DIGITALIZATION, IS IT OPPORTUNITY OR THREAT FOR THE EMPLOYEES OF TURKISH INSURANCE INDUSTRY
Through digitalization, the rapidly developing civilization makes our business and private life easier.
The insurance industry also takes its share from these developments. Recent years, most manual works have been digitized and become faster and more efficient.
While these progresses are going on how is the growth and employment trend in insurance companies? Let’s look at the table below created by the TSB and T.C Treasury Department datas;
| NON LIFE INSURANCE COMPANIES | 2017 | 2013 | |
| Nr. of employees* | 8.264 | 8.358 | -1% |
| Total Pr.x1.000.000 TRY | 39.710 | 20.834 | 91% |
| Nr. of policies (total) x1000 | 62.619 | 52.002 | 20% |
| Nr. of policies (CMTPL) x1000 | 16.644 | 14.390 | 16% |
| Nr. of policies (without CMTPL) x1000 | 45.975 | 37.612 | 22% |
Source; TSB, T.C. TREASURY DEP.
WITHOUT LIFE & PENSION COMPANIES NR OF EMPLOYEES, PREMIUMS AND NR. OF POLICIES
This table shows except non-life companies which were working in 2013 and inactive today and the companies founded after 2013
| COMPARISON THE DATA BETWEEN 2013 TO 2017 FOR NON LIFE COMPANIES WHICH HAVE BEEN ALSO ACTIVE IN 2013 | 2017 | 2013 | |
| Nr. of employees* | 7.708 | 7.380 | 4% |
| Total Pr.x1.000.000 TRY | 35.039 | 18.536 | 89% |
| Nr. of policies (total) x1000 | 48.421 | 42.919 | 13% |
| Nr. of policies (CMTPL) x1000 | 13.289 | 12.858 | 3% |
| Nr. of policies (without CMTPL) x1000 | 35.131 | 30.061 | 17% |
Source; TSB, T.C. TREASURY DEP.
For 2013, Allianz datas considered as Yapı Kredi + Allianz.
Ak Sigorta is out of this table because it has no employee datas for 2017
2013 – 2017 changes; Aviva – Unico, Demir – Turkland, AIG – Gulf.
as above. The effect of the companies which were working in 2013 and inactive in 2017, digitalization, companies prefer to provide some internal works from outsources, employment politics of companies which have been established after 2013, etc. appears the reasons of decreasing number of employees
Near future call centers and claim services that will more effective and faster with artificial intelligence, via digitalization faster issuing of policies according to requirements, digital sales channels, etc. so insurance sector will grow and widespread the policies with these new occasions. We should not think of these things just as operational progresses. It is also indispensable that managerial routines and approaches become coherent with these progresses. The importance and necessity of the people will be risen who consider, accomplish, implement and develop these innovations. Companies will reduce the number of employees but will need more qualified employees
Developments and progresses also concern employees individually. All employees who want to continue their career in the future should strive to improve their personal and technical skills and knowledge.
Ultimately, for all the people and institutions that have succeeded improvement and progress, the digital developments will bring much greater opportunities than ever.
Rıza OYGUR
December 2018
