An active player in non-life insurance, Eureko Sigorta plans to increase its market share, which was 5.3 percent last year, to 7 percent in 2012. The company, which increased its premium production by 12.7 percent last year, aims to grow 20 percent this year.

Noting that forecasts are for 8 to 10 percent growth in the insurance sector this year, Director-General Okan Utkueri said Eureko aims to produce 650 million Turkish Liras in premiums this year.

Eureko Sigorta focuses also on the “bancassurance” model, named after the term used to describe the partnership between a bank and an insurance company, whereby the insurance company utilizes the bank’s sales channels.

The company will utilize the bancassurance model effectively via its cooperation with Garanti to increase its market share. Eureko aims to rise its market share half a percentage point this year and in 2011.

Eureko is content with the Eureko Sigorta’s performance, said Utkueri, speaking to Referans business daily. The company will maintain a sustainable profitable growth pattern, he said.

Eureko BV has an 80 percent stake in Eureko Sigorta, while Garanti has 20 percent. Thomas van Rijckevorsel, a board member of Eureko BV, said last month that Garanti has a put option for its shares. If the bank wants to sell its shares, then Eureko will be asked to purchase them first.

Utkueri said no decision has been taken on a possible share transfer from Garanti to Eureko. “First of all, Garanti should decide what to do in this issue. Eureko is glad to be in the Turkish market and cooperating with Garanti,” he said.

Eureko Sigorta ended last year with a 12.7 percent increase and more than 539 million liras in premium production, compared to 2008. The company increased its market share, which was 4.1 percent in 2006, to 5.3 percent last year. Eureko is the sector leader in bancassurance as the share of Garanti Bank is 23 percent in Eureko Sigorta’s total premium production.