Life Insurance Industry Records Premiums of Rp181.27 Trillion in 2025, Down Slightly by 1.8%

Jakarta — The Indonesian Life Insurance Association (AAJI) reported that the life insurance industry’s total premium income experienced a marginal decline of 1.8% year-on-year, achieving Rp181.27 trillion.

AAJI Board Chair Albertus Wiroyo explained that the total revenue of the life insurance industry throughout 2025 reached Rp238.71 trillion, growing approximately 9.3% year-on-year. This growth comprised investment returns of Rp47.32 trillion and premium income of Rp181.27 trillion.

“New business premiums paid on a regular basis actually increased by around 7.8%, demonstrating that public interest in life insurance protection remains strong,” Albertus said during an AAJI press conference in Jakarta on Friday, 13 March 2026.

The increase in new business premiums was supported by a rise in the total insured population of the life insurance industry, which grew 8.6% year-on-year to 168.03 million people.

Regarding claim payments, AAJI’s Head of Training and Human Resources Development (Centre of Excellence), Handojo Gunawan Kusuma, stated that the life insurance industry continued to fulfil its primary function of providing protection through claim and benefit payments to policyholders.

“Throughout 2025, the life insurance industry paid out total claims and benefits of Rp146.73 trillion to approximately 9.59 million beneficiaries,” Handojo explained.

The claim value declined 7.8% compared to 2024, primarily driven by a decrease in surrender claim values of around 19%. This situation reflects a tendency among policyholders to maintain their policies as a form of long-term protection.

In the health insurance sector, claim payments for these products increased by 9.1% with a total value of Rp26.74 trillion, covering both individual and group products.