Indonesia Medical Claim Spiked

Health insurance claims are on the rise in Indonesia, jumping by 29.6% to IDR5.96tn ($386m) in the first quarter of this year, according to the Indonesian Life Insurance Association (AAJI).
The data shows that health insurance claims have been rising by 25% to 30% since mid-2022.

This has exceeded the medical inflation rate of 13% in Indonesia in 2023. Insurance, Guarantee & Pension Fund Supervision unit of the OJK deputy commissioner and caution insurance companies to be able to undertake risk profiling and mapping.

Indonesian Life Underwriters Association said that the current trend of rising claims in the life insurance industry is an alert to the industry to increase synergy between underwriters and claims management. He says that such synergy is currently still not optimal and can be improved as risk categorization by underwriters will guide the claims management department in processing claims.