TEMPO.CO, Jakarta - The Indonesian Insurance Board (DAI) claims there are plenty of insurance firms that share the same problem facing that state-insurance firm Jiwasraya, Bumiputera, and Bakri Life. DAI asserts that its effects are at a manageable level.
“In reality, there are many insurance firms that face the same issue but at a manageable scale preventing it from developing into a case,” said DAI chairperson Dadang Sukresna in an insurance event held in Jakarta, February 27.
However, Dadang made it clear that the troubled insurance firms apart from the aforementioned ones.
He also asserts that the national insurance industry is facing a difficult situation following the default of reported from some insurances and that it has caused the public to lack trust towards the industry.
Dadang also acknowledges that the insurance industry often gets stuck in short-term demands that sway firms in the industry to commit “window dressing” which basically alters a financial report to look better than what the situation actually exhibits.
Responding to this, the Indonesian Insurance Board chairperson urged insurance firms guilty of such practice to introspect and evaluate their level of obedience.