The performance valuation of non life insurance companies by multi criteria decion methods operating in Turkey

Globalized economies of countries, increasing speed of technological change day by day, the necessity to meet customer needs and requests just in time, the uncertainty created by this rapid change which is lived in every field, and increasing competition conditions affect all companies that produce goods, services and information. When companies can not be integrated to these changes, make the right decisions at the right time and put these decisions into practice, they may face many problems such as the danger of extinction in the relevant industry branch. Therefore, today's insurance companies need performance valuation by using various analytic methods in order to be able to use their resources more effectively and efficiently, make rational decisions, develop right strategies for the future, evaluate their current financial situation well, benchmark themselves accurately with competing companies and gain a sustainable competitive advantage in the sector. As a result of this requirement, it is seen that multi-criteria decision-making methods (MCDM) have been studied in researches to valuate the performance of insurance companies in the literature in recent years. MCDM provides the selection of the most appropriate solution or the best alternative in the valuation of problems which have with multiple and conflicting criteria in a complex decision process. With this study, it is intended to valuation with multi-criteria decision-making methods (TOPSIS, VIKOR and MOORE-RATE) of the financial performance of the non-life insurance companies that operating in Turkey. In accordance with this purpose, the performance scores of non-life insurance companies which continued their activities uninterruptedly in the 2013-2019 period have been valuated relatively on the basis of relevant years and methods and it has been tried to obtain data that can guide decision- makers. Based on the performance evaluation appraisal findings made within the framework of different models, companies that are generally in the upper or lower ranks in the performance ranking and also showing remarkable fluctuations up and down in their ranking scores over the years, have been determined and the factors that are effective in the formation of these differences and the reasons related to these factors are emphasized. In the study, it was concluded that the differences in the methodologies of the models affected the emerging findings and besides, the weight values given to the criteria changed the performance scores of the alternatives.