Liga Asuransi – In the midst of the transformation and dynamics of the Indonesian insurance industry, a number of large companies such as Jasindo, PasarPolis, and Allianz continue to move forward, presenting new innovations and collaborations to expand access and services for the community. This development is not only driven by the company’s efforts to improve the efficiency and effectiveness of services, but also by government support and regulations that encourage the development of insurance in various sectors, from transportation, agriculture, to motor vehicles. In this article, we summarize some of the latest news in the Indonesian insurance industry which shows how players in this industry are ready to welcome a new era with optimism and sustainable strategies.
PasarPolis and Gojek collaboration. Insurance is Getting Easier, Enough Tap Just
PasarPolis has once again strengthened its collaboration with Gojek, part of the GoTo Group, in an effort to expand access to insurance for millions of users in Indonesia. PT Pasarpolis Insurance Broker, PasarPolis’ strategic partner, succeeded in winning this competitive tender, emphasizing its role as a trusted digital insurance solutions provider.
Steven Halim, Head of Transport and Logistics Gojek, stated that this collaboration is clear evidence of Gojek’s commitment to protecting consumers and driver partners through quality insurance products. Some of the products offered through this partnership include SafeTrip for travel protection, package delivery insurance with GoSend, large goods delivery services through GoBox, to B2B2C insurance for GoKilat.
PasarPolis, which has partnered with Gojek since 2018, now relies on automation technology to increase the efficiency of policy issuance and claims processes. With the support of Tap Insure as underwriter, PasarPolis provides an easier and hassle-free insurance experience for Gojek customers.
Through the integration of this advanced technology, PasarPolis hopes to provide insurance services that are seamless and easy to access with just one tap, or as simple as “Just Tap In.” PasarPolis’ mission to democratize insurance continues with funding support of USD 54 million which it received in 2020.
Source : https://www.medcom.id/ekonomi/bisnis/ybJ36onk-gandeng-gojek-pasarpolis-perluas-pemasaran-asuransi
AAUI: High Optimism for Fulfilling Minimum Insurance Capital amidst Challenges
The Indonesian General Insurance Association (AAUI) emphasizes its commitment not to give up in facing the challenges of meeting minimum capital in the insurance industry. With the implementation of Financial Services Authority Regulation (POJK) 23/2023, insurance companies must be prepared to meet the minimum capital set starting in 2026: IDR 250 billion for general insurance, IDR 100 billion for sharia insurance, IDR 500 billion for reinsurance, and IDR 200 billion for sharia reinsurance . However, the latest data from the OJK shows that until August 2024, there are still 45 companies that have not fulfilled this requirement.
AAUI General Chair, Budi Herawan, stated that the association would not ask for leniency from the OJK, but would try hard to comply with existing regulations. “We have to be optimistic and not give up at the start,” he said.
This challenge is further exacerbated by the increase in minimum capital requirements which will take effect in 2028. Budi said that one of the strategic steps to meet the minimum capital is through mergers and acquisitions. Even so, he predicts that there will still be around 5 to 6 companies that will survive in 2026.
With this minimum capital requirement, Budi believes that the insurance industry will be encouraged to improve and innovate for business continuity. “A healthy industry will attract more investment, and shareholders will get better returns,” he concluded.
AAUI’s optimism and the strategic steps taken show that the insurance industry in Indonesia is working hard to adapt and develop despite challenging conditions.
Allianz Enters the Rank of the World’s Strongest Brands in 2024. Sustainable Commitment in the Insurance and Sports Sectors
Allianz further strengthens its position as one of the world’s most valuable brands in 2024, rising to 29th place on the list Best Global Brands Interbrand version. With a brand value of US$23.5 billion, Allianz has been recognized as the most valuable financial services brand for the sixth year in a row. This growth cannot be separated from Allianz’s focus on sustainability, strategic collaboration in the sports sector, and a work culture that respects employees.
In Indonesia, Allianz also received recognition as Great Place to Work 2024, thanks to a safe working environment that supports employee development. According to an internal survey, 98 percent of employees felt Allianz Indonesia was a safe place to work, while 97 percent felt welcomed when they joined.
On a global scale, Allianz continues to support sport as a means to promote healthy lifestyles. Allianz has been an official partner of the Olympic and Paralympic Games since 2020, and supports various sporting events in Indonesia. Allianz also sent three talented teenagers from Indonesia to participate in the program MoveNow Camp-Global Edition in Munich, where they receive professional athletic training to hone their physical and mental skills.
Through this initiative, Allianz hopes to build a younger generation that is healthier and has great potential in the field of sports, while at the same time emphasizing the importance of a healthy lifestyle for the wider community.
Sumenep Government Supports Tobacco Farmers with Free Employment Insurance
The Sumenep Regency Government shows its commitment to improving the welfare of tobacco farmers by launching a free employment insurance program. This program is fully funded through the Tobacco Excise Revenue Sharing Fund (DBHCHT), providing protection for farmers who often face risks in their work.
The Head of the Sumenep Manpower Service (Disnaker), Heru Santoso, announced that more than 2,400 tobacco farmers would be registered to take part in this insurance program. “Data collection will be carried out directly by our team with support from the local Agriculture Service,” he said on Wednesday (23/10/2024). This step is expected to provide significant protection for farmers, helping them deal with risks that may occur during the farming process.
Heru added that this program is not just a formality, but is part of the government’s efforts to ensure the safety and welfare of farmers. “The benefits that farmers will receive include death insurance and work accident insurance. This is important to provide a sense of security for those at high risk,” he explained.
In terms of financing, if employment insurance costs exceed the DBHCHT budget, the regional government will use the Regional Revenue and Expenditure Budget (APBD) to ensure the continuity of the program. “We are committed to ensuring that all registered farmers, especially those in need, continue to receive proper protection,” added Heru.
With this initiative, it is hoped that tobacco farmers in Sumenep Regency can work with more peace of mind, knowing that they are protected from possible risks, while increasing their productivity and welfare.
Jasindo Welcomes Golden Opportunities in the New Government Era, Transport Insurance and Agriculture are Ready to Develop
PT Asuransi Jasa Indonesia (Jasindo) is optimistic about facing great opportunities under the new leadership of President Prabowo Subianto and Vice President Gibran Rakabuming Raka. Diwe Novara, Director of Business Development at Jasindo, explained that sectors such as transport insurance, agriculture, property, credit and health have great potential to develop in line with the government’s ambitious plans.
Transport insurance, for example, will be urgently needed to support food distribution for millions of people, including students and pregnant women who receive free food from the government. In addition, agricultural insurance will protect farmers from the risk of crop failure under the national food storage program. The three million home building program also opens up opportunities for property and credit insurance, while more affordable health insurance supports wider public health checks and treatment.
However, Diwe emphasized the importance of the government’s role in providing regulations and incentives, as well as the insurance industry’s readiness to adopt technology and innovation that supports efficiency. Insurance literacy among the public is also an important factor in increasing demand.
With the support of government programs that are in line with Jasindo’s strategy, this company is ready to increase premiums, including from the Rice Farming Business Insurance (AUTP) which supports rice self-sufficiency in the next four years.
Mandatory Motor Vehicle Insurance Will Be Implemented Soon, Are You Ready?!
Towards the implementation of mandatory insurance regulations for motor vehicles, PT Jasaraharja Putera (JRP Insurance) has prepared by developing a third party liability (TPL) insurance product that protects vehicle owners from the risk of damage to third party property. The combination of body injury insurance managed by Jasaraharja and TPL managed by JRP Insurance will provide a more comprehensive integrated service.
Abdul Haris, President Director of JRP Insurance, explained that the TPL product is currently still voluntary, but his party has prepared itself if the mandatory motor vehicle insurance regulations are implemented. This is in line with the government’s plan to implement mandatory TPL insurance starting January 2025, in accordance with the provisions of the Financial Sector Development and Strengthening Law (UU PPSK).
The Indonesian Motor Association (IMI) welcomed this discourse positively. Rifat Sungkar, Deputy Chair of IMI, believes that TPL insurance premiums are currently quite affordable, so it will not be a burden on the public if this rule is implemented. With a premium of IDR 20,000 for motorbikes and IDR 100,000 for cars per year, vehicle owners will get protection against risks involving third parties.
The government is currently preparing derivative regulations that will clarify the implementation of this mandatory insurance. According to OJK, this government regulation is expected to be completed in January 2025, in accordance with the provisions of the PPSK Law. When this regulation officially comes into effect, all vehicles in Indonesia are required to have TPL insurance to protect the risk of accidents involving third parties.
Looking at the Future of Digital Insurance, Opportunities and Challenges in the Millennial and Gen Z Era
PT Main Solution Tekno Broker is optimistic about the great potential of the digital sector to increase the contribution of insurance premiums in Indonesia. Although the contribution of the digital sector is still small—only 0.8% of total general insurance premiums until mid-2024—changes in consumer behavior are a promising opportunity. Millennials and Gen Z, who are increasingly comfortable with digital platforms, are the main targets for expanding technology-based insurance businesses.
Delta Andreansyah, Head of B2C Igloo Indonesia, emphasized that easy access through digital technology is the main key in attracting consumer interest. Igloo’s main strategy is to increase insurance literacy and provide transparency in submitting claims. Even though the big challenge is the low awareness of insurance products in Indonesia, with a literacy rate of only 31.72% and inclusion of 16.63%, the digital sector still has big opportunities to grow.
While insurance brokers still dominate premium distribution with a contribution of 34.5%, Delta believes that the digital sector can grow rapidly by ensuring good and transparent claims services. In the future, digital technology is expected to become an important pillar in driving the growth of the insurance industry in Indonesia.
This news is presented by L&G Insurance Broker, insurance broker experienced in Indonesia.
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