The Indonesian archipelago will continue to have wet rainy season during 2025 as the impact of La Niña continues. The country can expect high intensity rainfall to occur until April and thereby increasing the risk of catastrophic events causing much disaster in the country.
Beginning 1 January 2025 Indonesia has launched a new job loss insurance programme (Jaminan Kehilangan Pekerjaan, JKP) that will provide an important support element for the laid-off employees in the country. This will benefit around 3.76m workers in 110,000 companies across Indonesia.
The Indonesian insurance industry will face great opportunities as well as significant challenges in 2025, a senior official of the Financial Services Authority (OJK) has said.
The Indonesian Life Insurance Association (AAJI) has said that there are four challenges faced by the sector which are predicted to persist into 2025.
The Indonesian government's plan to increase the Value Added Tax (VAT) from 11% to 12% starting in January 2025 will affect the bottomline of the sector, according to the chairman of the Indonesian General Insurance Association (AAUI) Mr Budi Herawan.
The average health claims loss ratio in Indonesia reached 105.7% in the first quarter of 2024 and is expected to increase even more in 2025, says WTW, a leading global advisory, broking and solutions company.
AIA has introduced the Premier Hospital & Surgical Saver (PHS Saver) to better serve consumers in relation to the increase in demand for individual health insurance products.
Oona Insurance has appointed Mr Praveen Paladugu as group head of agency distribution. In his new role, he will oversee agency distribution channels across Indonesia and the Philippines, with a mandate to elevate agent performance, align distribution efforts with corporate objectives and ensure agents are well-equipped to thrive in a rapidly evolving insurance industry.
To counter high medical inflation, the Financial Services Authority (OJK) is planning several initiatives for the health insurance market in Indonesia, the chief executive of the Insurance, Guarantee and Pension Fund Supervisory Division of OJK, Mr Ogi Prastomiyono, has said.
Tugu Reasuransi Indonesia's (Tugure) combined ratio is expected to remain volatile due to the reinsurer's exposure to claim risk from the property and credit insurance businesses, said Fitch Ratings Indonesia (Fitch).