For Indonesia's Financial Services Authority (OJK) insurance is not merely an instrument for risk management, but part of the national conomic infrastructure that supports societal resilience, business continuity, and economic stability. This was according to OJK Chairman Friderica Widyasari Dewi during her opening remarks at the 3rd Indonesia Insurance Summit.
“The world today is facing increasing uncertainty. Geopolitical dynamics, climate change, economic developments, and various other structural changes have fundamentally transformed the risk landscape. In this context, the insurance sector holds an increasingly strategic role,” she said, adding that Indonesia has enormous opportunities to strengthen that role.
With a population of more than 280m people, all of whom are facing growing protection needs, the insurance sector's growth potential remains wide open, Ms Dewi said.
“This prospect is reflected in industry performance that continued to grow positively through April 2026. Total insurance industry assets reached IDR 1,200tn ($67.5m), growing by 3.39%, while premium income reached IDR 182.5tn, growing by 2.9%. This growth demonstrates the industry's increasing capacity to carry out its risk protection function while also providing long-term financing for the national economy.”
She said that this role becomes even more important as Indonesia pursues its vision of Indonesia Emas (Golden Indonesia) 2045 through the National Long-Term Development Plan 2025–2045. “No developed nation has been built on a weak risk protection system. Therefore, strengthening the insurance sector is not just an industry agenda, but instead part of the national development agenda.”
Trust, she said, was the primary foundation for the sustainability and growth of the industry, emphasising that the many reform agendas that OJK has pursued and will continue to pursue over the next 2 decades all converge on one shared goal: building and maintaining public trust in Indonesia's insurance sector.
In recent years, OJK has consistently implemented an insurance sector reform agenda through improvements in capital adequacy, governance, risk management, consumer protection, product quality, and human resource development, all with the aim of building a stronger, healthier, and more sustainable industry foundation going forward.
“This transformation must continue,” she said. “The industry must become increasingly adaptive to change, increasingly innovative in meeting the needs of the public, and increasingly capable of building public trust as the primary driver of its growth.”
With an increasingly strong foundation, the insurance sector is expected to play a greater role in closing the protection gap, expanding coverage against societal risks, supporting the resilience of SMEs and the business community, and strengthening its role as an institutional investor and source of long-term financing for national development.
“In other words, insurance is increasingly positioned not merely as a financial instrument, but as a development instrument that contributes to the creation of a resilient, inclusive, and sustainable economy,” she said.
The 3rd Indonesia Insurance Summit took place from 11 to 13 June, and was organised by the Indonesian Insurance Council.