Takaful (Participation) Insurance
As of 19.06.2021, the Agricultural Insurance Pool (TARSİM) has adapted all its transactions regarding insurance policies issued through member insurance companies engaged in participation insurance activities to the principles of participation insurance in line with the rules and methods approved by the Advisory Committee. For this purpose, "Implementing Principles and Procedures for the Establishment and Operation Principles of the Participation Pool within the Scope of Participation Insurance" was prepared and put into practice.
What is Takaful (Participation) Insurance?
Definition
It refers to insurance activities carried out in accordance with participation principles.
Participation Principles: It refers to the procedures and principles determined by the advisory committee based on the relevant provisions in order to ensure that insurance or private pension activities are carried out within the framework of the "Regulation on Insurance and Private Pension Activities within the Framework of Participation Principles".
Organization: It refers to the Agricultural Insurance Pool and Natural Disaster Insurance Pool, which have products or services based on participation or offer products and services through companies operating within the framework of the provisions of the "Regulation on Insurance and Private Pension Activities within the Framework of Participation Principles"; the Assurance Account, Turkish Motor Vehicle Bureau and other related pools, funds, accounts and the company holding them, which perform their duties with the contributions from the said companies.
Participation Pool: It refers to the Participation Pool where financial assets arising from participation-based activities are managed within the framework of participation principles.
Participation Reinsurance: It refers to the assurance of the risks belonging to the Participation Pool established within the scope of Participation Insurance within the framework of participation principles.
Deficit Coverage: It refers to the loan or donation given by TARSİM and/or participants in order to meet the possible cash needs of the Participation Pool.
Advisory Committee: It refers to the committee tasked with ensuring the execution of insurance and private pension activities within the framework of participation principles.
Legislation
Company Applications
Branches Where Participation Insurance is Applied
TARSİM offers its products in the branches of "State Subsidized Crop Insurance, State Subsidized Greenhouse Insurance, State Subsidized Village-Based Drought Yield Insurance, State Subsidized Cattle Insurance, State Subsidized Sheep and Goats Insurance, State Subsidized Poultry Insurance, State Subsidized Aquaculture Insurance and State Subsidized Bee Hives Insurance" to producers through member insurance companies operating on a participation basis within the framework of the Advisory Committee's approval.
State Supported Agricultural Insurance contracts are issued on a participation basis through member insurance companies and/or their agents holding participation insurance licenses, and all kinds of business and transactions related to State Supported Agricultural Insurance policies issued on a participation basis are carried out within the framework of participation principles under the supervision of the Advisory Committee.
Reinsurance Practices and Reinsurer Partnerships
Reinsurance is the transfer of a risk that has been insured by insurance companies to other insurance and/or reinsurance companies. This process is realized by transferring the State Supported Agricultural Insurance premiums to the other insurance and/or reinsurance company within the scope of the agreement