Liga Asuransi – Indonesian insurance industry Currently facing challenges due to the start of the ASEAN trade and labor free area since 2015. For several types of industry, business actors from each ASEAN member country can freely carry out their business in other countries in the ASEAN region.
The challenges in the future will also be even tougher. Economy 4.0, which is characterized by the use of information technology which dominates world of work activities, requires the quality of Indonesia’s human resources to become increasingly skilled.
Furthermore, in the next five to ten years there will be a free Asian economic market where skilled workers from China, India and other developed Asian countries will be free to work in Indonesia and anywhere in the Asian region.
As a consequence, there are many opportunities and challenges that must be faced by professionals. On the one hand, this opens up wide job opportunities and business opportunities, but on the other hand, it has the impact of increasingly tighter competition because many insurance industry players from other countries have entered the Indonesian insurance industry market.
To face this competition, national and international professional workers require the availability of competent workers in their fields. Many industries require that their workforce have a reliable competency certificate issued by legitimate authority institutions.
In Indonesia competency certificates are issued National Professional Certification Agency abbreviated (BNSP) is an independent institution established by the government to implement the provisions of Article 18 paragraph (5) of Law Number 13 of 2003 concerning Manpower. This agency works for guarantee the quality of competence and recognition of the workforce in all professional sectors in Indonesia through the work competency certification process for workers, both from job training graduates and from work experience.
The main duties and functions of BNSP as a personnel certification authority are in accordance with Government Regulation Number 23 of 2004 concerning National Professional Certification Agency, especially article 4 Paragraph 1. In order to carry out the task of work competency certification as intended in Article 3, BNSP can provide license from a professional certification body that meets the requirements set to carry out work competency certification. Provisions regarding requirements and procedures for granting licenses to professional certification institutions as intended) are further determined by BNSP.
Here are some things related to it Indonesian National Work Competencies in the Indonesian insurance industry what you need to know:
- To answer the above challenges, it has been formed LSP-PI (Indonesian Insurance Professional Certification Institute). Business people and stakeholders in the insurance sector committed to creating quality standards for the competence of qualified and reliable insurance personnel, so that they are ready and able to face competition in the era of globalization. In addition, by having insurance work competency certification, the person concerned will receive proof of written recognition in accordance with work competency standards, both nationally and/or internationally.
- LSP-PI was founded 09 May 8 2014 and is domiciled at Graha APPARINDO, Rukan Sudirman Park, Blok C-25, Jl. KH. Mas Mansyur Kav. 35, Central Jakarta 10220. The formation of LSP-PI was supported by Association of Indonesian Insurance and Reinsurance Broker Experts (APARI) and Association of Indonesian Insurance and Reinsurance Broker Companies (APPARINDO).
- The aims and objectives of establishing LSP-PI are: to carry out certification in the insurance sector, in order to improve the quality and professionalism of test participants through competency tests based on standards in accordance with the proposed scope as proven by a competency certificate LSP-PI, so that in carrying out their duties they can apply the principles, values and norms that apply to the place where they carry out their duties.
- Inside insurance industry, business activities involving consultancy services and insurance brokerage consist of: from the Insurance Brokerage Business and Reinsurance Brokerage Business. According to Law no. 40 of 2014 concerning Insurance, Business Insurance Brokers are consulting and/or intermediary services business in closing insurance or sharia insurance and handling claims settlement by acting for and on behalf of the Policy Holder, Insured, or Participant. Meanwhile, the Reinsurance Broker Business is a consulting and/or intermediary services business in the placement of reinsurance or the placement of sharia reinsurance as well as handling the settlement of claims by acting for and on behalf of an Insurance Company, Sharia Insurance Company, Guarantee Company, Sharia Guarantee Company, Reinsurance Company, or Sharia Reinsurance Company which carries out reinsurance or sharia reinsurance placements. People who work for Insurance Brokerage Companies are called Insurance Brokers; and people who work for Reinsurance Broker Companies are called Reinsurance Brokers.
- To meet these needs, it is necessary scheme for developing competency standards in the insurance sector, including the Insurance Brokerage Business and Reinsurance Brokerage Business sectors in order to meet the demands of insurance service industry authorities, the public, and practitioners in the insurance sector that are recognized nationally and internationally. By preparing this Certification Scheme, it is hoped that Human Resources (HR) in the Insurance Brokerage Business and Reinsurance Brokerage Business in particular and the insurance industry in general can be more skilled, have sufficient knowledge, develop a professional work attitude and good integrity, and be able to compete nationally/ international and insurance players from other countries can be equated with professional competence in the insurance sector in Indonesia.
- Referring to Government Regulation no. 31 of 2006 concerning the National Job Training System, that the development of job training programs prepared based on SKKNI must be adapted to Indonesian National Qualifications Framework (KKNI). Meanwhile, according to Presidential Regulation no. 8 of 2012 concerning the Indonesian National Qualifications Framework, that the KKNI is structured based on levels of work competency qualifications from lowest to highest. Furthermore, this Certification Scheme is prepared with reference to the SKKNI in question and the National Professional Certification Agency (BNSP) Guidelines 201 of 2014. Thus, this Insurance Broker Certification Scheme becomes a guideline in implementing the professional certification program for Insurance Brokers and Reinsurance Brokers.
- Indonesian Insurance Professional Certification Institute (LSP-PI) is a certification body that is independent and professional in providing competency certification for the insurance profession and is a reference for professionalism for the insurance industry workforce in Indonesia.
- LSP-PI tasked with developing competency standards, establishing competency certification schemes and competency test site (TUK) in the insurance sector, and has administrative and technical responsibility for the implementation, guidance and development of competency standards and competency certification.
- As is LSP-PI which is based on Indonesian National Work Competency Standards (SKKNI) in the insurance sector, it is hoped that the insurance industry can have integrity, quality and develop as expected.
- To achieve these aims and objectives, LSP-PI carries out the following activities and functions:
- Prepare and develop certification schemes;
- Create assessment tools and competency tests;
- Providing examiners (assessors);
- Carrying out certification;
- Carrying out certification maintenance surveillance;
- Establish requirements, verify and establish Competency Test Sites;
- Maintaining the performance of assessors and Competency Test Sites;
- Developing certification services;
- Carrying out public relations activities (promotion and publication) of LSP-PI.
LSP-PI’s authority includes:
- Issuing competency certification according to BNSP guidelines;
- Revoke or cancel competency certification;
- Provide sanctions to assessors and Competency Test Sites who violate the rules;
- Proposing new schemes;
- Propose and/or determine competency test costs.
- Indonesian Insurance Professional Certification Institute (LSPPI) carry out certification in the insurance sector based on the Decree of the Minister of Manpower of the Republic of Indonesia No. 23 of 2019 concerning Determination of Indonesian National Work Competency Standards (SKKNI) for Financial and Insurance Activity Categories, Main Classes of Insurance, Reinsurance and Non-Mandatory Social Security Pension Funds in the Insurance Sector, the SKKNI applies nationally and is a reference for the implementation of professional education and training, competency tests, and professional certification.
- Packaging Type: KKNI
| Sector | : | Financial Services and Insurance |
| Sub Sector | : | Supporting Services for Financial and Insurance Activities for the Main Classes of Insurance, Reinsurance and Non-Mandatory Social Security Pension Funds in the Insurance Sector. |
| Field | : | Broker |
| Sub Fields | : | Insurance Brokers and Reinsurance Brokers |
| No. | Competency Level | Possible Department Level |
| 1. | 5 | Insurance Brokers and Reinsurance Brokers |
| 2. | 6 | Member of the Board of Directors at Insurance Brokers and Reinsurance Brokers |
| Expert Staff in Offices other than Head Office | ||
| 3. | 7 | Expert Staff at Head Office |
- Number of Assessors
To date, LSP-PI has around 40 assessors who are certified and have the qualifications to test assessors for levels 5, 6 and 7
- Number of certificate holders
To date, LSP-PI has successfully carried out assessments and provided more than 850 certificates for all levels (5, 6 and 7) and is still processing new ones.
- New Certification Process
LSP-PI in collaboration with TUP Widya Dharma continues to carry out the certification process for new assessee candidates, or for level advancement. For those of you who are interested, please contact TUK Widya Dharma.
LSP-PI continues to improve the quality of work by developing syllabi, KKNI, improving administration by following instructions and directions from BNSP, OJK, APPARINDO, APARI and other institutions related to their duties and responsibilities.
These are some of the things we can say about LSP-PI, hopefully you can understand the functions and responsibilities of LSP-PI in providing certification to professional staff in the insurance industry.
Prospective assessors are advised to immediately register themselves so they can meet the expert qualifications required by the OJK.
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This article is presented by LIGASYS Integrated Insurance Broking System provider for direct brokers and reinsurance brokers. LIGASYS is very helpful in simplifying the process and creating reports in accordance with regulations. Currently, LIGASYS has been used by several brokerage companies and reinsurance brokers.
For more complete information about LIGASYS contact Jamil General Manager at 08129616310, 081286300922 and email muhamad.jamil@ligasys.co.id
