Many Indonesians are not covered by health insurance

By Rita Widiadana and Stevie Emilia

JAKARTA (JP): Money may not buy health, but it goes a long way toward ensuring lifelong medical care.

Some people only pray that nothing too serious will affect their health, at least until they reach 65, the average life expectancy of Indonesians.

Leading a healthy life and adopting good habits does not guarantee a life free of ailments or protection against health problems.

There is an important point we sometimes miss entirely: the chances of living a long, full life also depends on identifying and treating an illness at the early stage, which, of course, can require quite a lot of money.

One of the hardest fact to face is that you are suffering from a serious illness. With the prices of medical services and drugs skyrocketing, a person can be dumbfounded by the vast cost of medical treatment. Even a relatively simple operation can cost several million rupiah and push you to the brink of bankruptcy.

If your pocket is full or your employer provides health insurance or a health allowance, your financial burden may be lighter. But only a few people are lucky enough to have health insurance.

The majority of Indonesians have inadequate access to basic health services because they do not have the money to pay for doctor's fees, hospitalization and prescription drugs.

Unless you are a civil servant, Armed Forces member or an employee of a state-owned or multinational firm, your chances of being reimbursed for your medical bills is slim.

Currently, only about 13 percent of the more than 200 million population is registered at the health insurance schemes managed by state-owned insurance company PT Askes, state-owned PT Jamsostek and a small number of private health insurance companies.

Orie Andari Sutadji, head of the Indonesian Insurance Council's social and health division, suggests people consider joining a health insurance scheme.

"Most people do not consider health insurance a priority. They think it is not necessary to pay for something that is uncertain," explains Orie.

"Health is one of the most important factors in human life that should not be ignored."

At present, only a small number of people can afford health insurance.

"Some private companies see the importance of supporting their employees with various health schemes. That's a good start," Orie says.

PT Mustika Ratu, a cosmetic and traditional herbal medicine company, is just one example.

Herlin Herlinda, supervisor of the company's human resources department, explains that the company regards its employees as its main asset.

"We do care a lot about their health. If they are sick, we cannot do much with our business activities. Therefore, we try to provide an adequate health allowance to make them feel secure," Herlinda says.

PT Mustika Ratu established a medical clinic that offers free services to the company's employees. "But they can go to other places and we reimburse them based on the company's health scheme," Herlinda says.

She adds that the company has signed joint agreements with several hospitals in Jakarta to treat employees who require hospital treatment.

PT Mustika Ratu's health scheme was designed in accordance with job levels. "We include staff members in the managerial level in our health insurance scheme," Herlinda says.

Despite the economic crisis, she says, the company is eager to improve its health scheme, including the inclusion of the entire personnel in health insurance programs.

"The provision of a health allowance helps workers gain job security. A high salary does not necessarily safeguard them," Herlinda says.

Other company, Bisnis Indonesia daily, also has a health insurance scheme for its employees and their families.

Previously, the daily covered all medical expenses with its own health program which covered hospitalization, prescribed medicine and doctor fees, says Wininti Karyani, head of the daily's human resources development department. The company's program also included allowances for minor medical treatment in its workers' monthly salaries.

Now the company has joined an insurance company and pays an annual premium of Rp 180 million.

"Yet we often face difficulties in getting our claims paid. The process is so complicated," complains Karyani.

Orie, who is also a director at PT Askes, acknowledges that clients are often dissatisfied with the services provided by insurance companies.

"Many promotion campaigns for health insurance schemes are exaggerated. Yet insurance companies must provide their best services and not cheat their clients," warns Orie.

The Indonesian Insurance Council, however, has no authority to sanction errant insurance companies because companies are not obliged to join the council.

"We haven't received any complaints. But we do appreciate it when the public informs us immediately of any deviation concerning an insurance claim," says Orie.

Joseph Kristanto Tan, president of PT Asuransi Cigna Indonesia, earlier told The Jakarta Post that many people believe it is difficult for a policyholder to process an insurance claim.

The perception does exist and there are many reasons behind the problems, he says.

One common problem is inadequate or incomplete documentation. People should understand that an insurance company needs complete documentation before it is able to settle a claim.

"Policyholders must have an understanding of what their insurance covers before they make a claim," he says.

S. Budisuharto, managing director of Lippo Life Insurance company, also says that insurance companies must be active in promoting their services and increase people's understanding of health insurance.

"We invite people to make prudent financial plans that will support their future and ensure a secure retirement," he explains.

Careful financial planning is the key to a happy and rewarding life, he says.