Prudential Launches Sharia-Dedicated Life Insurance Business in Indonesia – InsuranceNewsNet

April 05, 2022

Prudential launches Sharia-dedicated life insurance business in Indonesia

Prudential Syariah to meet the growing demand for Sharia solutions and support the growth of the Sharia economy

• Prudential is the first global insurer to create a stand-alone Shariah-compliant life insurance entity in Indonesia
• Prudential Syariah adheres to the principles of “Sharia for All”, which embraces the concept that Sharia values ​​are universal, inclusive and relevant to all Indonesians
• Its innovative product capabilities, coupled with a strong multi-channel distribution network, place the company in a strong position to grow its Sharia-related business and expand its customer base.

Jakarta, April 5, 2022 – PT Prudential Life Assurance (Prudential Indonesia) today announced the launch of PT Prudential Sharia Life Assurance (Prudential Syariah). Prudential is the first global insurer to create a stand-alone Shariah-compliant life insurance entity in Indonesia. This decision underscores Prudential’s deep commitment to supporting the growth of indonesia The Sharia economy and the country’s vision to become the global hub for Islamic financial solutions.

Prudential Syariah is dedicated to meeting the Sharia-based health and wealth needs of communities with solutions based on “Sharia for All” principles. This set of principles encompasses the concept that Sharia values ​​are universal, inclusive and relevant to all Indonesians.

KH Ma’ruf Aminvice president of the Republic of Indonesia, officiated and congratulated the establishment of Prudential Syariah. Also present were the heads of Sharia financial institutions and organizations, namely the Financial Services Authority (OJK), the National Committee for Sharia Economics and Finance (KNEKS), and the Sharia Economic Community (MY).

In his opening speech, KH Ma’ruf Aminmentioned, “indonesia economic and sharia performance have continuously increased year by year. Indonesia is the fourth largest country in the world with total Sharia industry assets reaching 17% in 2021. We hope that Prudential Syariah can be part of the solution to address the need for risk protection and bring added value to the public, while at the same time driving the pace of a new era of Islamic industry in Indonesia and support the Indonesian government’s commitment to becoming the center of the global Islamic economy.”

As the Covid-19 pandemic has led to an overall contraction in the global Sharia economy, Indonesia continues to top the Islamic Finance Countries Index (IFCI) according to the Global Islamic Finance Report 2021.

Riswinandi, Executive Director of Supervision of Non-Banking Financial Institutions (IKNB) and Member of the Commissioner’s Board of Directors Financial Services Authority (OJK)said, “The establishment of the Shariah life insurance business as a stand-alone entity will significantly enhance the growth of the Shariah industry and ecosystem. We acknowledge the efforts of Prudential Indonesia and Prudential Syariah and hope others will follow in support of Sharia development There is huge potential to close the protection gap and improve financial inclusion within the Islamic community by Indonesiawhere insurance penetration is less than 1%. »

Since Prudential Indonesia established its Sharia unit, the company has gone from strength to strength. Last year, Prudential Indonesia further expanded the distribution reach of its Sharia products through its strategic bancassurance partners Standard Chartered Indonesia and UOB Indonesia. It has also leveraged its digital partners and platform to make Shariah solutions more accessible to digitally savvy customers.

Michelina Laksmi Triwardhany, CEO of Prudential Indonesiasaid Prudential is committed to partnering with the government to make Indonesia a global Sharia financial services hub.

“We are very grateful for the achievements recorded by our Shariah business unit since its inception in 2007. Today, we are a leader with a 29% share of the Shariah market.¹, offering an innovative and complete range of 49 products. Prudential Indonesia will continue to support Prudential Syariah, leveraging our experience and leadership in Sharia-compliant life insurance. Together, we will build on the foundation laid over the past 14 years to help more Indonesians get the most out of life,” said Michellina.

Omar Sjawaldy Anwar, CEO of Prudential Syariah said that by adhering to the principle of “Sharia for All”, the establishment of Prudential Syariah will strengthen our ability to provide innovative, comprehensive and affordable health and financial solutions to our customers.

“Our innovative product capabilities, coupled with a strong multi-channel distribution network, puts us in a strong position to grow our Shariah business and expand our customer base. We are very optimistic about the outlook for the Shariah industry and are committed to play a leading role in the development of Islamic finance by Indonesia“Omar said.

To improve financial literacy, including Sharia insurance knowledge, Prudential Syariah has also introduced the Sharia Knowledge Center (SKC). It is an online educational center that provides up-to-date information on new products and services as well as a discussion and collaboration platform for the latest innovations and developments in the Sharia financial services industry. . The 2019 National Financial Literacy and Inclusion Survey conducted by the OJK showed that the insurance literacy index was less than 20%. This means that only two out of 10 Indonesians have an understanding of insurance.

Learn more about Prudential’s business in Indonesia: https://www.prudentialplc.com/en/investors/presentations/2022

To finish

1 Based on AAJI Q4 2021 data

Media inquiries:

Prudential
sunbathe Ping-Ping | E-mail: [email protected] Kho Hui-Yi | E-mail: [email protected]

About Prudential Indonesia
PT Prudential Life Assurance (Prudential Indonesia) was established in 1995 and is part of Prudential plcwhich provides life and health insurance and asset management, with a focus on Asia and Africa. By combining Prudential’s international experience in life insurance with knowledge of local business procedures, Prudential Indonesia is committed to growing its business by Indonesia.

Since launching its first unit link insurance product in 1999, Prudential Indonesia has been the market leader for these products in Indonesia. Prudential Indonesia has established a Shariah business unit since 2007 and is considered the market leader in Shariah life insurance in Indonesia since its foundation.

From December 31, 2020Prudential Indonesia is headquartered in Jakarta with six marketing offices in Bandung, semarang, Surabaya, Denpasar, Medan and Batam and 371 Marketing Offices (KPM) across Indonesia. Until the end of 2020, Prudential Indonesia has served 2.8 million life policyholders supported by more than 243,000 licensed sales people.

Prudential Indonesia recorded and supervised by Financial Services Authority (OJK).

About Prudential Syariah
PT Prudential Sharia Life Assurance (Prudential Syariah) has been operating since 2022 following the creation of PT Prudential Life Assurance Prudential Indonesia’s Sharia business unit as a separate entity. Prudential Syariah offers Sharia-based life, health and financial protection solutions to meet the growing needs of Indonesians.

From its inception in 2007 as a Shariah business unit within Prudential Indonesia, to today as a separate entity, Prudential Syariah remains committed to providing all Indonesians with access to protection solutions by promoting universal and inclusive values, in accordance with “Sharia for all”. principles.

Backed by our core values ​​that delight customers, product and service innovations and advanced digitalization, Prudential Syariah is committed to strengthening its position by manifesting its aspirations to become one of the leading economic contributors to Shariah in Indonesia and make Indonesians healthier and wealthier.

PT Prudential Sharia Life Assurance is registered and supervised by the Financial Services Authority (OJK).