Jakarta (ANTARA) - The Indonesian Life Insurance Association (AAJI)\nrecorded positive business performance growth in the first semester,\ncovering January to June 2026, as reflected by increases in premium\nincome, the number of policies, and the number of insured\nindividuals.<\/p>\n
AAJI Board Chairman Albertus Wiroyo stated that unweighted life\ninsurance premium income for the first semester of 2026 reached Rp94.75\ntrillion, representing an 8.2 per cent year-on-year growth. \u201cThis shows\nthat public demand for insurance premiums remains steady and that the\nownership of life insurance protection is expanding within our society,\u201d\nAlbertus said during a press conference regarding the Life Insurance\nIndustry Performance Report for Semester I 2026 in Jakarta on\nMonday.<\/p>\n
Albertus noted that the number of life insurance policyholders also\nshowed positive growth of 24.8 per cent, rising to 153.58 million people\ncompared to 123.08 million in the previous year. Meanwhile, the number\nof policies also recorded positive growth of 7.7 per cent, reaching\n22.44 million policies.<\/p>\n
In terms of weighted premium income, figures remained relatively\nstable compared to last year at Rp58.06 trillion, experiencing a slight\ndecrease of 0.8 per cent. Albertus remarked that despite the dynamics in\ntotal industry premium income, positive growth remains evident,\nindicating that the demand for insurance protection remains strong.<\/p>\n
Based on product type, total premium income from both traditional\nproducts and unit-linked (investment-linked) products both showed\ngrowth. Traditional products increased by 6.9 per cent to Rp59.03\ntrillion, while unit-linked premiums rose by 10.3 per cent to Rp35.73\ntrillion.<\/p>\n
He stated that this growth composition serves as a note for the\nindustry to provide a variety of insurance product options, accompanied\nby education and transparency that aligns with the needs and financial\ncapabilities of the public. \u201cThe composition shows that public needs are\nbecoming more diverse; some prioritise protection, while others still\nrequire products that combine protection with investment elements,\u201d he\nsaid.<\/p>\n
AAJI also observed growth in new business premiums, where traditional\nproducts grew by 14.2 per cent to Rp37.97 trillion, while unit-linked\npremiums grew by 34.5 per cent to Rp19.78 trillion. This growth in new\nbusiness indicates that demand for new protection continues to rise and\nthat the public is still seeking insurance solutions that suit their\nfinancial conditions and objectives.<\/p>\n
Regarding payment methods, AAJI noted an increase in single premiums\nto Rp40.76 trillion, a 26.3 pert cent increase from the previous year,\nwhile regular premiums stood at Rp53.99 trillion, a decrease of 2.4 per\ncent compared to last year. This implies that the growth in premium\nincome in the first semester was largely supported by single premium\npayments.<\/p>\n
This also reveals a shift in customer payment patterns, with more\nindividuals being attracted to single premiums due to the flexibility of\nbeing able to withdraw funds if needed in the future.<\/p>\n
Furthermore, premium income growth was also observed in life\ninsurance ownership, where the individual segment remained the largest\ncontributor with premiums of Rp75.12 trillion, a 7.4 per cent growth,\nwhile the group segment grew by 11.0 per cent to Rp19.63 trillion.\nAlbertus stated that growth in both segments shows that the need for\nprotection is expanding in both individual categories and through\ncollective schemes provided by companies or institutions. He added that\nthis presents an opportunity for the industry to expand protection\npenetration across various segments of society.<\/p>", "url": "https:\/\/jawawa.id\/newsitem\/aaji-records-positive-growth-in-insurance-industry-for-first-semester-of-2026-1788174504", "image": "" }, "sponsor": "Okusi Associates", "sponsor_url": "https:\/\/okusiassociates.com" }