The Effect of Increasing Insecurity Towards Labour Markets On Individual Pension System

The individual pension system as a supplement of public pension system has been implemented in Turkey since 2001. The number of participants reached 4.2 million by the end of 2013. The purpose of this thesis is to investigate whether there is a meaningful relationship between the trust of individuals towards labour market and their participation in the system. For this purpose, the relationship between the number of participants involved in the pension system and the CNBCE trust index, the exchange rate and BIST 100 index data were analyzed.In the proposed research, quarterly data are used between the years 2004-2013. In the first part, the definition of insurance in general, its history and development, the social security system and the social security system in Turkey have been focused. In the second part, the definition of the individual pension system and the existing state of the industry are discussed.In the final chapter, the relationship between consumer trust index and individual retirement participants is analyzed. It is found that there is asignificant relationship between CNBCE consumer trust index and the participant number in individual pension system. KEYWORDS: Insurance System, Individual Pension System, Participant Number, Consumer Trust Index, BIST 100 Index