The Indonesian General Insurance Association (AAUI) released a standard code of practice for general insurance agents.
This is set out in “Standards of Practice and Code of Ethics for Indonesian General Insurance Agents”, reported Kontan.
AAUI executive director Dody Dalimunthe explained the standards and code are drawn up in fulfilment of the insurance law and as a guide for AAUI members in carrying out insurance distribution and in working with general insurance agents. This issuance is to standardise rules of conduct and ethics for general insurance agents who have an agency agreement with an insurance company that is an AAUI member.
AAUI deputy chairperson for the agency sector, Mr Bambang S Soekarno, added that one of the important points stipulated in this code of conduct is that an insurance agent is not allowed to be tied to more than one insurance company.
Insurance agents must be registered with the Financial Services Authority (OJK), and the AAUI is authorised by the OJK to register general insurance agents. The insurance agent must submit a registration application to the Association.