The motor insurance industry in Turkey is expected to see healthy growth over the next four years, according to a BRICdata report.

The Turkish motor insurance sector increased in written premium value from TRY4.7bn ($2.6bn) in 2007 to TRY5.5bn ($3bn) in 2011, at a compound annual growth rate (CAGR) of 4.46%.

The sector has benefited from the country’s rising number of automobile sales and improving economic conditions.

The number of domestic automobile sales increased from 229.8 thousand units in 2008 to 379.1 thousand units in 2011, at a CAGR of 18.16%.

Over the forecast period (2012-2016), the industry’s written premium value is expected to increase at a CAGR of 5.03% to reach TRY7.1bn ($3.9bn) in 2016.

The country’s motor insurance sector is expected to become more consolidated due to the increasing level of competition, as larger companies are expected to use acquisition strategies to strengthen their position in the market, the report said.

The full report ‘Emerging Market and Investment Opportunities in Turkish Motor Insurance to 2016’ is available from BRICdata. Click here for more details.