The life insurance market saw a decline of about IDR9trn ($643m) or 10.3% in premium income in the first half of 2019, revealed the Financial Services Authority (OJK). Total premiums collected fell to IDR85.65tn in 1H2019 from IDR95.47tn in the corresponding half last year.
OJK chairman Wimboh Santoso said the decline was due to the life sector undergoing a restructuring process. Insurance products that promised a guaranteed rate of return were being restructured.
Mr Riswinandi, executive head of Non-Bank Financial Institutions Supervision at OJK, said that premiums collected in 1H2019 stood at IDR50.93tn.
The average solvency ratio of the life and general insurance sectors were 313.5% and 662.9% respectively.