THE RESEARCH ON THE EFFECT OF THE COVID-19 PANDEMIC PERIOD ON THE FINANCIAL RATIOS OF NON-LIFE INSURANCE COMPANIES TRADED ON THE ISTANBUL STOCK EXCHANGE

Abstract

The impacts of the Covid19 Pandemic era have had a significant impact on social and economic life across the globe. The Covid19 Pandemic, which directly affects human health and life, is expected to affect life insurance companies. In addition, it is expected that other sectors such as service, production, education and finance will be adversely affected, indirectly affecting non-life insurance companies as well as life insurance companies. However, no research has been conducted to investigate how the financial ratios of non-life insurance businesses in Turkey were impacted during the Covid19 Pandemic period. The relationship between the financial ratios of non-life insurance companies in the Istanbul Stock Exchange, before and after the Covid19 Pandemic, was examined using the t-Test method. To analyze the effects of the Covid19 Pandemic period on the financial ratios of non-life insurance companies, it was examined whether there was a substantial difference between data from 2018-2019, before the pandemic, and data from 2020-2021, after the pandemic. The financial ratios included in the analysis were determined as the Return on Assets, Liquidity Ratio, Current Ratio, Technical Provisions/Premiums Ratio and Premiums Received/Total Assets Ratio as a result of the literature review. As a result of the study, it was seen that while the profitability of non-life insurance companies increased, their liquidity decreased. However, it was found that this increase and decrease were not significant in terms of pre-pandemic and postpandemic periods.