Fri, 24 Dec 1999

Allianz's reliability paves the way for expansion

From his 9th floor office on Jl. Jend. Sudirman, Manfred Wittau, President Director of PT Asuransi Allianz, looks out over Jakarta's skyline and modestly acknowledges there is "hardly a single project" that Allianz is not involved with.

And he should know, having been with the company since its arrival in Jakarta in 1981, when it opened a representative office.

Eight years later, two local companies -- PT Asuransi Jasa Indonesia and PT Asuransi Wuwungan -- came on board, and it has since become one of Indonesia's top five insurance companies.

Having helped in the boom years as the country's leading project insurer, Allianz was there to help people recover following massive bloody riots in May 1997.

While other companies prevaricated, Allianz paid out all outstanding claims within two months, and in doing so, cemented a reputation for trust and reliability.

Proven trust is the chief reason for Allianz's dramatic rise in written premiums; in real terms up almost 60 percent after the riots.

"People were made aware of their need for insurance and asked themselves, 'where can I find safety and reliability?' Most of them felt safer." said Wittau.

At present, personal insurance levels in Indonesia are still low compared to other countries in the region; something Allianz is looking to change.

New center

Its month-old "Allianz Center" on the ground floor of the Summitmas building is an integral part of its plan to tap this expanding market. It will enable greater synergy between all elements in the company.

The experts who staff the desks aim to have policies obtained in less than 24 hours and claims processed in quick time.

The center has no hidden corners, is bright, sleek and most of all, welcoming. "It's designed for both clients and agents to enjoy fast, open and knowledgeable service.

Under this roof, customers can find information on all our policies, be they general, life or health, and agents have access to phones, PCs, fax machines and photocopy machines," said Wittau.

It is a concept new to Indonesia's insurance industry, and one that Allianz is bringing to towns all over the archipelago. In expectation of a greater wealth in regions, a Rp 150 billion capital increase has been set aside.

Existing branches in Bandung, Surabaya, Semarang and Medan are to be joined by others in all corners of the archipelago.

With pretax profits up by more than 100 percent on last year, as per October, Allianz can feel confident about the future.

However, the success has not made Wittau blind to the reality of life for the majority of its people, the people who, in his words, "don't take out personal insurance because they have nothing to insure".

To help the poorest of the poor Allianz founded the Allianze Care Foundation a year ago and has, so far, subsidized operations in five public hospitals in Greater Jakarta to the tune of Rp 250 million for those patients unable to pay.

It is also set to be the major fund provider for a Clean Water Project in North Jakarta in the New Year. (Chris Brummit)