Indonesia: Regulator to crack down on unlicensed agents

| 11 Dec 2018

The Financial Services Authority (OJK) has announced that it would take action against unlicensed insurance agents who conduct business without being registered with the authorities.

Reinforcing this stance, the Indonesian General Insurance Association (AAUI) appealed to the public to buy insurance products through official agents who have been certified and registered with the OJK, reported Kontan.

AAUI Executive Director Dody Achmad Sudiyar Dalimuthe also said that insurance agents are prohibited from cooperating with agencies that have tie-ups with more than one similar insurance company. This means that at any one time, agents can work with one general insurance company, one shariah general insurance company, one life insurance company and one family takaful company.

AAUI launched an agent certification system in April 2018. The system allows agents to sit for qualifying tests online. In the previous system, AAUI conducted agency workshops and agency examinations on site.

OJK appealed to the public to use the services of insurance intermediary companies and agents registered with the regulator. The list of insurance brokers and insurance agents can be found on the OJK website.

Download: The Best of Asia Advisers Network

Read: No evidence yet that tech firms can disrupt life insurance sector - AIA Group Chief Executive

Watch: Choose your companions wisely in this final sprint – Performance Breakthrough Coach Jensen Siaw