OJK Predicts General Insurance And Resurance Premiums Will Grow 7.17 In 2025

JAKARTA - The Financial Services Authority (OJK) states that the premium for general insurance and reinsurance in 2025 is projected to grow to 7.17 percent year on year (yoy). This refers to the company's business plan report.

As for 2024, OJK noted that premiums are supported by asset insurance (27 percent of total premiums), loans (18 percent of total premiums), and motorized vehicles (15 percent of total premiums).

"OJK believes the three lines of business will still support the growth of general insurance and reinsurance premiums in 2025," said OJK Chief Executive of Insurance, Guarantee and Pension Fund (KE PPDP) Ogi Prastomiyono quoting Antara.

As of January 2025, OJK noted, the premium for general insurance and reinsurance contracted 17.40 percent yoy with a value of IDR 15.62 trillion.

Especially for reinsurance alone, the January 2025 resurance premium reached IDR 2.84 trillion or decreased by 36.50 percent yoy. On the claim side, the value of the January 2025 reinsurance claim was IDR 0.84 trillion, down 7.23 percent yoy.

Meanwhile, overall, commercial insurance performance in the form of premium income in the January 2025 period was recorded at IDR 34.76 trillion, down 4.10 percent yoy. In terms of assets, commercial insurance recorded assets with a total of IDR 925.91 trillion, an increase of 2.53 percent yoy.

In terms of investment returns, general insurance and reinsurance recorded investment results of IDR 0.83 trillion in January 2025 with an investment yield of 0.55 percent.

Meanwhile, overall, total insurance investment in January 2025 reached IDR 696.78 trillion, an increase of IDR 6.19 trillion or a growth of 0.90 percent yoy.

Meanwhile, in terms of sharia, Islamic insurance and reinsurance assets are projected to grow by 13.2 percent by 2025. This, OJK noted, refers to the company's business plan report.

In January 2025, the insurance premium and sharia reinsurance reached IDR 3.77 trillion, an increase of IDR 1.26 trillion or 50.39 percent yoy. According to the OJK, this value contributed 10.85 percent of the total commercial insurance premium.