ERDEM-NEWSLETTER-2018-metin

104 NEWSLETTER 2018 The Recent Motor Vehicles Insurance Decision of the Competition Board * Prof. Dr. H. Ercument Erdem Introduction TheCompetitionBoard (“Board”), in its decision dated 19.07.2017 and numbered 17-23/383-166 1 (“Decision”), examined the allegation that insurance companies operating in Turkey are engaged in concert- ed practices or agreements that limit and corrode competition by way of increasing prices, collectively, in the Motor Vehicles Compulsory 3rd Party Liability Insurance (“motor vehicles insurance” market, and that they apply excessive prices, and engage in market sharing. The Board decided in the decision by a large majority, that Article 4 of the Act on the Protection of Competition numbered 4054(“Competition Act”) 2 has not been breached by the undertakings and association of undertakings that have been investigated and, thus, there is no neces- sity to impose an administrative monetary fine upon the undertakings, pursuant to Article 16 of the said Competition Act. In this article, this important decision of the Board is examined. The Summary of the Claims Between the years of 2015 and 2017, the Competition Authority (“Authority”) received more than ten applications, and various claims were asserted. In the scope of these claims, firstly, it is stated that “ the premium amounts of the Motor Vehicles Compulsory 3rd Party Liability Insurance (“motor vehicles insurance ”) has increased up to two-three times in the last couple of years upon implementation * Article of January 2018 1 Access is available for the decision of the Competition Board’s Decision dated 19.07.2017 and numbered 17-23/383-166 (“Decision”) from http://www.rekabet . gov.tr/Karar?kararId=2d95eb1c-2fd9-4d1b-8236-ee7d2dfa5805. 2 OG, 13.12.1994, No. 22140.