Insurance Implementation In Indonesia Is Still Low Compared To Other Countries

Illustration: Photo: Doc. ANTARA

JAKARTA Generation Z is predicted to be an important player in the future economy, but the level of financial vulnerability of this group is still relatively high.

PT Asuransi Tugu Pratama Indonesia Tbk (Tugu Insurance) together with Infobank held a financial literacy activity at the Faculty of Economics and Business, Universitas Brawijaya (FEB UB), Malang, Wednesday, October 29.

Tugu Insurance President Commissioner Abdul Ghofar emphasized the importance of financial literacy among students, especially regarding insurance.

According to him, the level of national financial literacy has indeed increased, but the penetration of insurance in Indonesia is still low compared to other countries.

"Collaboration between financial and media service institutions is very important in increasing financial awareness. Students must be wise in managing money and not living wastefully," he said in a written statement received by VOI, Thursday, October 30.

Tugu Insurance President Director Adi Pramana explained the importance of risk management and the role of insurance in providing financial calm.

"Insurance helps people transfer risks to other parties. Through literacy programs like this, we want to build trust and strengthen public awareness of the importance of insurance," he explained.

Meanwhile, Director of Infobank Digital Apriyani Kurniasih added, the younger generation needs to manage finances wisely and understand the importance of protection from an early age.

"Gen Z must begin to realize the importance of planning and financial protection so that future goals can be achieved, and not get caught up in trends like endings," he said.

Perencana keuangan sekaligus dosen FEB UB Nur Khusniyah Indrawati menjelaskan, pentingnya menyusun perencanaan keuangan secara disiplin.

Dia mengingatkan mahasiswa agar tidak boros dan mampu mengatur proporsi pengeluaran dengan formula ideal 50 persen untuk konsumsi, 30 persen untuk tabungan dan proteksi, serta 20 persen untuk utang maksimal.

“Tujuan akhir dari perencanaan keuangan adalah hidup sejahtera dan bebas dari kekhawatiran finansial,” ujar Nur.

Financial planner and lecturer at FEB UB Nur Khusniyah Indrawati explained the importance of preparing financial planning in a disciplined manner.

He reminded students not to be wasteful and able to regulate the proportion of expenditure with an ideal 50 percent formula for consumption, 30 percent for savings and protection, and 20 percent for maximum debt.

"The ultimate goal of financial planning is to live a prosperous life and be free from financial concerns," said Nur.