OJK Strengthens Health Insurance Sector Amidst Ongoing Reform

BALI, RAKYAT NEWS— The Financial Services Authority (OJK) is currently enhancing the development of health insurance products to support the increase in penetration and density of the insurance industry in Indonesia.

Ogi Pratomiyono, the Executive Head of Insurance Supervision, Guarantees, and Pension Funds at OJK, revealed that OJK is reviewing health insurance products as part of the effort to reform the insurance sector, which has not been addressed since the 1997-1998 financial crisis.

In the period from January to June 2024, health insurance premiums in the general insurance sector reached IDR 4.81 trillion, an increase of 16.88 percent compared to the previous year. Health insurance claims also rose by 7.04 percent, reaching IDR 3.45 trillion in the second quarter of 2024.

Ogi Pratomiyono added that these strengthening measures are expected to support the transformation of the insurance sector in Indonesia and maintain the positive growth trend for general insurance in the future.

OJK has launched the 2023-2027 roadmap for the development and strengthening of the insurance sector as part of the implementation of the Financial Sector Development and Strengthening Law (P2SK)

This legislation was passed to address various issues within the financial sector and strengthen the regulatory framework in Indonesia. The OJK as the financial services authority, responsible for regulating and supervising financial services in Indonesia.

It aims to enhance the stability and resilience of the financial sector, improve governance, and provide better protection for consumers. It also includes provisions to modernize financial regulations, support financial inclusion, and promote sustainable finance. The OJK plays a key role in implementing and enforcing this law, ensuring that the financial sector operates safely and efficiently. (Uki Ruknuddin)