Wanpresasi Case, GEGI Insurance Company Files Appeal

Photo: Special

JAKARTA PT Great Eastern General Insurance Indonesia (GEGI) has spoken out regarding the trial decision regarding the rejection of claims submitted by PT Rajawali Bara Makmur (PT RBM) for insured cargo.

GEGI stated that there were facts hidden in the trial.

In the near future, the management will appeal the decision of the Central Jakarta District Court Panel of Judges no. 209/Pdt.G/2024/PN.Jkt.Pst which is not final.

GEGI indicated that there were allegations of facts that were not disclosed by PT RBM during the coverage process, which were considered a violation of the principle of the most good faith.

Starting on January 31, 2023, when PT Sukses Utama Sejahtera (PT SUS), as the Insurance Broker/Pialang PT RBM submitted an offer to close the Marine Cargo policy on behalf of PT RBM.

"PT SUS conveyed its insured profile by submitting L/R: NIL for the last 5 years or can be understood by GEGI, that there has never been a loss record or track record of losses in sea transportation over the past 5 years. Regarding Loss Record, it is also confirmed in the Cover Note as a legal agreement document between GEGI and RBM before the issuance of Polis, so that the extension of L/R should not be interpreted other than Loss Record according to the applicable civil law," said GEGI attorney Fahad Faris.

On the basis of this coverage profile, GEGI received the insurance closure for the delivery of PT RBM coal for the next year, effective from February 14, 2023.

Not long ago, on April 28, 2023, PT SUS filed a claim for the incident on March 21, 2023, regarding the loading of coal that was swept away by waves with an estimated IDR 781 million.

Then, on May 24, 2023, PT SUS again filed a second claim with a value of Rp. 16.3 billion for cargo losses that spilled into the sea. Of the two claims reports, GEGI conducted an investigation into the insured profile, which was stated by PT SUS as Broker and PT RBM, the insured had a claim note for 5 years.

However, only 5 weeks later since the insurance closure, claims have occurred and 2 months from the first incident, claims have occurred again with a very significant value.

GEGI then sent letters to several related agencies. Among them are the Director of the Maritime and Coast Guard Unit of the Ministry of Transportation of the Republic of Indonesia, the Office of the Class III Port Organizing Unit Masalembu, and the Office of the Class III Kintap Port Organizing Unit.

From this correspondence, GEGI received data that the insured alias PT RBM had suffered a loss of 7,238 tons of coal loaded on the Charles 209 barge on December 24, 2022. Which at that time had not become a GEGI customer. So that the profile data submitted previously is not true.

Thus, the insurance party, namely GEGI, should not accept the insurance closure offer if the correct data is submitted on the actual profile or material facts from the insured.

"In this case, insurance brokers representing the insured deliberately hide material facts that previous claims have occurred, and this fact was not submitted to GEGI. Based on these findings, GEGI rejected PT RBM's claim on the basis that the insured or broker violated the principle of utility good faith (best faith) and Article 251 of the Trade Code or hidden material facts that affect the underwriting decision," explained Fahad Faris.

Regarding the different interpretations of PT SUS information which states L/R: NIL for the last 5 years, whether it means loss ratio or loss record, the insurance has been confirmed in the placing slip on February 3, 2023 and reaffirmed in the cover note on February 10, 2023 with a "subject to no loss record for the past 3 years".

"So this means the loss record or record of losses suffered previously. The decision of the Central Jakarta District Court Judge No. 209/Pdt.G/2024/PN.Jkt.Pst does not yet have permanent legal force (in kracht van gewijsde). Therefore, PT Great Eastern General Insurance Indonesia will carry out legal appeals in the near future. GIGI and his attorney hereby warns that they will sue those who spread the news incorrectly and detrimental to the company," concluded Fahad Faris.