Insurance, risk, and society: understanding earthquake insurance uptake in a high-risk country

This study aims to examine the supply and demand dynamics of disasters, insurance, particularly earthquake-focused policies, through a qualitative analysis of Türkiye. Despite being located in a region with a high earthquake risk, Türkiye faces significant challenges due to insufficient public awareness and participation in the insurance system. The primary motivation of this research is to understand the current state of the insurance framework designed to mitigate the devastating impacts of earthquakes and to identify areas for improvement. Employing a qualitative research approach, the study conducted in-depth interviews with two key stakeholders in the insurance sector: insurance agents and households, which represent policyholders. This method allowed for a comprehensive analysis of the economic, social, cultural, and structural factors influencing both the supply and demand for earthquake insurance from multiple angles. The findings reveal that, especially in developing countries, increasing the prevalence of disaster insurance depends not only on legal regulations but also critically relies on raising social awareness and building trust within communities. Based on these insights, the study offers concrete recommendations aimed at policymakers and industry representatives to strengthen the insurance system. The results obtained from the Turkish context are expected to serve as a guiding reference for other countries facing similar risk profiles.