapı Kredi Sigorta is listed on the Istanbul Stock Exchange and will be subject to a mandatory tender offer by Allianz within the upcoming days. Yapı Kredi will retain a 19,93 percent stake in Yapı Kredi Emeklilik, the life and pension business and a subsidiary of Yapı Kredi Sigorta, to support the long-term strategic partnership with Allianz.
The important and sustainable strategic part of the agreement between Allianz and Yapı Kredi Bank – a 15-year bancassurance agreement for distribution of non-life, life and pension products – has also been approved. This agreement will provide Allianz exclusive access to the 4th largest banking network in Turkey with 933 branches and 6.5 million customers.
Solmaz Altin, CEO of the Allianz and Yapı Kredi insurance and pension companies in Turkey: “We are delighted with this partnership. We will leverage our combined strengths and mutual customer focus and merge our forces under one Allianz-Brand. For the products distributed through Yapi Kredi Bank, we are introducing a co-branding strategy reflecting the bancassurance cooperation.”
The Turkish market offers significant growth potential for insurance due to low penetration, with premiums at just 1.3 percent of GDP in Turkey compared to 7.9 percent for Western Europe and 2.6 percent for Central and Eastern Europe. In the last five years (2007-2012) annual premium growth has averaged 12.5 percent in P/C, 14.2 percent in life insurance and 35.1 percent in pensions. In recent years bank distribution has become the dominant channel for life and pension products with banks representing 77 percent of life premiums in 2012 in Turkey.
Legal Warning on Faulty Insurance Application By-Laws
If you are entitled by either of the insured/policyholder/beneficiary titles, any attempt to gain an unfair personal or third party advantage may result in partial or zero payment of your compensation and will be penalized under the Turkish Penal Code No. 27920 "Wrong Insurance Applications Detection, Reporting, Recording, and the Regulation on the Procedures and Principles to Combat Applications" published in Official Gazette dated April 30, 2011.