The dynamics of the Indonesian insurance industry continue to move rapidly, influenced by regulatory pressures, technology, new risks, and changing consumer behavior. In the past week alone, various strategic developments have emerged—from government warnings about the risk of data breaches due to the use of AI, to global tariff reductions fueling fiercer competition, to product innovation and digital transformation across various sectors. For industry players, brokers, and risk owners, understanding this news landscape is not just about staying informed, but also serves as the basis for strategic decision-making in risk management and future business protection. The following summary summarizes seven key news stories that provide a comprehensive overview of the current state of the insurance market.
Rule Co-Payment Deemed to Have No Significant Impact on Corporate Insurance Customers
The government is currently preparing risk sharing regulations orco-payment in health insurance, with the amount expected to drop from 10% to 5%. However, this policy is not expected to have a significant impact on corporate insurance customers. Maximilian Agatisianus, President Director of PT Asuransi Astra Buana, explained that corporate customers generally participate in group insurance schemes, where premiums are paid by the company, not the employee. Therefore, the burden of co-payment will likely also be covered by the company, so the impact on individuals will be barely noticeable.
According to Max, the policyrisk sharingIt’s even more relevant for retail customers because it can encourage them to be more judicious in using their insurance benefits. He’s also optimistic about the prospects for corporate health insurance, particularly Garda Medika and Garda Healthcare, which currently account for around 20% of Asuransi Astra’s portfolio.
Meanwhile, data from the Indonesian Life Insurance Association (AAJI) shows positive industry growth in the first half of 2025, with revenues rising 3.6% to Rp109 trillion and the number of insured increasing 8.8%. However, individual health claims actually jumped 25.5%, indicating a growing need for individual protection amid policy adjustments to this co-payment.
BRI Life LaunchesBRILifeInspira, Life Protection up to the Age of 99 Years
BRI Life, a subsidiary of PT Bank Rakyat Indonesia (Persero) Tbk, has launched a new life insurance product called BRILifeInspira, which provides protection until the insured reaches the age of 99. BRI Life Marketing Director Sutadi explained that this product is designed to meet the protection needs of the middle class with competitive premiums and comprehensive benefits.
BRILifeInspiraoffers four main benefits. First, a death benefit of 100% of the Sum Insured (UP). Second, if the insured dies due to an accident, the customer will receive an additional 100% of the UP, bringing the total to 200%. Third, if the insured survives until the insurance period ends, 100% of the UP plus the cash value will be paid. This product also offers flexible premium payment options: a single payment, 5 years, or 10 years, with a minimum UP of IDR 200 million.
The insured’s entry age is set from 1 to 65 years old, with a maximum additional accident benefit limit of IDR 1 billion. Sutadi added that BRI Life has prepared an integrated digital platform to support agents in marketing the plan.BRILifeInspiraHe is optimistic that this product will strengthen business growth while raising public awareness of the importance of long-term life insurance.
Global and Indonesian Insurance Rates to Decrease in Q3/2025, Competition Between Companies Intensifies
Report Marsh Global Insurance Market Index Global insurance rates fell 4% in the third quarter of 2025, marking the fifth consecutive decline. This trend is driven by abundant market capacity and intense competition among insurers, resulting in clients now enjoying more flexible policy terms and broader coverage.
The rate decline was also driven by more favorable reinsurance pricing, particularly in property, cyber, and financial and professional lines, all of which saw declines in every region. The only line that continued to increase was casualty insurance, with a 3% global increase, primarily due to high claims frequency in the United States.
In Asia, insurance rates fell 5%, higher than the global average. Financial and professional lines led the decline, falling 8%, followed by property and cyber, each at 5%.
Meanwhile, Indonesia recorded a 3% composite decline, continuing the downward trend over the past three quarters. The steepest decline occurred in the financial and professional lines (-6%), followed by property and cyber (-2% to -3%). This indicates increasingly aggressive competition among insurance companies amidst increasing market capacity.
Despite Slow Growth in the Insurance Industry, the Role of Loss Adjusters is Increasingly Vital in Maintaining Public Trust.
The Indonesian commercial insurance industry recorded premium revenue of Rp246.34 trillion from January to September 2025, a slight year-on-year (yoy) growth of 0.38%. This performance underscores the crucial role of loss adjusters in maintaining objectivity and transparency in the claims process amidst increasingly complex industry dynamics.
As a leading player in this sector, PT Atlas Adjusting Indonesia affirms its commitment to focusing not only on business growth but also on building a professional, collaborative, and future-oriented insurance ecosystem. In the digital era, Atlas is developing a technology-based reporting and data management system to improve the efficiency and accuracy of claims analysis results.
Hadi Widyanto, Director of PT Atlas Adjusting Indonesia, emphasized that the role of loss adjusters extends beyond ensuring claims are processed objectively and objectively, but also through maintaining public trust in the national insurance industry. He believes the future of the insurance industry will be stronger if all parties, from insurance companies and regulators to loss adjusters, work together to maintain integrity and trust in every claims process.
Komdigi Warns of Risk of Data Leaks in the Insurance Industry Due to AI Use
The Ministry of Communication and Digital (Komdigi) has highlighted the increasing risk of personal data misuse in the insurance industry due to the widespread use of artificial intelligence (AI). Komdigi Deputy Minister Nezar Patria stated that while AI-based automation of services such as claims and customer service increases efficiency, it also opens up the potential for serious cybersecurity vulnerabilities.
According to Nezar, AI technology requires vast amounts of personal data to train its models. This increases the risk of data leaks and misuse of sensitive customer information. The financial industry, including insurance, has even become a prime target for cyberattacks, which not only harm users but also tarnish companies’ reputations.
He emphasized that personal data protection is already regulated in Law Number 27 of 2022 concerning Personal Data Protection (PDP Law). The government is currently preparing a derivative regulation in the form of a Presidential Regulation to strengthen oversight and law enforcement.
Nezar also urged insurance industry players to better understand their rights and obligations regarding personal data management and to implement optimal cybersecurity to maintain public trust in the era of digital financial services.
Source: https://www.tempo.co/digital/komdigi-ingatkan-kerentanan-industri-asuransi-gara-gara-ai-2089054
Indonesia’s Insurance Assets Reach Rp1,182 Trillion! OJK Reveals Positive Performance Amid Economic Challenges
The Financial Services Authority (OJK) noted that the Indonesian insurance industry continues to grow positively amid global economic uncertainty. As of September 2025, total assets of the national insurance industry reached Rp1,182.21 trillion, a 3.39% year-on-year (YoY) increase.
Ogi Prastomiyono, Chief Executive of Insurance, Guarantee, and Pension Fund Supervision at the Financial Services Authority (OJK), explained that this growth was supported by two main sectors: non-commercial insurance and commercial insurance.
Non-commercial insurance assets, which include BPJS Kesehatan (Healthcare Social Security Agency), BPJS Ketenagakerjaan (Employment Social Security Agency), and the civil servant (ASN), TNI (Indonesian National Armed Forces), and Polri (Indonesian National Police) insurance programs, reached Rp222.67 trillion, up 1.21% year-on-year. Premium income also grew 6.09% year-on-year to Rp143.67 trillion.
Meanwhile, commercial insurance recorded total assets of Rp958.54 trillion, up 3.91% YoY, with premium income of Rp246.34 trillion, or growing 0.38% YoY.
This positive performance demonstrates the resilience of Indonesia’s insurance sector, reflecting growing public awareness of the importance of financial and health protection amidst global economic dynamics.
Forrester Predicts 2026: Cyber Insurance and Microinsurance Will Drive Industry Growth
Forrester’s Predictions 2026: Insurance report projects that the global insurance industry will undergo a major transformation by 2026. The primary focus of insurers will shift to three strategic areas: improving customer experience (CX), expanding cyber protection, and developing microinsurance to reach new markets.
Forrester predicts cyber insurance will grow 15% by 2026, driven by the increasing risks associated with the use of artificial intelligence (AI). Insurance companies are being encouraged to not only pay claims but also take an active role in mitigating cyber risks with new underwriting models that are more adaptive to AI threats.
On the other hand, microinsurance is expected to grow by 5%, as demand from freelancers and gig workers increases in a global market projected to reach US$600 billion by 2025.
Meanwhile, three major property and general insurance companies in North America are said to be doubling their CX investments to restore customer trust after declining satisfaction levels by 2025.
Forrester Principal Analyst Rohit Makhijani emphasized that AI will be both an opportunity and a threat, and only companies that adapt to innovation, efficiency, and personalized services will be able to survive and excel in 2026.
Considering the overall developments above, it’s clear that the insurance industry is entering a phase of major adjustment—both in terms of regulation, competition, technological risks, and demands for claims transparency. For business actors and risk owners, each of these changes carries strategic implications that need to be anticipated early: from strengthening governance and data security, capitalizing on the momentum of declining rates, ensuring protection designs align with actual risks, to selecting insurance partners and brokers capable of providing a consultative approach, not just an administrative one. Going forward, only organizations that are responsive to change and proactive in risk management will be able to maintain business resilience and increase competitiveness amidst market uncertainty.
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