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2/27/07

Business Insurance: Fast growing Turk insurers grab foreign attention

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Fast growing Turk insurers grab foreign attention

Turkey's small but fast-growing insurance sector is coming onto foreign investors' radars and at least four deals are on the table in the fragmented sector. European Union candidate Turkey is attracting foreign investors with strong economic growth, a fast growing population of over 70 million and increasing wealth.

But insurance premiums far outstripped overall growth of around 5% last year, and inflation of 10%, growing 20% to 9.4 billion lira ($6.79 billion), according to data from industry association TSRSB. There is still room for more growth as Turks are very underinsured: non-life premiums account for around 1.4% of the overall economy compared to 2.6% in Europe.

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