Bakü, July 2012 Mrs. Menekse Ucaroglu

1. Bakü, July 2012 Mrs. Menekse Ucaroglu

2. HISTORY • The devastating Earthquake in Marmara on 17th August and 12th November 1999 • An insured loss of around USD 800.000.000 • An economic loss of around 6 billions of USD • In 20th century 111 earthquakes above 5.0 Richter scale SEISMIC HAZARD ZONES OF TURKEY CENTER OF COMMERCE HIGH DENSITY OF INDUSTRY REGION PRODUCES ONE THIRD OF NATIONAL GDP CAPITAL CITY AGRICULTURAL PROJECTS

3. PRE-TCIP

4. ESTABLISMENT OF TCIP HOUSEHOLDERS RISK MANAGEMENTBEHAVIOUR TCIP INSURER REINSURER SALES FUNCTIONS OPERATIONAL SERVICESRISK MANAGEMENT SUPPORTCLAIMS MANAGEMENT AUTHORITIES REGULATION SUPERVISION LEGAL FRAMEWORKRISK MANAGEMENT SUPPORTDISASTER MANAGEMENT

5. 12.988.663 PORTFOLIO % 26,8 PENETRATION RATES INSURED DWELLINGS % 35,1 TOTAL DWELLING % 25,3 % 19,2 % 29,5 % 13,5 % 15,9 % 18,7 TURKEY IN GENERAL

6. REINSURANCE REINSURANCE TREASURY GENERAL DIRECTORATE OF INSURANCE TREASURY GENERAL DIRECTORATE OF INSURANCE CALL CENTER CALL CENTER ACENTALAR COMPANIES / AGENTS ANKARA ISTANBUL FUND MANAGMENT FUND MANAGMENT TCIP BOARD OF DIRECTORS TCIP BOARD OF DIRECTORS IT IT INTERNET INTERNET INTERNET INTERNET LEASED LINE LEASED LINE LEASED LINE LEASED LINE CONTRACTUAL AGREEMENT CONTRACTUAL AGREEMENT PR PR DISASTER RECOVER CENTER - DASK CENTER FIREWALL FIREWALL FIREWALL FIREWALL CLAIM CLAIM WEB SERVER WEB SERVER WEB SERVER WEB SERVER WEB SERVER WEB SERVER DMZ DMZ DMZ DMZ WAN WAN WAN WAN INSURANCE COMPANIES INSURANCE COMPANIES J2EE APPLICATION J2EE APPLICATION J2EE APPLICATION CLAIM OPERATIONS CLAIM OPERATIONS S ERVER S ERVER S ERVER LDAP DIRECT & ADC DIRECT & ADC AGENCIES AGENCIES BROKERS BROKERS BANC ASSURANCE BANC ASSURANCE LDAP REPLICATION DATABASE DATABASE TURKISH HOUSEHOLDERS TURKISH HOUSEHOLDERS STRUCTURE OF TCIP STATE OF THE ART TECHNOLOGY UNINTERROPTED SERVICE

7. SCOPE OF COVER AND TARIFFICATION • Prices for a 100 square meter dwelling

8. PROGRES • AFAD (Disaster and Emergency Management Presidency) has been established • decentralized cat management • Increased cooperation between AFAD and other instittions • Increased involvement into national earthquake issues • Participating into Istanbul Disaster and Emergency Action Plan • Improved the terms and conditions of Tariff and Earthquake General Conditions • Land Registrar Office, Mortgage transaction ,Water Bureau, Electricity Bureau are control points • Public perception on public aid has not been changed AFAD COORDINATING NATIONAL ACTIVITIES

9. ACVIEVEMENTS

10. PENETRATION OPERATIONAL OBSTACLES IN HE FIELD • Lack of coordination • No effective renewal follow-up • Lack of knowledge on promotion and discounts • Lack of necessary information • Inadequate intermediary operation skills • Fraudulent policies • Two policies on one dwelling • Mismatch of policy periods • Printing paper • Collection problem on residual payments • Law commission income • Stretchy cancellation procedure

11. RENEWALS NEW CLIENTS • Emphasizing renewal obligation • Mutual follow-up activities • Establishing centralized call center support center • For renewals • For claim HOUSEHOLDERS PUBLIC RELATION AND EDUCATION • Increase control points • Support internet sales • Establishing centralized call center support center • To reach 10 Mio people • Shared call center sales infrastructure • Organize sales campaign • Increased communication activities TCIP DISTRIBUTION NETWORK CAMPAIGNES PUBLIC OFFICES CHECK POINTS CREDIT CARD PAYMENT SENDING POLICIES BY E-MAIL SENDING POLICIES BY E-MAIL IMPROVED PAYMENT TERMS FOR INSURANCE CO’S CREDIT CARD PAYMENT IMPROVED PAYMENT TERMS FOR INSURANCE CO’S INCREASING PENETRATION RENEWALS NEW CLIENTS • Emphasizing renewal obligation • Mutual follow-up activities • Establishing centralized call center support center • For renewals • For claim • Increase control points • Support internet sales • Establishing centralized call center support center • To reach 10 Mio people • Shared call center sales infrastructure • Organize sales campaign • Increased communication activities

12. HOUSEHOLDERS PUBLIC RELATION AND EDUCATION TCIP DISTRIBUTION NETWORK CAMPAIGNES PUBLIC OFFICES CHECK POINTS INCREASING PENETRATION • Advertising and awareness activities • Increasing public relation activities • Participating in social responsibility projects • Providing broad public support to ZDS (academicians, media, public institutions, local management, art community, businessmen, politicians, construction sector and related foundations and institutions...) • Increasing cooperation with insurance firms and agencies • Improving operational process • Informing agencies more effectively • Increasing practices for motivation regarding sales • Providing collaboration with related public cooperations and institutions • Searching way to provide instant control of policies when the service or administrative act take place • Getting the support of local administratives in this area • Integration with land registry and cadastre (TAKBIS)information system

13. CONTINUES COMMUNICTION AND PUBLIC RELATION Hürriyet treni Turkey tour for 50 days, visiting 45 cities in 2009 • Face to face interaction with 300.000 people in total • Seminars in the cities • “The reality of earthquakes and the importance of mandatory earthquake” • Meetings with local managers • Stands at train stations

14. CONTINUES COMMUNICTION AND PUBLIC RELATION SUCCESS CONDITION: CONTINOUS PUBLIC EDUCATION

15. Bakü, July 2012 THANK YOU !