Positive News for the Multifinance Industry
The resurgence in the automotive industry in the second month of the year is delivering positive momentum for the multifinance and insurance sectors.
It is known that national car sales in February 2025 reached 72,295 units, jumping 10,363 units or 16.73% compared to January 2025, which totalled 61,932 units. Compared to February 2024 sales, there was an increase of 1,523 units or 2.15%.
This rise serves as positive news amid anxieties over the slowdown in national car sales. Throughout 2024, national car sales did not even reach one million units.
As is known, new car credit is the largest contributor to multifinance credit disbursements. In February 2026, financing disbursements for new four-wheeled vehicles reached Rp143.28 trillion, accounting for 26.47% of total multifinance industry disbursements.
Agusman, the Executive Head of Supervision for Financing Institutions, Venture Capital Companies, Other Financial Services Institutions and Non-Bank Financial Institutions under OJK, stated that financing for used four-wheeled vehicles reached Rp88.36 trillion, contributing 16.32%.
“Automotive financing remains one of the largest contributors to multifinance industry financing, including used car financing which provides relatively more affordable financing schemes for the public,” explained Agusman in a written statement, quoted on Monday (13/4/2026).
On the other hand, the robust sales of new cars are also encouraging the public to purchase insurance protection to minimise risks of vehicle damage and accidents.
Ogi Prastomiyono, the Executive Head of Supervision for Insurance, Guarantee, and Pension Funds under OJK, said that based on February 2026 position data, premium income was recorded at Rp4.10 trillion, growing 9.97% year-on-year, while claims value increased to Rp1.40 trillion or up 9.89% year-on-year, in line with rising vehicle activity and risk exposure.
“This indicates that the motor vehicle business line still has good growth potential, along with improvements in the automotive sector. Going forward, insurance companies need to strengthen distribution strategies, including optimising digital channels and partnerships with financing institutions, as well as innovating products that meet customer needs, accompanied by strengthened underwriting and efficient claims management,” Ogi explained in a separate statement.
In line with the growth in automotive sales, this situation is said to be a positive sentiment for motor vehicle insurance. Increases in vehicle sales, especially through financing schemes, are generally followed by rising insurance protection needs.
“OJK views the performance of this line as still having room to grow, while still paying attention to public purchasing power and economic conditions so that the growth that occurs remains healthy and sustainable,” he concluded.