Financial Services - 2020 General Overview
Priorities in 2020
Since its founding, Aksigorta has differentiated in the insurance sector with its well experienced staff. During the year, the company adopted the remote working method to safeguard the health and well-being of its employees. Aiming to develop practices that will improve performance while working at home, Aksigorta transformed the remote working model into an opportunity for continuous improvement. The company was committed to keeping employees engaged and ensuring team cohesiveness in the remote working environment. To this end, Aksigorta launched numerous practices to consolidate the motivation and performance of its employees while they worked from home.
Sustainability and “Good Deed” Projects from Agesa
In line with its approach of being a good corporate citizen, Agesa implemented a wide range of supportive actions and projects for its employees, customers, agencies and society during the pandemic.
Quickly adopting the remote working method, Agesa launched the Employee Support Program. This effort is designed to address key areas – with psychological counseling services, medical advisory, family counseling, child and adolescent counseling – to support its employees. In 2020, Agesa demonstrated the strong bond it has with its staff by reporting an employee engagement rate of 91%.
During this challenging year, Agesa provided support to its agency network in terms of both business operations and agency staff. This assistance included technical equipment, training, market information, health measures and motivational support. Additionally, Agesa made LEAP, a guidance and psychological counseling service specially designed for company employees, available to its agencies in 2020.
In response to the pandemic, Agesa directly communicated with its customers one-onone via telephone to relieve their growing concerns. The company demonstrated a sensitive and responsible approach in its brand communications by sharing health, nutrition and family-related content via its social media accounts.
Agesa ensured that the policies of customers facing difficulties in paying their health insurance premiums due to the COVID-19 pandemic were not canceled. Procedures where an original signature or paper based documentation is mandatory can now be completed via voice approval, e-mail or via WhatsApp to facilitate claims and support processes. Life insurance policyholders are provided the opportunity to access additional benefits in health, child development and education. This comprehensive support includes flexibility in utilization of these benefits.
Performance in 2020
Aksigorta, moving forward with the vision “Making insurance simple, lean and accessible,” boosted its premium production to TL 5.3 billion in 2020, an increase of 18% year-on-year. Total assets climbed to TL 9,165 million. In this challenging year, Aksigorta reported net income of TL 374 million by focusing on innovation, analytics, artificial intelligence and new technology investments with a customer-oriented approach. Aksigorta achieved growth of 11% in motor third party liability, 23% in MoD, 20% in non-motor section and 21% in health. By taking proactive steps to reach its targets, Aksigorta maintained its 8.3% market share.
In 2020, digitalization became a must in the financial services sector due to the coronavirus pandemic. Aksigorta successfully digitalized all its business processes and further increased customer satisfaction during this highly challenging year. In addition, Aksigorta’s customeroriented technology initiatives were recognized with prestigious awards in 2020.
Agesa demonstrated a robust and flexible stance in a year full of unprecedented challenges and uncertainties. The company recorded stable growth by maintaining its financial strength. Since 2015, Agesa has been the private sector market leader in PPS including auto-enrollment. In 2020, the company reported a PPS fund size of TL 30.5 billion. At year’s end, Agesa registered premium production of TL 66 million in nonlife, and TL 1,257 million in life insurance. By recording 2.1 million active non-life policies and 1.3 million life policies, Agesa boosted its net income by 36% as of year-end 2020
Digitalization, Technology and Investments
Digital Security Platform
The convenience provided by technology has accelerated digital transformation in Turkey, and across the world. However, this technology-based environment has dramatically increased digital security risks. Launching a major sustainability initiative in digital security, Aksigorta helps inform society about growing risks in the digital world with its Digital Security platform. The company collaborated with Boğaziçi University Lifelong Learning Center and Boğaziçi University Management Information Systems Cybersecurity Center to develop the informational platform. Free online digital security trainings feature on the platform with special content for each target audience (e.g. home and SME). The Digital Security platform aims to raise society’s awareness and knowledge of digital risks, while preparing both institutions and individuals to more securely navigate our increasingly digital world.
Fiat Connect Collaboration
In 2020, Aksigorta launched the customized policy era with Fiat Yol Arkadaşım Connect MOD. This innovative offering is a first in Turkey in motor own damage insurance and was developed in cooperation with Fiat. Thanks to this advanced technology application, the motor own damage insurance rate is calculated taking into account the number of days of use and the customer’s driving score. Drivers using this app enjoy discounts of over 10% on motor own damage policies depending on the duration of vehicle use. The customer’s driving score is calculated by analyzing vehicle usage data. Fiat Connect insurance policies are issued by Aksigorta. During the year, Aksigorta also commenced sales of DASK (Turkish Catastrophe Insurance Pool/TCIP) products via the Vodafone Yanımda mobile app and sales of “Nolur Nolmaz (Just in Case)” insurance through Vodafone Call Center. Aksigorta developed APIs with the Vodafone Yanımda mobile app in order to initiate and finalize the entire sales process on the digital platform. In 2021, Aksigorta plans to add other products to its growing and innovative portfolio.
ADA (Aksigorta Digital Assistant)
Introducing ADA (Aksigorta Digital Assistant), the first artificial intelligence application of the insurance sector, Aksigorta realized more than 4 million successful transactions in the last two years and managed to increase its customer satisfaction score by 3 points. Completing over 90 work processes in eight different departments, ADA was awarded the “Best Cost-Cutting IT Project” by IDC.
Paper-Free Sales with Bi’Tıkla
In 2019, Agesa provided its customers with the opportunity to sign and confirm applications with biometric signature with the launch of Bi’Tıkla. Thanks to this e-commerce platform, Agesa reduced the applicationapproval process to 10 minutes, down from around two days previously. With the paper-free e-commerce platform Bi’Tıkla, Agesa aims to conserve 26 thousand m3 of water and save 313 trees annually by using 2.6 million fewer pieces of paper for some 100,000 contracts or policies. The platform started to be used for the sales of the Bright Side of Life Insurance product in 2019. During the pandemic, Bi’Tıkla expanded its remote paper-free sales by making it available for PPS.
2021 Priorities and Industry Strategy
Aksigorta plans to create even more value in the future in parallel with its objective to achieve profitable growth. Adopting a customer-oriented approach, Aksigorta pursues sustainable growth by prioritizing digitalization and technology. The company also plans to take steps to bolster its already strong ties with its nationwide agency network. Aksigorta aims to continue its sustainable growth with its transparent and solid balance sheet, robust capital structure, and balanced product and channel portfolio. Capitalizing on technology and digitalization, Aksigorta targets developing additional innovative products and solutions that will differentiate the insurance experience. Empowering the next-generation insurance with other brand ecosystems, Aksigorta plans to create innovative insurance solutions that add value to consumers. The company is committed to ensuring its future success with customer-oriented products and services. To this end, Aksigorta’s strategic priority is effectively using next-generation technologies, such as big data, advanced data analytics, cybersecurity, industrial IoT, robotic workforce, artificial intelligence and blockchain. In the coming year, Aksigorta aims to reach an even wider audience with its Digital Security platform, an effort launched in 2020 to raise societal awareness of the increased risks in the digital world.
Agesa targets maintaining market leadership in terms of PPS fund size among private pension companies. The company also aims to achieve growth above the sector average in life insurance. In addition to providing financial assurance and customeroriented services, Agesa plans to develop innovative business models and projects to ensure sustainable growth of the sector. Embracing digitalization across its operations, Agesa prioritizes innovation, technology, simplicity and speed in its products, services and business processes. Continuing its efforts for cultural development since 2017, Agesa aims to further boost employee loyalty and satisfaction. The company places a special focus on social investments as part of its sustainability strategy. Toward this goal, Agesa plans further projects that will raise societal awareness on old age and aging under its “At All Ages” corporate social responsibility initiative.