Financial performance analysis in the turkish insurance sector: A Research on non-life insurance companies

The insurance sector is one of the most important sectors within financial markets. Especially in devoloped countries, as one of the most important elements of financial markets the insurance sector has a very important position. Unlike devoloped countries, although the insurance sector in Turkey has not devoloped sufficiently, it is seen that the Turkish insurance sector has great potential and has devoloped rapidly in recent years. Insurance branches are classified under two headings: life ınsurance (private pension insurance) and non-life insurance. The aim of the study is to reveal the financial performance rankings of randomly selected insurance componies operating in the non-life (elemental) insurance sector fort he period 2014-2023. In the study, the financial performance ranking of selected non-life insurance companies was made by TOPSIS (Technique for Order Preference by Similarity to Ideal Solution) method usıng five financial performance ratios and equal weights. As a result of the financial performance analysis conducted in the study, it is seen that Neova insurance ranked first in the financial performance ranking in 2014, while Unico insurance ranked last. In 2023, HDI insurance ranked first in financial performance, while Neova insurance ranked last. It was observed that the rankings of non-life insurance companies according to the TOPSİS method in the 2014-2023 period also changed from year to year. In the study, when the 2014-2023 period is evaluated in general, it is concluded that Sompo insurance is the non-life insurance company with the highest financial performance by ranking in the top three eight times, while Mapfre insurance is the non-life insurance company with the lowest financial performance by ranking in the bottom three six times in the relevant period.