The general insurance industry in Indonesia posted premium income of IDR80.12tn ($5.85bn) in 2019. This represented a 14.62% increase over 2018, according to data from the Financial Services Authority (OJK).
Statistics Indonesia ( BPS) has announced that Indonesia’s economic growth rate in 2019 reached 5.02%, lower than the 5.17% achieved in 2018. This means that the general insurance business is still growing strongly in a slowing domestic economy, reported Kontan.
As for 2020, the Indonesian General Insurance Association (AAUI) is optimistic about the non-life market. AAUI executive director Dody Achmad Sudiyar Dalimunthe said, “We do estimate that total general insurance premiums grew by 14% during 2019. For 2020, we estimate they will grow by 17%.”
AAUI expects in 2020 the drivers of non-life business will be property, motor and credit insurance.