Key Benefits:
SHEET COUNTRY INDONESIA
No. 265, 2015 FINANCIAL. OJK. Reinsurance In The Country. Support. My Own Retention. (Explanation In Addition Of State Sheet Republic Of Indonesia Number 5754).
FINANCIAL SERVICES AUTHORITY
NUMBER 14 /POJK.05/ 2015
ABOUT
RETENTION AND SUPPORT OF THE DOMESTIC REINSURANCE
WITH THE GRACE OF THE ALMIGHTY GOD
THE BOARD OF THE COMMISSIONER OF FINANCIAL SERVICES AUTHORITY,
Weigh: a. that insurance companies ' financial health,
sharia insurance companies, reinsurance companies,
and sharia reinsurance companies are affected by
their own retention and reinsurance support;
b. that in order to drive growth
national insurance and capacity optimization
insurance, sharia insurance, reinsurance, and reinsurance
sharia in the country required adjustment provisions
regarding retention own and reasurance support;
c. that based on consider as
referred to in letter a and b, need to set
Financial Services Authority Regulation on Retension
Alone and Reinsurance Support In Country;
Given: a. Law No. 21 of the Year 2011 on
Financial Services Authority (Republic State Sheet
Indonesia of 2011 No. 111, Supplement
sheet of State of the Republic of Indonesia No. 5253);
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b. Law Number 40 Year 2014 on
Perinsurance (State Gazette of the Republic of Indonesia
in 2014 number 337, additional sheet country
Republic of Indonesia No. 5618);
DECIDED:
SET: REGULATION FINANCIAL SERVICES AUTHORITY ON
SELF-RETENTION AND REINSURANCE SUPPORT IN
THE COUNTRY.
BAB I
provisions of UMUM
Article 1
In this Financial Services Authority Regulation, in question
with:
1. Companies are insurance companies, companies
sharia insurance, reinsurance companies, and
reinsurance companies sharia.
2. Insurance companies are the general insurance company
and the life insurance company as referred to
in Act Number 40 of the Year of 2014 about
Perinsurance.
3. Sharia Insurance Company is the company
sharia general insurance and life insurance company
sharia as referred to in the Act
Number 40 of the Year of 2014 about Perinsurance.
4. A General Insurance Company is a company that
organizes a common insurance venture, and/or
a reinsurance venture for the Insurance Company's risk
Another General as contemplated in the Invite-
Invite Number 40 Year 2014 about Perinsurance.
5. Life Insurance Company is a company that
organizes life insurance efforts as
referred to in Act No. 40 of 2014
about Perinsurance.
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6. Sharia Public Insurance Company is the company
that organizes general sharia insurance efforts
and/or sharia reinsurance efforts to risk
Another Syariah General Insurance Company as
referred to in Act Number 40 of the Year 2014
about the Perinsurance and/or Insurance Company
General that organizes a portion of its effort
with the principle of sharia.
7. Sharia Life Insurance Company is the company
that organizes a sharia life insurance venture
as referred to in Act No. 40
In 2014 about Perinsurance and/or
The Life Insurance Company which organizes
part of its effort with the principle of sharia.
8. Reinsurance company is the company that
organizes reinsurance as well as
referred to in Act No. 40 of 2014
about Perinsurance.
9. Sharia Reinsurance company is a company that
organizes a sharia reinsurance venture
as referred to in Act No. 40
In 2014 about Perinsurance and/or
The Reinsurance Company hosted a partial
effort with the sharia principle.
10. The next Financial Services Authority is abbreviated as OJK
is the Financial Conduct Authority as intended
in the 2011 Act No. 21 of the
Financial Services Authority.
BAB II
RETENTION ITSELF
Section 2
(1) The Company is required to have and apply the retention
itself for any managed risk according to
its own retention limit.
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(2) The self-retention limit (s) as intended
in paragraph (1) is mandatory based on risk profile and
disorderly (risk and loss profile) disorderly,
regular, relevant, and accurate.
Article 3
Further provisions regarding its own retention limits
as referred to in Article 2 of the paragraph (1) are set in
The OJK Circular Letter.
BAB III
Reinsurance support
Part Kesatu
Reinsurance Support Strategy
Section 4
(1) Insurance Company and Sharia Insurance Company
is required to develop and implement
Reinsurance support strategy for the implementation
Insurance Company or Insurance Company
Syariah to have sufficient capacity to
meet liabilities.
(2) Insurance Company and Company Sharia Insurance
is mandatory for implementation of support strategy
reasurance at least once a year.
(3) For the first time, the reinsurance support strategy
as referred to in paragraph (1) is mandatory
to OJK the slowest date of 15 January 2016.
(4) In terms of Insurance Company and Company
Sharia Insurance changes support strategy
reasurance, Insurance Company and Company
Sharia Insurance is required to deliver a change
referred to OJK with the reason for in time
at least 10 (ten) days of work since the change
The reinsurance strategy is intended.
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Article 5
The reinsurance support strategy as referred to in
Section 4 of the paragraph (1) is least required to load:
a. the comprehensive reinsurance policy with
takes into account the benefits of diversification and eligibility
the reasurance (counterparty);
b. a healthy system in conducting the selection and
monitoring of the reinsurance program;
c. summary of the retention formation process itself and
monitoring its own retention; and
d. The executor of the reinsurance program and
Control.
Section 6
In developing a reinsurance support strategy,
The Insurance Company and the Sharia Insurance Company should
pay attention to the factors as follows:
a. a risk profile of the risks incurred;
b. adequate of capital and access to additions
capital;
c. volatility of past claims and/or claims that
estimated;
d. The profitability level of each business line;
e. a retention measure in accordance with the Insurance Company
and the Sharia Insurance Company;
f. use of proportional and
non-proportionate reinsurance programs;
g. environmental conditions, in particular for the area that
disaster prone;
h. automatic reasurance capacity;
i. Optimize the quality, use, and reinsurance costs;
j. impact if reinsurance within the country with portions
auto reasurance is bankrupt;
k. the domestic reinsu t of the company
overseas reinsurance as referred to in paragraph
(1) the letter b may be performed by the Insurance Company
Soul, provided the following:
a. is an insurance product as intended
in Section 8 of the paragraph (2); and/or
b. not acquiring automatic reinsurance support from
all domestic Reinsurance Companies.
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Article 14
(1) In obtaining automatic reinsurance support
as referred to in Section 10, Company
General Sharia Insurance is required to follow the priority order
as follows:
a. automated reinsurance support acquired at most
a few of the 2 (two) Syariah Reinsurance Companies
within the country;
b. in terms of automatic reinsurance support
as referred to in the letter a not
obtained, automatic reinsurance support is obtained
at least 1 (one) Reinsurance Companies
Sharia in the country and 1 (one) Enterprise
General Sharia Insurance in the country; and
c. in terms of automatic reinsurance support
as referred to in letter a and letter b
not obtained, automatic reasurance support
may be obtained from Sharia reinsurance company
overseas.
(2) Automatic reinsurance support of the company
overseas sharia reinsurance as intended
in paragraph (1) the letter c may be performed by the Company
General Insurance Syariah, provided
following:
a. is an insurance product as intended
in Section 8 of the paragraph (1); and/or
b. do not obtain automatic reinsurance support
from all Syariah Reinsurance Companies in
country and 2 (two) General Insurance Companies
Sharia in the country.
Article 15
(1) In obtaining support Automatic reinsurance
as referred to in Section 10, Enterprise
Sharia Mental Insurance is required to follow the priority order
as follows:
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a. Automatic reinsurance support is acquired most
a little from 1 (one) Syariah Reinsurance Company
in the country; and
b. in terms of automatic reinsurance support
as specified in the letter a is not obtained,
Automatic reinsurance support may be obtained from
the foreign sharia reinsurance company.
(2) Automatic reinsurance support from the company
overseas sharia reinsurance as intended
in paragraph (1) the letter b may be performed by the Company
Shariah Life Insurance, provided as
following:
a. is an insurance product as intended
in Section 8 of the paragraph (2); and/or
b. do not obtain automatic reinsurance support
from the entire Syariah Reinsurance Company in
the country.
Article 16
Insurance Company and Sharia Insurance Company that
do not obtain automatic reinsurance support from
reinsurance in the country due to mandatory technical factors
making improvements to the Cause not obtained
automatic reinsurance support referred to the slowest 1
(one) year from the time when not obtained by support
such automatic reasurance.
Section 17
(1) Automatic reinsurance support as intended
in Article 10 of the paragraph (1) may be excluded because it is not
acquired or not called reasurance support
automatic in terms of:
a. no reinsurance is willing to provide
automated reinsurance support among others because
special risk characteristics of the venture line
insurance;
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b. Insurance Company or Insurance Company
Sharia will start marketing the venture line
new insurance;
c. Insurance Company or Insurance Company
Sharia markets the insurance products only to
meet the policyholders ' requests for the package
comprehensive insurance and not marketing
on its own; and/or
d. managed risk not exceeding the retention capacity
alone.
(2) Insurance Company and Sharia Insurance Company
is required to have evidence of the cause not obtained or not
is called automatic reinsurance support.
Fourth Quarter
Fakultative Reinsurance
Article 18
(1) Insurance Company and Sharia Insurance Company
is required to obtain facultative reasurance support in
thing:
a. not acquired or not required
automatic reinsurance support due to the
as referred to in Article 17 of the paragraph (1); or
b. Automatic reinsurance support is not sufficient
for the risks received by the Company
Insurance or Sharia Insurance Company.
(2) facultative reinsurance support as intended
on the paragraph (1) is mandatory by putting
priority to the domestic reinsurance.
(3) The placement of facultative reinsurance support
priority to the domestic reinsurance as
referred to in paragraph (2), for dependents Other than
dependents have a simple risk
as referred to in Article 7, it is mandatory following
the minimum amount of reassignment support
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facultative priority to reasuradur in
country.
(4) Further provisions of a minimum major
placement of facultative reassignment support
priority to the domestic reassignment as
referred to in paragraph (3) is set in the OJK Circular Letter.
Article 19
(1) In obtaining facultative reinsurance support
as referred to in Section 18, the Company
General Insurance is required to follow the priority order as
following:
a. Facultative reinsurance support is acquired most
a little of 2 (two) Reinsurance companies in
country;
b. in terms of facultative reinsurance
as referred to in the letter a not
obtained, facultative reinsurance support obtained
at least 1 (one) Reinsurance Company
in the country and 1 (one) Insurance company
Public in the country; and
c. in terms of facultative reinsurance support from
reinsurance in the country as intended
in letter a and b letters not obtained, support
facultative reinsurance can be procured outside of the country.
(2) facultative reinsurance support from outside reinsurance
the country as referred to in paragraph (1) letter c
may be performed by the General Insurance Company,
provided the following:
a. is an insurance product as intended
in Section 8 of the paragraph (1); and/or
b. not obtain facultative reinsurance support
from all domestic Reinsurance Companies in the country
and 2 (two) of the Public Insurance Company in
the country.
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Article 20
(1) In obtaining facultative reinsurance support
as referred to in Section 18, the Company
The mandatory Soul Insurance follows the priority order as
following:
A. Facultative reinsurance support is acquired most
a little of 2 (two) Reinsurance Companies in
the country; and
b. in terms of facultative support support
as referred to in the letter a not
obtained, facultative reinsu
This OJK Regulation is at least 1 (one) year since
This OJK Regulation is promulred.
BAB VIII
PROVISIONS
Section 37
At the time of this OJK Regulation applies, all
provisions regarding reinsurance and retention support themselves
subject to the provisions of this OJK Regulation.
Article 38
The OJK Regulation is in effect. since January 1st
2016.
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For everyone to know, ordered
the invitation of this OJK Regulation with its placement
in the State Sheet of the Republic of Indonesia.
Set in Jakarta
on the 3rd November 2015
CHAIRMAN OF THE BOARD OF COMMISSIONERS
FINANCIAL SERVICES AUTHORITY,
ttd.
MULIAMAN D. HADAD
promullated in Jakarta
on 10 November 2015
MINISTER OF LAW AND HUMAN RIGHTS
REPUBLIC OF INDONESIA,
ttd.
YASONNA H. LAOLY
www.peraturan.go.id
Sharia is required to provide confirmation of acceptance
(co-opted)
(co-opt) or rejection of support reassign
to the Insurance Company and/or the Company
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Shariah insurance, tops 10 (ten) business days
since the reinsurance request letter from
Insurance Company and/or Insurance Company
Sharia is fully accepted.
(5) Reinsurance companies and Reinsurance Companies
Sharia is required to complete the claim, at least 20 (two
days of work since filing documents claim from
Insurance Company and/or Insurance Company
Sharia be fully accepted, as long as it is not set
another in the agreement for Automatic reinsurance.
BAB V
Automatic Reinsurance/RETROSESSION PROGRAM
AND ASSIGNMENT OF REINSURANCE PLACEMENT
Section 31
(1) The Company each year is required to deliver a report
program Automatic reinsurance/retrosession to OJK, most
slow date January 15.
(2) In terms of the retrocession support agreement
automatically does not begin in January, program report
reinsurance/auto-retrocession delivered the slowest
15 (fifteen) days from the date of the support agreement
automatic reinsurance applies.
(3) If the deadline for the end of the report's delivery
as referred to in paragraph (1) and paragraph (2) fall
on the holiday, the final deadline delivery of the report becomes
on the day the next first job.
(4) Automatic reinsurance program/retrocession program accompanied
with graphs describing their own retention and
automatic reinsurance/retrocession support received
as well as limit support reasurance.
(5) Automatic reinsurance program report is mandatory
with The signed reinsurance agreement
by the Insurance Company and Reinsurance Company
in 1 (one) of the last year.
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Article 32
Further provisions on the form, arrangement and layout
way of delivery of the report-retrosession report (s)
automatically as referred to in Section 31 is set in
The OJK Circular Letter.
Section 33
(1) The Company each year is required to submit a report
implementation of the reassignment placement, most slowly
on April 30 of the following year.
(2) Further provisions of form, arrangement and
set up the manner of delivery of the assignment execution report
reasurance as referred to in paragraph (1) is set
in the OJK Circular Letter.
Section 34
The company is excluded from the delivery obligations
automated reinsurance/retrocession program reports as
referred to in Section 31 of the paragraph (1) and the implementation report
reassignment placement as of referred to in Article
33 verses (1) if the Company is referred to:
a. Subject to the terms of the IBM International Product, the IBM International, and the IBM International Product (s) are subject to the following: In the process of restoring the business license.
BAB VI
SANCTION
Article 35
(1) The violation of the provisions of Article 2, Section 4, Article
7, Section 10 of the paragraph (1), paragraph (2), paragraph (3), Article 11 of the paragraph (1),
paragraph (4), Section 12 of the paragraph (1), Section 13 of the paragraph (1), Section 14 of the paragraph
(1), Section 15 of the paragraph (1), Section 16, Section 17 of the paragraph (2), paragraph (2), paragraph (2), paragraph (2), paragraph (3), Section 19 of the paragraph (1), Section 20 of the paragraph
(1), Section 21 of the paragraph (1), Section 22 of the paragraph (1), Section 22 of the paragraph (1), Section 22 of the paragraph (1), Section 22 of the paragraph (1), 23, Article
24, Section 25 of the paragraph (1), Section 26, Section 27 of the paragraph (2), Article 28
paragraph (1), paragraph (3), Section 30, Section 31 of the paragraph (s). (1), paragraph (5),
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and/or Article 33 of the paragraph (1) of this OJK Regulation are subject to
administrative sanction.
(2) administrative sanctions as referred to in paragraph
(1) are:
a. written warning;
b. fine;
c. liabilities for the board or equivalent to
undergo an ability assessment and wrineness
reset;
d. restriction of business activities; and/or
e. Revocation of business permit.
(3) Sanctions as referred to in paragraph (2) letter b,
letter c, letter d, or letter e, may be subject
with or without preceded the imposition of the sanction
the written warning as referred to in the verse
(2) letter a.
(4) Besaran sanctions fines as referred to in paragraph
(2) the letter b specified OJK under the provisions
about administrative sanctions of the applicable fine
for the Company.
(5) OJK may announce sanction
administrative as referred to in paragraph (2)
to the community.
BAB VII
TRANSITIONAL provisions
Article 36
(1) Reinsurance and Reinsurance Companies
Sharia is mandatory making adjustments to
provisions of Article 30 of the paragraph (2) at most (two) years
since this OJK Regulation is promulcated.
(2) General Insurance Company and Insurance Company
General Sharia that has had a support agreement
automated reinsurance with overseas reinsurance
before the OJK Regulation This is mandatory
adjustments with all provisions
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in this OJK Regulation the longest of the year since
This OJK Regulation is promulred.
(3) The Insurance Company and Insurance Company
The Syariah soul has had an agreement support
automatic reasurance with overseas reinsurance
before this OJK Regulation is promulcated, valid
terms as follows:
a. for all the existing dependents that have been
ongoing (existing business) using
an automated reinsurance agreement that
has existed until the end of the agreement; and
b. for new dependents (new business)
adjusting to all provisions in
