AAUI Will Cooperate With Insurance From South Korea On AI

Insurance (Photo: dock. unpslash)

JAKARTA - The Indonesian General Insurance Association (AUI) will soon create a Memorandum of Understanding (MoU) with the General Insurance Association of Korea (GIAK) regarding the implementation of Artificial Intelligence (AI) in the Indonesian general insurance industry.

"They will help. So, we will immediately build an MoU, including the MoU, which is how our cooperation implements AI in the general insurance industry in Indonesia," he said. Chairman of the Indonesian General Insurance Association (AUI) Budi Herawan quoted Antara.

In addition, his party also wants to see how GIAK implements Third Party Liability (APL) insurance in their country of origin.

In IR 2024, Chairman of GIAK Byung Rhae Lee was also present at the event.

Budi said that AAUI invited GIAK to learn from them, especially regarding the application of AI in the claim process to the underwriting process.

"We will learn from them. I am not ashamed that they are one step ahead of us, how they can implement AI in the process of their claims, the underwriting process, we must imitate it. We also learn from them how they implement mandatory holiday party liability insurance," Budi said at a press conference after the 28th Indonesia Rendezvous Conference in Bali, Thursday (10/10).

The involvement of insurance companies from various countries in IR 2024 is carried out with the aim of obtaining a more in-depth understanding of the conditions that are currently happening in the global scale insurance industry. In addition, it is hoped that this year's meeting event can build a domestic and global insurance ecosystem.

"We shouldn't always grumble at the hardening market, the insurance market is hardening, but we don't do something. We have to grow up. I say that Indonesia's potential in the acceptance of general insurance risk mitigation is extraordinary. Indeed, not all of us, but we also have to improve ourselves. I convey that the reform transformation in AAUI has not yet fully worked, maybe only 30 percent. This is our homework (Homework)," said Budi.

At the opening of the IR Conference 2024, the Chairman of GIAK Byung Rhae Lee stated that his party and AAUI had many opportunities to exchange ideas since signing the cooperation forum held in Korea in 2012. As for this year, it marks the 12th anniversary of the cooperation relationship between the two associations.

Therefore, he believes that he can continue and strengthen cooperation with AAUI.

I understand that Indonesia is the largest economy in ASEAN with the highest population and a significant proportion of young people who offer great potential for the insurance market. Indonesia Rendezvous is an event for everyone from various countries to share experiences, knowledge and build friendships," said Byung.