Türk sigorta sektöründe hayat sigortalarının fon yaratma kapasitesi, yaratılan fonların finansal piyasalarda değerlendirilmesi ve hayat sigortalarında kar payı
Başlık çevirisi mevcut değil.
- Tez No: 71797
- Danışmanlar: PROF. DR. ÖMÜR BABAOĞLU
- Tez Türü: Doktora
- Konular: Sigortacılık, Bankacılık, Insurance, Banking
- Anahtar Kelimeler: Fon sağlama, Hayat sigortası, Kar payı, Sigorta sektörü, Funds provision, Life insurance, Dividend, Insurance sector
- Yıl: 1998
- Dil: Türkçe
- Üniversite: Marmara Üniversitesi
- Enstitü: Bankacılık ve Sigortacılık Enstitüsü
- Ana Bilim Dalı: Bankacılık Ana Bilim Dalı
- Bilim Dalı: Belirtilmemiş.
- Sayfa Sayısı: Belirtilmemiş.
Özet
Özet yok.
Özet (Çeviri)
-“İl - 3.3.2.Arrangement Related The Dues in order for insurance companies to keep up with their liabilities is possible only when they collect the premiums on time. it is reguired by la.w from agencies to deposit premiums and commisions not later than the second week of the mounth to their insurance companies. Unpaid premiums express the amount that has not been paid by the insurers. Latest preparations allow insurance companies to terminate the contract without any notice when the premiums are not paid on time. 3.3.3.Monetary Regulation Related To The insurance Sector Ali nations that belive in life insurance take necessary incentive actions to develop this sector. The most important of this is the tax exemption that an insurer can deduct from his income against thr premium that is paid. 3.3.4.Arrangement Related To The Garantie And Investments Investment of insurance companies can be grouped in two sections; necessary and compalsory. insurance companies should present indemnities in comparison with the premiums that they collect. indemnities are reserved över mathematical reserves from sickness, accident and non-life branches vhich could not be more than 20 % of the premiums after deducting the cancelled policies. indemnities that are reqired by law are as follovs ; *Cash Turhish Lira ör foreign currencies that are exchanged by the Central Bank of Turkey, *Goverment bonds and goverment approved moveable assets, *Stocks of the goverment participations which holds more than 51% of the shares. *Other capital market instruments that are approved by the goverment. *Re a. l estate that an insurance company has in possesion in Turkey.-1- INTRODUCTION Funds that are created from life insurance are an important part of monetary instruments in capital markets for economically developed, prosperous nations. For an economic development; savings in societies should increase an diverted for an alternative investments. In order for life insurance companies to become an important part of monetary institution, collected premiums should be big. Larger the percentage of premium in total portfolio in life insurance-, better they can transfer funds to capital markets in the long run. Letter of guarantee that life insurance provides gets effected from inflation and does not mean anything at maturity. The best way to get protected from inflation is profit distribution. There are two main parts in our work. Those are ; Fund creating capacity of life insurance in Turkish life insurance sector, utilization of these funds in financial markets and profit sharing in life insurance. At the first part we analized in the Turkish insurance sector the capacity of creating funds and the evaluation of the created funds in the financial markets. At the second part we analized the profit sharing in life insurance. The economic importance of life insurance and its place in financial market from our country point of view, fund sources of life insurance whith economic and social functions of the created funds, factors effect life insurance creating fund capacity, usage of life insurance funds in capital market, are analized under the outline of life insurance capacity of creating funds and the evaluation of the created funds in the financial market at the first part of our work. Concept of profit sharing in life insurance and application systems for profit sharing distribution, profit sharing distribution up to present and existing problems until now, investment funds anJ life insurance are analized under the outline of profit sharing in life insurance at the second part of our work.- ”İl - 3.3.2.Arrangement Related The Dues in order for insurance companies to keep up with their liabilities is possible only when they collect the premiums on time. it is reguired by la.w from agencies to deposit premiums and commisions not later than the second week of the mounth to their insurance companies. Unpaid premiums express the amount that has not been paid by the insurers. Latest preparations allow insurance companies to terminate the contract without any notice when the premiums are not paid on time. 3.3.3.Monetary Regulation Related To The insurance Sector Ali nations that belive in life insurance take necessary incentive actions to develop this sector. The most important of this is the tax exemption that an insurer can deduct from his income against thr premium that is paid. 3.3.4.Arrangement Related To The Garantie And Investments Investment of insurance companies can be grouped in two sections; necessary and compalsory. insurance companies should present indemnities in comparison with the premiums that they collect. indemnities are reserved över mathematical reserves from sickness, accident and non-life branches vhich could not be more than 20 % of the premiums after deducting the cancelled policies. indemnities that are reqired by law are as follovs ; *Cash Turhish Lira ör foreign currencies that are exchanged by the Central Bank of Turkey, *Goverment bonds and goverment approved moveable assets, *Stocks of the goverment participations which holds more than 51% of the shares. *Other capital market instruments that are approved by the goverment. *Re a. l estate that an insurance company has in possesion in Turkey.-1- INTRODUCTION Funds that are created from life insurance are an important part of monetary instruments in capital markets for economically developed, prosperous nations. For an economic development; savings in societies should increase an diverted for an alternative investments. In order for life insurance companies to become an important part of monetary institution, collected premiums should be big. Larger the percentage of premium in total portfolio in life insurance-, better they can transfer funds to capital markets in the long run. Letter of guarantee that life insurance provides gets effected from inflation and does not mean anything at maturity. The best way to get protected from inflation is profit distribution. There are two main parts in our work. Those are ; Fund creating capacity of life insurance in Turkish life insurance sector, utilization of these funds in financial markets and profit sharing in life insurance. At the first part we analized in the Turkish insurance sector the capacity of creating funds and the evaluation of the created funds in the financial markets. At the second part we analized the profit sharing in life insurance. The economic importance of life insurance and its place in financial market from our country point of view, fund sources of life insurance whith economic and social functions of the created funds, factors effect life insurance creating fund capacity, usage of life insurance funds in capital market, are analized under the outline of life insurance capacity of creating funds and the evaluation of the created funds in the financial market at the first part of our work. Concept of profit sharing in life insurance and application systems for profit sharing distribution, profit sharing distribution up to present and existing problems until now, investment funds anJ life insurance are analized under the outline of profit sharing in life insurance at the second part of our work.-5- 2. FÜND SOÜRCES OF LİFE İNSURANCE WHITH ECONOMIC AND SOCIAL FÜNCTIONS OF THE CREATED FUNDS 2.1. Fund Sources Of Life Insurance it is possible to combine fund sources of insurance companies in 4 groups. Those are; -Paid Up Capital -Debts Arasing From Legal Funds -Funds Arasing From Economical Choses -Funds Arasing From Business Operation 2.1.1. Paid Up Capital Paid xıp capital expresses the fund contribution of stockholders för reassurance and insurance companies in order to overcome the compulsory la.ws and keeping up with the general operating facilities of the companies. Today, insurance companies are required to have 350.000.000.-Tl minimum capital and they can only be active either in non-life branch ör life brancn as specified by the lav. Maximum capital amount is adjusted according to the statistical wholesale goods index. 2.1.2. Debts Araising From Legal Sources 2.1.2.1. Statutory Reserves Every year, insurance companies should have legal reservs according to the turkish trade lav 1/20 of their l/5th net. prof it. 2.1.2.2. Technical Reserves 2.1.2.2.1.Mathemati çal Reserves insurance companies have mathematical reservs that shows up to date cash values of insured policy hol ders för their future indemnities för those people. Life mathematical reserves are the ones that corresponds only for life branches. 2.1.2.2.2.Premium Reserves Premium reserves which are not invalid at the balance of statement date but will continue for the up comlng year. The correspondani'e of premiurn rezerve is the net amount after deducting commissien from coliected premiums. remaining portion is caloulBted by daily bas î. s L^T the :ie:ct year.-“İl - 3.3.2.Arrangement Related The Dues in order for insurance companies to keep up with their liabilities is possible only when they collect the premiums on time. it is reguired by la.w from agencies to deposit premiums and commisions not later than the second week of the mounth to their insurance companies. Unpaid premiums express the amount that has not been paid by the insurers. Latest preparations allow insurance companies to terminate the contract without any notice when the premiums are not paid on time. 3.3.3.Monetary Regulation Related To The insurance Sector Ali nations that belive in life insurance take necessary incentive actions to develop this sector. The most important of this is the tax exemption that an insurer can deduct from his income against thr premium that is paid. 3.3.4.Arrangement Related To The Garantie And Investments Investment of insurance companies can be grouped in two sections; necessary and compalsory. insurance companies should present indemnities in comparison with the premiums that they collect. indemnities are reserved över mathematical reserves from sickness, accident and non-life branches vhich could not be more than 20 % of the premiums after deducting the cancelled policies. indemnities that are reqired by law are as follovs ; *Cash Turhish Lira ör foreign currencies that are exchanged by the Central Bank of Turkey, *Goverment bonds and goverment approved moveable assets, *Stocks of the goverment participations which holds more than 51% of the shares. *Other capital market instruments that are approved by the goverment. *Re a. l estate that an insurance company has in possesion in Turkey.-5- 2. FÜND SOÜRCES OF LİFE İNSURANCE WHITH ECONOMIC AND SOCIAL FÜNCTIONS OF THE CREATED FUNDS 2.1. Fund Sources Of Life Insurance it is possible to combine fund sources of insurance companies in 4 groups. Those are; -Paid Up Capital -Debts Arasing From Legal Funds -Funds Arasing From Economical Choses -Funds Arasing From Business Operation 2.1.1. Paid Up Capital Paid xıp capital expresses the fund contribution of stockholders för reassurance and insurance companies in order to overcome the compulsory la.ws and keeping up with the general operating facilities of the companies. Today, insurance companies are required to have 350.000.000.-Tl minimum capital and they can only be active either in non-life branch ör life brancn as specified by the lav. Maximum capital amount is adjusted according to the statistical wholesale goods index. 2.1.2. Debts Araising From Legal Sources 2.1.2.1. Statutory Reserves Every year, insurance companies should have legal reservs according to the turkish trade lav 1/20 of their l/5th net. prof it. 2.1.2.2. Technical Reserves 2.1.2.2.1.Mathemati çal Reserves insurance companies have mathematical reservs that shows up to date cash values of insured policy hol ders för their future indemnities för those people. Life mathematical reserves are the ones that corresponds only for life branches. 2.1.2.2.2.Premium Reserves Premium reserves which are not invalid at the balance of statement date but will continue for the up comlng year. The correspondani'e of premiurn rezerve is the net amount after deducting commissien from coliected premiums. remaining portion is caloulBted by daily bas î. s L^T the :ie:ct year.-8- collected. There is an inheritance tax för death insurance in life branch. 2.2.1.4.As Of Expention The International Economicalb Relations And Providing Nation Wealth If reissurance transactions are done abroad, economical impact of the loss is lessened and national wealth is being preserved in this way. 2.2.1.5.As A Sector in Economy insurance is classified as service sector in the economy by giving a guarantee to the insurer. it is important to understand insurance companies vhich undertake risks in the economy and distributing those risks in such a vay to preserve the balance in the economy. 2.2.1.6.Providing Opportunity For Employment There are different evolutions in life insurance that basically starts from product formation up to the payment för the insurer. in order för insurance product to reach to the insurer, sector needs a gualified personnel in differer.t levels whıch increase the employment level in this sector as well. 2.2.1.7.Providing Credit For The Interpruner in order to obtain a credit för any subject, an asset should have an insurance. Death insurance is a muşt when requesting a credit from the bank, othervise, credit is not garanted.. 2.2.1.8.Incresing The Investment Power The facilities of the life insurance provides saving.s that voul.d be used in finarıcing investment nationwide and small savings that ceme from the sector feed f inançial markets as big as needed. 2.2.2. Social Functions 2.2.2.1.Providing Support Life insurance increases the support among scciety by sl.aring the risk. 2.2.2.2.As A Preventing From Social Corraption And Losses- ”İl - 3.3.2.Arrangement Related The Dues in order for insurance companies to keep up with their liabilities is possible only when they collect the premiums on time. it is reguired by la.w from agencies to deposit premiums and commisions not later than the second week of the mounth to their insurance companies. Unpaid premiums express the amount that has not been paid by the insurers. Latest preparations allow insurance companies to terminate the contract without any notice when the premiums are not paid on time. 3.3.3.Monetary Regulation Related To The insurance Sector Ali nations that belive in life insurance take necessary incentive actions to develop this sector. The most important of this is the tax exemption that an insurer can deduct from his income against thr premium that is paid. 3.3.4.Arrangement Related To The Garantie And Investments Investment of insurance companies can be grouped in two sections; necessary and compalsory. insurance companies should present indemnities in comparison with the premiums that they collect. indemnities are reserved över mathematical reserves from sickness, accident and non-life branches vhich could not be more than 20 % of the premiums after deducting the cancelled policies. indemnities that are reqired by law are as follovs ; *Cash Turhish Lira ör foreign currencies that are exchanged by the Central Bank of Turkey, *Goverment bonds and goverment approved moveable assets, *Stocks of the goverment participations which holds more than 51% of the shares. *Other capital market instruments that are approved by the goverment. *Re a. l estate that an insurance company has in possesion in Turkey.-8- collected. There is an inheritance tax för death insurance in life branch. 2.2.1.4.As Of Expention The International Economicalb Relations And Providing Nation Wealth If reissurance transactions are done abroad, economical impact of the loss is lessened and national wealth is being preserved in this way. 2.2.1.5.As A Sector in Economy insurance is classified as service sector in the economy by giving a guarantee to the insurer. it is important to understand insurance companies vhich undertake risks in the economy and distributing those risks in such a vay to preserve the balance in the economy. 2.2.1.6.Providing Opportunity For Employment There are different evolutions in life insurance that basically starts from product formation up to the payment för the insurer. in order för insurance product to reach to the insurer, sector needs a gualified personnel in differer.t levels whıch increase the employment level in this sector as well. 2.2.1.7.Providing Credit For The Interpruner in order to obtain a credit för any subject, an asset should have an insurance. Death insurance is a muşt when requesting a credit from the bank, othervise, credit is not garanted.. 2.2.1.8.Incresing The Investment Power The facilities of the life insurance provides saving.s that voul.d be used in finarıcing investment nationwide and small savings that ceme from the sector feed f inançial markets as big as needed. 2.2.2. Social Functions 2.2.2.1.Providing Support Life insurance increases the support among scciety by sl.aring the risk. 2.2.2.2.As A Preventing From Social Corraption And Losses-“İl - 3.3.2.Arrangement Related The Dues in order for insurance companies to keep up with their liabilities is possible only when they collect the premiums on time. it is reguired by la.w from agencies to deposit premiums and commisions not later than the second week of the mounth to their insurance companies. Unpaid premiums express the amount that has not been paid by the insurers. Latest preparations allow insurance companies to terminate the contract without any notice when the premiums are not paid on time. 3.3.3.Monetary Regulation Related To The insurance Sector Ali nations that belive in life insurance take necessary incentive actions to develop this sector. The most important of this is the tax exemption that an insurer can deduct from his income against thr premium that is paid. 3.3.4.Arrangement Related To The Garantie And Investments Investment of insurance companies can be grouped in two sections; necessary and compalsory. insurance companies should present indemnities in comparison with the premiums that they collect. indemnities are reserved över mathematical reserves from sickness, accident and non-life branches vhich could not be more than 20 % of the premiums after deducting the cancelled policies. indemnities that are reqired by law are as follovs ; *Cash Turhish Lira ör foreign currencies that are exchanged by the Central Bank of Turkey, *Goverment bonds and goverment approved moveable assets, *Stocks of the goverment participations which holds more than 51% of the shares. *Other capital market instruments that are approved by the goverment. *Re a. l estate that an insurance company has in possesion in Turkey.-12- It is specified by the law that an insurance company can valuate its investment portfolio and general investment portfolio restrictions. 3.4.Control Of The Banks There is a development towards global banking system in the world. As this trend continues, financial institutions will interact with each other more often than previous years. Because of this; the borders among banking,insurance and investment management will disappear gradually. it is easier for insurance companies to reach masses through banks which will decrease the distribution costs of the insurance sector and this will strenght the financial structure of the companies as well as investment alternatives. 3.5.Politics Of Profit Sharing Distribution insurance companies that are in financial broker position will have effective funds arising from undistributed funds which results in an economical development. insurance companies distribute quarterly profits as dividends and stabile development of the insurance sector is an important point from an insurer point of view. 3.6.Reinsurance Politics There is a strong relation betveen reissurance politics of the compay and its technical profibility. Unbearable capacity for preservation of conservation for the firms will put insurers on risky ediğe. Opposite of above will resul t in unnecessary prof it loss for the firms. Conservation in life branch is calculated from actuarial formulas. in order for conservation to be ideal, following points are important; -Paid up capital of the firm and free reserves, -Liquidity of the firms assets, -Portfolio structure, -Premium volume of the related department, -Solvency margin.-13- 4. USAGE OF LİFE INSÜRANCE FÜNDS İN CAPITAL MARKET 4.1.Insurance Companies As An Institutional Investor in Capital Market in general, capital markets are called where long term fund supply interacts with demand. Capital markets are grouped as primary and secondary. Primary markets seli stocks of certain value to the public; as a resul t, these markets do the marketing and selling activities. Secondary markets buy and seli already existing bonds and stocks. Insurance companies are importarıt investment institiutions för these markets. 4.2.Insurance Companies As Financial Brokerage House investment and commercial banks, social security instituions, insurance companies and investment funds are ali part of the financial system and markets. 17 i nane ia l brokers while transferring funds also realize some importarıt functions and some of these functions are as follows; 4.2.1.Risk Sharing More ör less, every investment has a risk factor. in developed financial markets, there is a balanced re l ation between return on investment and risk. insurance companies channel their funds from premiums to form a different investment portfolios. Choice of different investment portfolios are important. hovever, reissurance distribution carries more importance för life insurance. 4.2.2.Expertise Life insurance companies are important financial institutions that channel the small collected funds from insurers to the investment properly. They invest in safe stocks in order to distribute ma:-: i mum return to their investörs. 4.2.3.Activity And Period Of Distribution Funds There is a bi£ &;ap and -:U f f erence betveen the <ievel jpeci and under -ieveloped f i n a n.'.; 3. i in^.t it\«t i ons. Econorr-ioai-14- development will bring better financial system. 4.3. Principals Of Using Funds Of Insurance Companies That Are Operating in Life Insurance in an insurance contract, the company is not only liable for paying the damage to the insured but also should cover and carry the risk which is the important factor for insurance companies to use their funds. There are four basic articles that deterrnine usage of funds. -Security, -Maximization of profit, -Harmonization, -Liguidity and afford of payability. 4.3.1.Security When an insurance company does not pay the occured damage on time ör does not pay the profit shares their life ciients, demand för the insurance companies will decrease. 4.3.2.Profit Maximization The basic target of life ör nonlife insurance companies is to maximize their profit and this fact is limited with liguidity and security objectives. When life insurance companies could not provide enough return to their insurers; than, they will look for better yielding investment areas. If they provide enough return to their insurers; than. the demand for life insurance will increase causing an inorease in long term fund supply to the markets. 4.3.3.Harmonization There is a direct relation between solcl policies and investments which is oaHed as harmonizati on. Extra caution should be taken when making investments. 4.3.4.Liguidity And Payability Liguidity a.nd payab.il i ty are reiated fa.ctors. As long, as the incoming premiums compansate the risk payments, there will be a less demand for additional liquidity and Jife companies can invest in less liquid assets. Payability is an important concept for insurance literatüre, During öne period. i f the companies assets are-15- more than its liabilities, than the company has payability. Other factors that effect payability: Pricing, management expenditures, dividend policy, inflation, outside effects, legal procedures, taxes, development in capital markets. it is diffucult for an investor to form a sound portfolio. He ör she should sacrifice from high return, if liquidity is expected, ör sacrifice from security if high return is expected. Risk should be distributed to sectors, firms, ör regions when forming a portfolio. 4.4.Legal Frame Work Mechanizm Of The Life Insurance Sector Funds There main principles that the insurance companies pay attention; security, liquidity and return. From here, we can analyse the firms investment as compulsory and free group. 4. '.-. l. Compul sory Investments According to the insurance Supervisory Law, it is necessary for companies to show indemnities in '-onjuction with the premiums that they collect from insurers. Maximum acceptable indemnity share, calculation vay, amount, valuation, low margin blockage and change in overall indemnity is specified in the insurance law. Undersecretary of Treasury has a right to revaluate the the total assets ör increase capital of the eornpanies when needed. Accepted capital is specified ali by the law. 4.4.2. Free Investments Investments are dec ided solely by the in.îurance 3.nd reissurance companies. Every company should ueoide thei r investment areas by ^hrrn.-;elve3 b;;t ^.; :-:--rdir;.g t--.- thfj investment policy cf the ins-urance sector. 4.5.Area Of The Fund Usage Of The insurance Companies That Are Operated in Life insurance When we anaiyze the insurance companies investment structure for stock exchange, we see an increase percantage of borrowed prornisory notes in total investment portfolio. Stocks are other investment a lternatives for insurance companies. insurance companies in underdeveloped countries have low stock percentages in their inveotment portfolios.-16- Security nature of the insurance companies make them more carreful not to invest in risky areas, Professional usage of funds in capital markets will bring considerable return to the insurance companies. Eventhough real estate investment is good to protect companies against. inflation, their market i ng capacity is low. Besides above investment instruments that insurance companies can investt there are also other alternatives exist as well such as; investment funds, foreign currency assets, hedging options and futures. 4.5.1.Statistical Results And Evaluation Of The investment Funds Eventhough life insurance companies have progressed över the years, their investment capacities have not developed as expected. The majör portion of the investments are on mainly stocks and bonds. 4.5.2.Income Distribution Of investment Areas There is an increasing trend in return on bond investments, for life insurance companies in their finançial portfolio in contrast; there is a decrease in return on stocks and real estate that are adjusted for life policies. Eventhoug, there is no restriction for insurance companies vhile forming a portfolio, they tend to invest more on government and treasury bonds. The bas i c elements that an insurance company can use their funds are turning to cash, security and prof itabı lity. 4.6. Conribution Of Life insurance Funds in The Capital Markets Öne of the reason that the life insurance companies could not develop is because of constant high inflation rate in our country. During inflationary periods, high interest policy of the government attracts almost ali funds from the insurance companies that could have been used in elsevhere if inflation rate would not be so high. Fund contribution from insurance companies to the capital markets is small in Turkey due to the low l eve l of premium collection from insurers.-17- SECTION II. PROFIT SHARİNG İN LİFE İNSURANCE 1. CONCEPT OF PROFING SHARİNG İN LİFE İNSURANCE AND APPLICATION SYSTEMS FOR PROFIT SHARİNG DISTRIBÜTION 1.1.History Of Profit Sharing The first example which gave profit sharing to their insurers in our coutry is Tam Hayat insurance company. This company confirmed it”s technicai basis of profit sharing in Juiy 1966 and distributed profit sharing to insurers in 1967. Ak insurance company gave profit sharing to their insurers from bloced value investments. This company confirmed it's technicai basi s of profit sharing in 1977, göt profit in 1978 from investments and stareted to distribute profit sharing to their insurers at the beginnîng of 1979. Ak insurance company is the leader to other companies for giving profit sharing. from blocked value investment. 1.2.Rules Of Profit Sharing Application Ali insurance companies operating in life branches are connected to profit sharing regulation which is published in Official Newspaper dated 09.12.1996 with 22842 number and will be in effect at 01.08.1997. in this system, investment will be ali followed, up to date a.s soon as the premium enters to the company. From the first date profit sharing is calculated for each policy according to the technica.1 rules. Than seperately followed up in a different account. Profit sharing is distributed for ali the policies. Income that will accumulate from investments wi11 be added up to the profit sharing. 1.3.Purpose Of Profit Sharing it is well known that, in calculating premiurns for long term life insurance policies that involve a certain accumulation of capital, it is n^cessary to mako various assumptions which extend far into the future. in fact ali insurance companies have to support their solvency margin against the inflation. The purpose of profit eharing appl i çat i ör. is t o get investment from the mathematicai reserves. 1.4.Present Profit Sharing Systems Although there is no vb l igation frorr- incyrarıce;^^,.^.,,, r ^e.u l*.'-.ivn on profit- sherine cVct^m. it İ^Ç^^^EPOG^^^^^^^ DOKÜMANTASYON MEllffi-18- insurance companies that are in operation in life insurance has its own profit sharing distribution system. Up to the present the most usable kind of profit sharing systems in our country are; Expenses Profit, Mortality Profit, Balance Profit and Investment Profit. 1.4.1. Expenses Profit Expenses profit is the most mixed and hard profit sharing system. Company takes gross premium which includes general expeditures f rom insurers. If the company make l itle expenditures and give l ittie commision to the agency from the general expenditure part of the gross premium, then it's mean that the company make profit. 1.4.2.Mortality Profit This kind of profit sharing is applied to ali insurers who has death benefits in individual life insurance and group life insurance. Mortality profit is the remaining amount of death btnefit payments and outstandig losses from the premiums that are collected from insurers in öne year. 1.4.3.Balance Profit Balance sheet is the summary of financial condition. On the active part seems ali the values which owned by company and on the passive part seems ali the responsabilities. Distribution of profit sharing över balance profit in mixed company can realised by the falloving formül as; Total Balance Total Of Branch Inc. Brach Balance Profit : Profit *Total Of Company Inc. Mathematical Life Balance Profit% x Profit Sharing : Reserves *Total Life Math. Res. 1.4.4.Investment Profit it comes to being covered för general expenses of company and göt strong the structure of companv. Fund was made up of subtraction obligatory expenses from collected premiurns. The r e are two types of profit, first is from investment, second is f r örn blocked investment. Until the time that the new profit sharing. reguiation will be in effect, mathematical reserves are calculated end of the year, 3c that investment of mathematicai reserves a.nd giving profit sharing to f h e insnrers begin? ene year later.-19- 2. PROFIT SHARİNG DISTRIBUTION APPLIED ÜP TO PRESENT AND EKISTING PROBLEMS ÜP TO NOW 2.1. Profit Sharing Distribution Applied Up To Present 2.1.1. Profit Sharing Distribution From Mathematical Reserve Investment The prof it sharing plan determines ali insurers who have mathematical reserves exist in present company portfolio. Mathematical reserves have to investe whitin the five working days after the premium arrive to the company. The company which obtain gross income from its investment, begins to distribute to its own insurers from the beginning of the next year. We exclude the general expenses and tax from the gross premium in order to get the net premium. The technical interest of each tariff is subtracted from the net income, The ratio of the remaning amount determines the ratio of the profit sharing. The çalçulation of income from the mathematical reserves is shown below; TV : Total mathematical reserves invested NG : Net income getting from the mathematical reserves g : The ratio of investment income i : Technical interest rate x : The percentage of investment income distributed to the insurers NG g : -- TV Prof it sharing dittribution ratio: ( g - i ) * % x Total prof it sharing (TKP); TKP :(g-i)*%x*TV Prof it sharing of each policy; V : Previous year mathematical reserve of each policy KP : Prof it sharing distributed för each policy KP :(g-i)*%x*V-20- 2.1.2.Profit Sharing Distribution Över Due To Year Investment Profit sharing dietribution över due to year investment is realized f rom the accurnulation of fund in which includes ali the insurers that have mathematical reserves and premiurrıs that are collected in the present year. The calculation of the investment from mathematical reserves are; TVB : Total invested mathematical reserves and accumulation NG : Net income from mathematical reserves and accumulation NG g :TVB The ratio of prof it distribution; g : Net investment income ratio i : Technical interest percentage ( g - i ) * % x Total prof it sharing; TKP :( g - i ) * % x * TVB At this system, there is an equal income distribution both for mathematical reserves and accumulation. However, the rate of return for both subjects are not the same. 2.1.3.Profit Sharing Distribution From Mathematical Reserve investment And Due To Year investment There are two kind of distribution of prof it sharing system. The first öne is the mathematical reserves of ali insured people; the second is the premiums collected from the present insured and accumulation of the newly insured. The formulas using at this system are; TV : Total mathematical reserves invested TB : Total a. c c unu; l at i on investecl NG : Net income getting. r r om inves'cment of mathematical l reserves-21- NG : Net income getting from investment of accumulation 2 There are two factors that form participation of total profit. On Mathematical Reserve; N6 l g :: Ratio of net investment income l TV i : Teenniçal interest percentage % x : Profit sharing distribution percentage TKP : ( g - i ) * % x * TV l On Accumulation; NG 2 g :: Ratio of net investment income TB % x : Profit sharing percentage Remaining days of tariff period Earned income :365 TKP : g * % x * Earned income * TB 2 2 Total prof it sharing; V : The policy of mathematical reserv from previous year. B : Present accumulation of a policy KP : Profit sharing för öne policy KP :(g-i)*%x*V 1l KP : g * % x * Earned income * B 22 KP : KP + KP l 2-“5 ”.' _ O ılı 2.1.4.Capital Of Profit Sharing 2.1.4.1.Bonus Additions Bonus addition is the most widely used profit sharing system. it is used to increase the capital of the insurance that correspond to that policy in case of being al ive ör death. Every year; it is assumed to have an increase in capital both in life and in death capital as well. Mathematical reserve of the additional capital is calculated according to the average age of the person. 2.1.4.2.Öne Year Term insurance Given out profit sharing is considered to be a yearly insurance premium för probability of being al ive för a year and added to the capital för the next year. 2.1.4.3.Adding To Mathematical Reserves As A New Capital The general formula that is used to calculate distribution of profit sharing with an addition of mathematical reserves to the capital is; V : Mathematical reserve n P : Ratio of profit sharing n KP : Profit sharing n i : Technical interest VKP : Mathematical reserve with profit sharing n n : insurance period (n-2) (n-3) VKP : V + KP (1+i) + KP (1+i) +...+ KP (1+i) + KP n n l2n-2 (n-1) 2.1.5.Remainder Of Profit Sharing If a certain ratio ot a net Income that iç calc'j l ^teci after deducting expenditures and taxes from accounts tor mathematical reserves ani accumulated investments 5h:--ws a-23- certain difference that could be distributed to each policy as profit sharing, than this difference will be added to up coming year net income. 2.1.6. Valid Portfolio With the exception of purchasing during budget year, deffered dues, discarded policies as result of death and cancellations are ali called present portfolios. According to the present portfolio, investment return calculation is as follows; TV : The subtracting of the previous year mathematical reserves portfolio from mathematical reserves policies which are cancelled gives us the mathematical reserves. Net investment income g.. Percentage of net investment TVincome Tne most important feature of present portfolio management and prof it distribution system is the calculation of mathematical reserve income from previous year and distribution of this amount to the investment of policies för mathematical reserves. 2.2. Existing Problems in Profit Sharing Distribution üp To Present People invest their small savings to the insurance companies in örder to get a return more than what banks offer. However we see that these expectations never being realiaed resulting a negative irnage tovards insurance companies. it is not possible för an insured person to collect the profit shares during any time of the year as valuations and çal çulations are done on a yearly basis. üne of the most important point in profit sharing system is that companies prepare profit sharing technics by themselves. Companies should give a certain interest rate according to their technical analyses on a yearly basis f ör the accunrulation :>f the insurers.-24- 3. INVESTMENT FUNDS AND LİFE İNSURANCE 3.1. Investment Institutions Funds And Their Historical Development Nowadays, most insurance companies that operate on life branches, seli life policies related to investment funds. These new type of tariffs are special in a vay that their change depend on the units at investment funds instead of precalculated capital values. The amount of payment related to these tariffs are expressed as unit values of the investment fund. investment insurance is first applied in U.S.A, Holland and in England. investment funds as we have seen today, dates back to 19 th Century in England. British investment companies made considerable investments in U.S.A in order to develöp the U.S. economy. After the collapse of New York Stock Exchange in 1929, new investment funds had been created and developed över the last 40 years in Europe. 3.1.1 Place Of investment Funds in Life insurance Funds from small savings are turned as financial instruments through capital markets. Participator is the insurer who participate in investment funds that ^re used to serve f ör life insurance sector and their parti c ipat ion r^tio is the insurers mathematical reserve amount; in other words their savings. The first step för life insurance companies to become effective in the economy is to devel öp investment funds. There should be an automatic premium collection in order to form the investment funds. it is necessary to valuate the reserves and make insurance companies as iristi tut i ona l investors. 3.1.2. Fundation, Management And Conservation Of investment Fund Portfolio in Life insurance Novadays; insurance companies serve as investment companies. insurance companies can get help from banks while fornûnş. and ma nadiri.g their investment fvınd.-:- and pay 3. certain commision in return f.'..r th^ servi.:.<=. s r^-ndered b y t h er.-25- 3.2.Application Of Investment Funds in Life Insurance it is necessary to combine and manage investment funds and prof i t sharing together which resul ts a long term fund supply to the capital markets from mathematical reserves of the insurance companies. Öne of the basic purpose of switching from profit sharing system applied up to present to the investment funds profit sharing system is to divert daily mathematical reserves to the investment. 3.3.World Application Related To The investment Funds in Life insurance U.S.A.: in 1951, the managers of the pension funds of the university teachers announced a work that showed a monthly income from life insurance which were losing their value foy inflation. A big part of the investment about these funds was directed to a stationary interest shares and income which were under the pressure of inflation. At the same year, a public company in New York; workers pension fund vere reorganized to supply a changable income. A lot of U.S. insurance companies widen their capacity of work, such as containing insurances bounded to investment. And some of them began to seli investment funds för this purpose. The relation of companies is depended on two basic thing. -Dynamic characteristic -Defend Characteristic Holland : The development of income and life insurance related to investment fund was different from U.S. funds and first contract was signed in 1956. in these contracts; prernium and benefits v;ere expres^ed in units related to investment funds. in 1968, a different kind of insurance wa.s introduced in vhich a person could have invested a certain amount of money in a investment fund for a certain time peri.od monthly. Netherlar.d life in.i-i.ir-3iv.ve companies. made 0. life insurance tarif f s r.ornbaining, a monthly investment plan and decreasing premium terro for life inourance.-26- England : The first insurance related to investment appeared in 1957 in England. The same year, an old insurance company made a similar tariff related to investment funds. This tariff was a c lassi çal endovment insurance. in U.S.A. and in England; investment sector has shown a considerable progress and development över the past years. There are large areas and possibilities för suitable investments. Such investment funds are very attractive in these countries. 3.4. Suggested Profit Sharing System in Order To Forme The Profit Sharing Distribution With investment Funds investment funds must take the place of present profit sharing system för development of present life insurance and elimination of inflation effect ör to minimize it. There must be some regulatios about the realization of profit sharing applicatiou with investment fund. Until this time the profit sharing system and life insurance appl içations, the calculation period of mathematical reserve is öne year. That means, insurers savings are calculated o.s of 31.12 of every year. With the new profit sharing regulation vhich is published in Official Newspa.per dated 09.12.1996 with 2.284-2 number and will be in effect at 01.08.1997 investment will be ali folloved, up to date as soon as the premium enters to the company. From the first date profit sharing is calculated for each policy according to the technical rules. in ca.se of switching to profit sharing with investment funds and according to the investment fund mechanism, also according to the new Profit Sharing Regulation, the premiums from every valid policy that comes in, will be counted and valuated as investment fund the day that follovs. Öne of the basiç problem in life insurance is unpaid ör delayed premium payments I rom insurers. However, in case of investment fund is applied, the paid premium will be counted the day it was deposited and will have a negative effect on insurers when they pay their premiums late. According to this systern, net premiums are reimbursed as unit bas i s in investment funds. Units Urıit.? show the i n-.«^*: n-r-^ =.!--, r---.-- r r., t i.".:-:..* *.':..-.- t ~ı\-27- investment fund. Cash Leftover For Accumulation Insurer Unit Number :Unit Price At The Date Of Reimbursment Unit Pilce Unit price will be adiusted daily and the general formüla för that is as follovs; UP : Unit price at time t t d : Yearly technical interest that corresponds to daily rate i a : Income ratio of the investment fund at t time i PSP: the profit sharing ratio that is distrubetd to insurer in this situation; The calculation of the total values of the units that belong to the insurer is calculated as ; UP =UP*(l+d+(a-d)* PSP ) t+1 t i i i Than if; NÜ : Numbers of unit belong to i person i tNU : Numbers of unit belong to i person at the time t UF : Total number of portfolio at the time t t İUV : Total value ot the units belong to i person at the time t t TNU : Total unit number of the investment at the time t t İAP : The premium that invested at the time t which belong to t i person r : Technical interest rativ t i : Present interett rat iv t-28- So the förfula will be; İAP t tNÜ :i UP t-1 At the time (t+1); l * ( r + (i - r ) * PSP ) t t t UF : İAP * ( l +) 365 UF t UP :t TNU t So that; At the time (t+29); 29 * ( r + ( i - r ) * PSP ) t t t UF : İAP * ( l +) t+29 t365 UF t+29 UP :t+29 TNU t+29 At the time (t+30); UF t+30 İNU :(t+30) UP t+29 So the total unit number belong t o i person is; NUi : İNU + İNU t t+30 Total value of the uaiT ^ bel :.n> to i fer^or; w: l l be;29- İÜV : UP * NUi t+30 t+29 The Determination Of The Profit Sharing The profit sharing as mathematical reserves is calculated technically and seperately on the basis of assets income for each policy. The profit sharing income is the difference between the starting amount of participated ratio of the fund in life insurance and the date of calculation for the fund. After the explanation of profit and loss statement at each year, profit sharing should be determined as follows; Profit Sharing : ( income ratio that comes from investment - technical interest ) * profit sharing ratio Profit Sharing As of Purchasing If it is the insurance policy that is related to profit sharing according to the technical basis of the tariffs; it is calculated by multiplication of the unit prices of the insurance policy at the date of purchasing by units belonging to the insurers. Profit Sharing In Paid Up Insurance The unit count, as a result of paid up policies from unpaid premiums at transfer dates, will occupy the main paid up policies. During policy, unit price should be guaranteed at ieast an increase equal to the technical interest, rate for the tariffs. Investment Policy The main purpose of the investment policy is to give maximum attention for security, liquidity and portfolio distributions in order to provide a high level of return to the insurer.-30- RESULT Insurance companies are an important part of financial markets and they supply funds to the system. But high inflation effects the development of financial system and is very important for life insurance. The major part of life insurance can be summarised as retirement insurance in which savings are the main factor of this insurance. Tariffs that are prepared to give an extra saving for retired people for the second time could not even resist inflation for the profit distribution. As an important part of profit sharing system in investment insurance could not yield the desired level of productivity until the profit sharing regulation is puplished. Investment are protected against inflation with the help of the profit sharing which is realized with an investment fund and mathematical reserves which are daily invested.
Benzer Tezler
- Türk sigorta sektörünün gelişimi ve fon yaratma kapasitesinin değerlendirilmesi
Başlık çevirisi yok
ZUHAL CUMBUL
Yüksek Lisans
Türkçe
1994
Sigortacılıkİstanbul Üniversitesiİktisat Ana Bilim Dalı
DOÇ. DR. HALİT TARGAN ÜNAL
- Sigortacılık sisteminde aktif-pasif yönetimi ve Türkiye hayat sigortası örneğinde portföy performansının boyutlarını belirleyen faktörlerin irdelenmesine ilişkin bir model denemesi
Assets and liablity management in the insurance sector and investigating sectors that are determinating dimensions of the portfolio performance by relating to model testing in the Turkish life insurance sector
ALİ İHSAN DOĞAN
- Sigorta işletmelerinde mali yeterlilik analizi ve Türk sigorta sektöründe bir uygulama örneği (Bayındır Hayat Sigorta A.Ş.)
Solvency analysis in the insurence corporations and a research study in the Turkish insurance industry
SERHAT YANIK
- Türk sigorta sektöründe hayat sigorta faaliyetlerinin değerlendirilmesi
The Analysis of the activities of life insurance in Turkish insurance sector
NEVİN KARACANİK
