Quick Sigorta has started selling bond insurance to substitute for letters of guarantee by banks and play a significant role in addressing the collateral requirements of the real economy.

Ahmet Yaşar, General Manager of Quick Sigorta stated: “We have accelerated our activities, which were being carried out in the pilot phase for some time, towards offering the private sector a significant instrument with the aim of addressing the collateral requirements of the private sector in public tender processes, paving the way for credit limits which are currently allocated for letters of guarantee to be used in the fundamental areas of requirement, and disburdening the real economy. As a first in Turkey, while participating in tenders, companies are now able to offer fidelity bonds issued within the scope of Quick Sigorta’s Bond Insurance instead of letters of guarantee.” 

The amendment on Public Procurement Law no 4734, which was published on the Official Gazette as of 5 December 2017, allowed companies to use fidelity bonds issued as a part of bond insurance bought from insurance companies operating in Turkey instead of letters of guarantee by banks while applying to tenders. Within the scope of this amendment, Quick Sigorta had initiated a pilot phase for issuing Temporary Fidelity Bonds to be used in Public Tenders as a first in Turkey.

Ahmet Yaşar, General Manager of Quick Sigorta, say that they have received high demand for Bond Insurance: “Our colleagues were working on the product for nearly 6 months. These studies have already attracted a great deal of attention from the business world, despite being implemented in a narrow field; and addressed a significant requirement. Customers can contact kefalet@quicksigorta.com for detailed information on our high-demand product. We have also started our initiatives with the regulatory authorities towards addressing the requirements of customs brokers.

Levent Uluçeçen, CEO of Quick Sigorta, added as follows:  “Letters of guarantee account for 75 percent of non-cash loans issued by banks; and 100 percent of letters of guarantee are issued by banks. On the contrary, they are completely issued by insurance companies in USA. This rate is 50 percent in the Asia Pacific region, and 25 percent in Europe. Since the beginning of our operations, we have considered the requirements of our country and the economic system, and provided supply for demands.” Stating that they are happy to initiate firsts in the market, Levent Uluçeçen said: “Our teams are working on new products that are longed for and can address requirements in many fields. As a young company, I am really pleased with our brand recognition and the number of policies we have issued so far.”