Posts Tagged ‘Reinsurance companies’
Property Insurance Rate War
The insurance industry has asked the government to realize its plan to use data prepared by the Central Management Board of the National Insurance Data (BPPDAN). BPPDAN data application can reduce the loss ratio reinsurance companies.
BPPDAN is an institution that manages the statistics of fire insurance. This body was established by the Decree of the Indonesian Insurance Council is now called the Federation of Indonesian Insurance Associations (FAPI).
The main function of this institution is to collect various statistical information. BPPDAN published data contains detailed information on the industry received a total coverage for every type of building, the claims ratio, until the development of the claim under the underwriting year.
Currently, the property insurance premium rates are considered not reflect a fair price. If the tariff calculation reflects a reasonable cost, large tariff could rise three times more than current rates. The applicable rate for the current building average of about 1.5 per mil. Actually, added Kocu, General Insurance Association of Indonesia (AAUI) once made a reference rate of the property in 2001 and 2002. However, these reference prices are also not utilized. Read the rest of this entry »
Posted in Property Insurance | 
Tags: Fire insurance, General insurance, General insurance association, Independent institution, Insurance associations, Insurance bureau, insurance companies, Insurance council, Insurance data, insurance premium, Minister of finance, Motor vehicle insurance, National insurance, property, property insurance, Property insurance rates, Reinsurance companies | 
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Property Insurance Sales Grow 20%
Vehicle insurance policy sales and housing (property) to protect against floods at the beginning of this rainy season to grow 20%. Growth rate was considered not too significant, as insurers began to limit the application property and motor vehicle insurance in flood-prone areas to reduce losses.
“The growth reached 20% annually. That is the ordinary thing every year, “said Director of PT Asuransi Treasure Aman Pratama (AHAP) Tbk Lim Eng Tjiang told Investor Daily on Wednesday (5 / 10). Currently, the portion of property insurance in AHAP reach 20-25%. To avoid losses, management AHAP keep doing fairly rigorous selection process to request an entry application. The Company will not accept insurance in areas prone to flooding.
Marketing Director of PT Asuransi Bina Dana Artha (ABDA) Candra Gunawan added that reinsurance companies would not cover insurance claims for flood-prone areas. “Demand for applications to the area we were forced to reject,” he stated. Meanwhile, President Director of PT Asuransi Bintang Tbk Zafar D. Idham admitted, his party is committed to reducing the portion of property insurance since April 2008. “We do not want to bear the losses from floods are too many,” he explained.
By Zafar, lack of accurate statistical data Regarding the location of flood prone Until now to make more insurance companies choose to reduce housing insurance application. As a result, third quarter 2008 premium income eroded Until 21:12% to USD 57.5 billion, lower than the Same period last comparison, Rp 72.9 billion in 2007. Read the rest of this entry »