Insurance Industry Performance Grows Positively, Assets Reach Rp1,197 Trillion
The Financial Services Authority (OJK) has recorded that the performance of the insurance industry remained stable and well-maintained up to May 2026. This is evident from the total assets of the insurance industry, which reached Rp1,197.04 trillion, representing a year-on-year (yoy) growth of 2.87 per cent.
This result reflects the industry’s resilience amidst economic dynamics and the evolving needs for public protection. Based on information published on Tuesday, 7 July 2026, this positive performance was primarily supported by the commercial insurance industry, which recorded total assets of Rp977.81 trillion, a 4.05 per cent yoy increase.
In terms of premium income, accumulated premiums for commercial insurance as of May 20seb 2026 reached Rp139.54 trillion, growing by 0.67 per cent yoy. This premium growth was supported by the performance of life insurance, which increased by 5.87 per cent yoy with premiums reaching Rp76.79 trillion. Meanwhile, general insurance and reinsurance premiums were recorded at Rp62.76 trillion, experiencing a contraction of 5.03 per cent yoy.
OJK also noted that the industry’s capitalisation remains at a strong level. The aggregate Risk-Based Capital (RBC) for the life insurance industry reached 481.20 per cent, while the RBC for the general insurance and reinsurance industry reached 319.12 per cent. These figures are well above the minimum threshold of 120 per cent.
In the non-commercial insurance segment—comprising BPJS Kesehatan, BPJS Ketenagakerjaan, and insurance programmes for civil servants, TNI, and Polri regarding work accident and death benefits—total assets were recorded at Rp219.23 trillion, a contraction of 2.07 per cent yoy.
To strengthen the resilience and competitiveness of the insurance, guarantee, and pension fund industry, OJK continues to implement various strategic policies. One such measure is the drafting of the OJK Regulation Draft (RPOJK) regarding Insurance-Linked Investment Products (PAYDI) as part of efforts to strengthen governance, transparency, and consumer protection.
OJK has also formed a Task Force for Strengthening the Health Insurance Ecosystem through Inter-Provider Coordination (KAPJ). This task force involves OJK, the Ministry of Health, BPJS Kesehatan, hospital associations, and insurance company associations to strengthen coordination and the sustainability of the national health insurance ecosystem.
Furthermore, OJK has established a Steering Committee and Implementation Team for the preparation of the New Risk-Based Capital (RBC) implementation. This step is part of strengthening risk-based capital standards to ensure the industry becomes healthier, more prudent, and capable of facing various potential future risks.
OECD Appreciation
Indonesia’s insurance sector reforms have also received appreciation from the Organisation for Economic Co-operation and Development (OECD). This appreciation covers the implementation of the Policyholder Protection Programme (PPP), the adoption of PSAK 117/IFRS 17, the development of the New RBC, and the strengthening of financial services sector supervision. This was stated during the Fact-Finding Mission for the insurance and pension fund sector in June 2026 as part of Indonesia’s accession process to the OECD.
In monitoring the obligation for Stage I equity increases in 2026, OJK noted that as of May 2026, 118 out of 145 insurance and reinsurance companies, or 81.38 per cent, had met the minimum equity requirements in accordance with 2026 regulations.
As part of strengthening supervision and consumer protection, OJK continues to encourage the resolution of issues within financial service institutions. As of 29 June 2026, OJK was conducting special supervision of eight insurance and reinsurance companies, further investigation into 15 entities suspected of operating insurance and reinsurance brokerage businesses without a permit, and had revoked three Insurance Agent Registration Certificates (STTD) related to suspected criminal activities of conducting insurance business without OJK business licences.
Through strengthened regulation, risk-based supervision, increased capitalisation, and consistent enforcement of provisions, OJK is committed to ensuring the insurance industry remains healthy, maintains integrity, and is capable of providing optimal protection for the public.