Insurance Capgemini 's Business Agility Maturity Model Framework
It must be admitted insurance company with a bank may be less popular , at least judging from the level of public knowledge about the function and role of both the financial institution . In the Indonesian economy was , asset insurance is much smaller than the national banking assets already exceeded USD 3,000 Trillion as can be seen in the Indonesian Banking Statistics published periodically by the Bank of Indonesia.
As a company , the insurance was the same repatif views of its functions , for example, there is a part of marketing , finance , HR , etc. . However , in addition, given the role and functions of different insurance than other financial institutions , of course, there are special functions are only found in the insurance company .
Just as banks , insurance is a financial institution that collects funds from the public and channeled back into the community . However , both the financial institutions have differences in the type or source of fund products . Differences make the insurance company has the names of the different functions or departments than others . However , the core parts of the operating company is a suitable form of the model bisnsinya respectively .
So , what are the functions of an insurance company that specifically reflect operational at the insurance company ? This time I quote the business model developed by Capgemini contained in " World Insurance Report 2012 " . Let us refer to the image of the business model that can be seen on page 22 of the report can be downloaded at the link .
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Broadly speaking , in Indonesia, the two (2 ) types of insurance , the insurance is traditional and non- traditional insurance . Let us refer to the discussion continued.
Traditional insurance
Definition of Life Insurance Policies ( Life Insurance Policy) by definition of LOMA ( Life Office Management Association ) is :
" Policy Life Insurance ( Life Insurance Policy) is a policy in the policy where the insurer promises to pay benefits for the death of the insured person / insured . "
Traditional insurance also has a variety of types, each of which will be explained as follows :
1 . Term life insurance ( term )
Term insurance provides protection only within a limited period only . Protection can be as short plane ride from Jakarta to Semarang for less than two hours or as long as 20 years .Typically, there is a time limit of insurance protection . In addition , if there is no risk , the insurance money is not returned or forfeited .
This type of insurance has the cheapest premiums among other insurers . The coverage can be a big money , billions of premiums that are not too breaking the bank . Type of term life insurance has no cash value . If at the expiration of insurance contract the insured is still hale and hearty , the contract expires and no money is given to the insured .
2 . Insurance whole life (whole life )
This insurance contains the value of savings . The period of protection any longer , up to 99 years . This insurance is called a refinement of term life insurance that has no cash value . However, the value of premiums that must be paid customer is also more expensive than term life insurance .
In whole life insurance , when the contract expires and the insured is still hale and hearty , no cash value provided to customers . The cash value of whole life policy can be used as collateral for loans , and there is a bonus dividend of the company for the whole life policy holders . Moreover , if it can not pay the premium , the policyholder may withdraw funds from the cash value . This feature does not exist on the type of term life insurance .
3 . Endowment insurance ( endowment )
The third type is the traditional endowment insurance . This type is like term insurance as well as savings . Diverse forms of endowment insurance . In addition to cash value , there are also funds expended prior to the insurance contract term expires . These funds come out periodically , for example every 3 years or 5 years.
For example, such issued insurance fund education when the child was 5 years old for kindergarten entrance fee , 7 years of primary school entry fees and so on . Unfortunately , this endowment insurance premiums are much more expensive than term insurance premiums as well as whole life .
Non- traditional insurance
Non-traditional type of insurance is only one link unit . In addition to functioning as a protection , it also serves as an investment . The premiums paid partly used to pay for protection and partly placed in the units of mutual funds in the form of links .
Policyholders will be asked to choose where to put their investments , whether in equity funds , balanced mutual fund , fixed income fund , or money market .
For the type of unit-linked insurance is quite complicated and more difficult to understand .So that prospective customers have to really pay attention and investigate further .
Low public awareness to purchase an insurance product due to allegations regarding damages or constraints that would be obtained if you buy an insurance product . Is this true ?
This is what needs to be clarified . Life insurance is an important part of financial planning . However , misconceptions about life insurance can prevent people from getting benefits.Later , when there is a problem , he should have realized a long time to buy insurance .
So you do not inedible gossip or hearsay about life insurance ( which is not necessarily true ) , you should first identify the myths surrounding life insurance are the most popular .
1 . People who are young and single do not need insurance .
Is there a person who suffered a loss when we die ? However , although we do not rely on others , we are still going to leave a credit card debt , mortgages, cash loans , up to the cost of the funeral .
Life insurance policy will generally cover the costs of this . The faster , or the younger you buy insurance , you can get a lower premium . Insurance will also ensure that costs you spend when you are having health problems later .
2 . Only those who already have children who need insurance .
According to Michael Bonevento , senior financial advisor at Ameriprise Financial Services , Inc. . , They were married and married with children , or married with children with special needs , may have to buy liability insurance .
Even so , there are many instances where the single also has insurance . When the single came from poor families were , he could leave his family insurance claims in the event of a problem for him . So , he took the insurance to make sure his family is not experiencing financial problems when he was gone.
3 . If the company has been providing insurance to buy insurance what else ?
Many companies that provide life insurance or health insurance for their employees , whose value may be equivalent to your salary a year . This may be a benefit for you , but what if you do not work anymore in the company ?
Are not you can not predict when you will experience the risks that might occur ? What if you suddenly had to be hospitalized ? May be too late if you've already bought insurance when money needed for anticipated losses that may arise as a result of the risk .
4 . Life insurance is generally too expensive .
We will buy insurance , you will be given the option to charge a premium that fits your ability . Premium selected young people will necessarily be lower than those already established . Moreover , in addition to annual paid , there are also premium can be paid monthly . This premium value can increase when your financial condition is getting better .
5 . All the same insurance policy .
His name is also a product or merchandise . Each certainly has its advantages and disadvantages , which is manifested in the form of policy . The policy may use the same term , but the substance of what is on the cover could be different .
So when you buy an insurance product , do not just consider price alone . Read the policy carefully given that you do not feel cheated later .
6 . Housewives do not have to buy insurance .
You may not have the income , but you would still have to provide the facilities needed by the family . For example , child health , food and clothing needs , home care , and so forth .
When her husband died suddenly , or not able to work anymore , those needs would have to fulfill itself . Well , life insurance can ensure your security while the couple was no longer present to meet your needs .
7 . Buying insurance is complicated .
It takes time to process your insurance purchase , including the approval of your proposed insurance demand . However, the current financial planner insurance agent alias already implementing proactive .
That is , it is they who come to you and take care of everything . If less clear with the rights and obligations of you , you can also access it himself on his website . You can also compare yourself with other insurance products . If still not clear , you can schedule a meeting with your agent again .
8 . If I had life insurance , it means I do not believe God's protection .
When we left the car / house , whether we locked the door or not ? If we believe in the protection of God , of course, we do not need to lock the door at all , because God will take care for us .
God gives to human intellect and mind so that people can think . Just as God gave the reason that we want to lock the door of the car / house when leaving it and do not make God a house keeper / your car , then God also gave us minds so that we can protect ourselves from things unexpected by taking protection insurance and do not blame God when things happen that are not in want .
9 . Difficult insurance claims , and often do not pay .
If insurance difficult and convoluted claims , the insurance business will certainly continue to shrink because no one else wanted insured . In fact the insurance business continues to grow each year . Why not pay a life insurance claim can be read here
10 . Had life insurance that means I will soon die .
If all life insurance customers promptly died shortly after take insurance , then the insurance company would have been bankrupt long ago , because how could pay customer claims whose value is not comparable to the premium paid .
Precisely the facts show most long-lived insurance customers because in prayer by all employees and insurance agent , so the next year and subsequent years customers can still pay their insurance premiums so that they all can handle the work and at a salary by the company .
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Have you ever experienced insurance claims are not paid ? If so , of course, you will surely be angry , upset and disappointed . But do not rush to blame the Insurance Company ( PA ) first , see the first article of this , and know what are the causes of insurance is not paid .
Yes , some of you may think that insurance can only give promises without any evidence .However , if you 've ever prove it ? If not , maybe you should take insurance first, then prove whether Insurance Company ( PA ) is a broken promise your good or included .
PA cases were broken promise should be viewed case by case basis , not generalized .That is , not only because the PA did not keep their promises , then you consider all of the PA is not true . Non-payment of insurance money by a PA could be due to many things .What are the causes of Sum Assured Life Insurance not paid to customers .
ERRORS OF ANY CUSTOMERS
Not all failures are caused by the PA claims payments . It could also be the cause is the customers themselves . Generally there are five mistakes that could lead to customers Insurance Money not paid :
1 . Customer dishonesty .
Before someone has a life insurance product , he first had to fill out Life Insurance Proposal Letter ( SPAJ ) Insurance . In SPAJ there are questions that must be answered by a prospective customer , and from the answers that the PA will see whether to provide life insurance protection to you or not .
Well , this is often when filling SPAJ prospective customer does not give the correct answer . For example , in SPAJ there is a question about whether you had been treated in hospital in the last two years . If you answered no - although never hospitalized six months ago , for example - then when your death occurs and the PA you discover that the cause of death was due to an illness that never makes you go in the hospital about six months ago , well ... do not expect the PA will pay UP they promised .
2 . The existence of exceptions by the PA to pay the sum insured .
Life sometimes does not give the PA benefits they promised when it turns out the cause of your death was excluded ( and the exception is written in the policy ) . Regarding this exception , generally PA set the number of exceptions that vary . However , generally are :Deaths due to suicideDeath because the person in question committed the crimeDeaths due to AIDSDeaths due to critical illness , where death occurred in her first year of PA insurance program concernedDeaths due to force majeure , or things that can not be avoided , such as war , natural disasters , or civil commotion .Well , often the exceptions contained in the policy it is not read by the client , so that he felt aggrieved when the sum insured insurance is not paid . That's why , if you have the insurance policy , a time longer to read the articles contained in the policy .
3 . Customers too long to make a claim
Generally , the PA set limits for filing an insurance claim . Typically , the time limits stipulated was three months . Fuss , customers often claim filed beyond the time limit , so the PA difficult to fulfill .
For example , your husband follow a Life Insurance program with you as his heir . In the event of the death of your husband , then you can only get the promised insurance benefits if you are still filing claims within three months after the death . If not , the insurance company may not want to provide the benefits they promise .
Now , you can know how long the time limit given by the PA you in filing a death claim ?You can read it on your Insurance Policy . After that , if it did occur later risk of death , immediately submit his claim to the PA .
4 . The terms of the time of filing a claim is less complete
PA usually ask a number of requirements when filing a claim if it does occur the risk of death in people who are covered . Requirements that are often not met or completed by the deceased client , so that the PA would not be able to immediately pay their claims .
Typically , the requirements demanded by the PA if you want to file a death claim is :Death Certificate of RT / RWAccident Certificate of Police ( if death occurs due to accident )Statement from the hospital ( if the death occurs in hospital ) , where the letter was signed by the doctor concernedClaim Form issued by the PAPhotocopy of Identity Heirs .So , if there is a risk of death , do not forget to meet all the requirements demanded by the PA . Nah difficult , right?
5 . Non-payment of premium by the customer within a specified time period
It is already clear . If you do not pay premiums according to the specified time period , your insurance policy may be void. This means , you are no longer covered by insurance .This is what often happens . In the early days , customers pay premiums diligently , but at a certain moment , premiums are no longer paid , even up to a certain time limit .
It's just the same as if you use electricity and do not pay within a certain time limit , so your electricity disconnected at home threatened by PLN . Therefore , make sure you know the rules of your premium payments . Do not let your insurance policy is not valid just because you forgot to pay your premiums on time .
ERRORS OF PARTY INSURANCE COMPANY
Aside from the customer side , non-payment of insurance money can also be caused by errors caused by PARTY PA . There are several actually , but it is common there are only two :
1 . Insurance Agent dishonesty in presenting insurance products
Your insurance agent can be dishonest in presenting its Life Insurance products . For example , when met , he said that the PA will pay UP Life Insurance critical illness when death is caused , including if the risk occurs in the first year . Though generally not the case .
Granted , not every PA has the same policy . So my advice , what you see in your insurance policy that is to be used as a reference , instead of what is said Insurance Agent . PA generally gives a kind Money Back Guarantee if it turns out you are not satisfied with the articles listed in the policy .
You can restore the policy , and your money will be returned . Of course , the return policy as long as it is within the specified period of time set by the PA , which is usually 30 to 90 days . Then, if all Insurance Agent can not be trusted ? Yes , baseball , dong . That , right back to the person . Do not because there is an agent that ' baseball Ko ' , then you say that all insurance agents in the world ' not right ' . Once again , it all goes back to their respective characters .
Well , to prove whether a given presentations Life Insurance Agent 's right, you live alone match the Insurance Policy issued . If the same , meaning your insurance agent is honest and trustworthy . If not , report him to his insurance company .
2 . His company recalcitrantIf you find that you have met all the requirements requested , honest in filling the SP , diligent in paying premiums , filing a claim is still sending the prescribed period , but claim you still have not paid , please check again . It could be the company that is recalcitrant .Immediately report to the authorities if necessary .
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Definition of InsuranceThe primary function of insurance is as a mechanism to transfer risk (risk transfer mechanism) , which transfer risk from one party ( the insured ) to another party ( the insurer ) . The transfer of risk is by no means eliminates the possibility of misfortune , but the insurer to provide financial security ( financial security) and tranquility ( peace of mind ) to the insured . In return , the insured pays a premium in a very small number when compared to the potential losses that may be suffered ( Morton : 1999) .
Basically , the insurance policy is a contract that is a valid agreement between the insurer ( in this case the insurance company ) with the insured , where the insurer is willing to bear some losses that may arise in the future in return for payment ( the premium ) from the particular insured .
According to Law No. . 2 of 1992 , which referred to the insurance or coverage is an agreement between two or more parties , by which the parties committed themselves to the insured , by accepting the insurance premiums to provide reimbursement to the insured for loss , damage or loss of expected benefits , or legal liability to third parties which may be suffered by the insured , arising from an uncertain events , or to provide a payment based on the death or life of an insured person .
In order for a potential loss ( which may happen ) can be insured ( insurable ) then it must have the following characteristics:The loss of uncertainty ,Losses should be limited ,Loss must be significant ,Loss ratio can be predictable andLoss is not catastrophic ( disaster ) for the insurer .The question arises ; death is a sure thing , why be insured ?Even though it is something that contains certainty , but the exact date when the person's death are beyond the control of that person . So when the events truly death of uncertainty is what causes it insurable .
There are two forms of agreement in determining the amount of the payment at maturity of insurance namely : contract value ( valued contract) and the indemnity contract (contract of indemnity ) .
The contract is an agreement whereby the value of the payment amount has been determined in advance . For example , the sum assured ( UP ) on life insurance .
Indemnity contract is an agreement santunannya amount based on the amount of actual financial loss . For example , the cost of hospital care .
In the case of insurance companies trying to suppress the possibility of a fatal loss / large , it can transfer risk to another insurance company . This is called reinsurance companies that accept named reinsurers .
In addition to the five characteristics above , before it can be insured , the insurance company should consider the insurable interest and anti-selection . Insurable interest with regard to the relationship between the insured and the recipient of compensation / benefits - in terms of loss potential . For example, the insurance company will not sell fire insurance policy to a person other than the owner of the building is insured .
Insurable interest in this example is the ownership of an eye something that is insured .Similarly, family relationships , financial linkages are unwarranted , is also a form of insurable interest . The definition of anti-selection ( counter selection ) refers to the existence of a greater tendency to take insurance because it has a risk level above the average . For example, people who have a record of poor health or risk dangerous jobs tend to want to buy insurance .
To reduce anti-selection result , the insurance company must be able to identify and classify potential risks or losses . The process of identification and classification of the level of risk is called underwriting or risk selection . But that does not mean anti-selection led to the filing of insurance is rejected , because the risk of loss to the insured than average can be charged a premium sub- standard ( special premium ) due to sub- standard risk ( specific risk ) unless the possibility of loss is much higher , may request denied insurance .
History of Insurance in Indonesia
Insurance business into Indonesia during Dutch colonial rule and our country at that time called the Netherlands East Indies . The existence of insurance in our country as a result of the success of the Dutch nation in the plantation sector and trade in the colonies .
To ensure its survival , the presence of insurance is absolutely necessary . Thus the insurance business in Indonesia can be divided into two periods , namely the colonial period until 1942 and the period after World War II, or the time of independence .
At the time of the Japanese occupation army for about three and a half years , almost no recorded history of the development .
Insurance companies in the Dutch East Indies colonial era it is :The companies founded by the Dutch .The companies that are branch office of the insurance company headquartered in the Netherlands , the UK and in other countries .
With a run monopoly system in the Dutch East Indies , the development of insurance in the Netherlands East Indies limited to trade activities and interests of the Dutch , British , and other European nations . And the role of insurance benefits have not been recognized by the public , especially by indigenous communities .
This type of insurance that has been introduced in the Dutch East Indies at that time was very limited and mostly consists of fire insurance and freight .
Motor vehicle insurance is not yet play a role , because the number of vehicles is still very little and only owned by the Dutch and other foreign nation . In colonial times not recorded a single insurance company .
During World War II the insurance activities in Indonesia practically stalled , mainly due to the closure pemsahaan Dutch - owned insurance company and the UK .
Insurance independence eraAfter World War ended, the Dutch companies and the UK back in operation in this country has been independent . Until 1964 the insurance industry market in Indonesia is still dominated by foreign companies , especially the Netherlands and the UK .
At the beginning of their operations in Indonesia set up an entity called " Bataviasche Verzekerings Unie " ( BVU ) in 1946 , which conducts collective insurance . Thus from every closing , each member of the BVU gained a certain share . How this is done given the circumstances at the time the insurance is not organized and workers still less so .
In 1950 the company established a first loss insurance , the NV . Indonesia's airline insurance then in early 2004 has become a PT MAI PARK . At that time , as a pioneer of national insurance company first , these companies have to compete with foreign insurance companies that excel in both the capital and technical knowledge factor .
With the establishment of the national insurance companies , national businessmen bravery encouraged to establish insurance companies . Courage is also supported by government regulation that all imported goods must be insured in Indonesia . This arrangement is intended to address the use of foreign exchange to pay insurance premiums abroad .
In 1953 also established a national private company engaged in the reinsurance Dutch and English in Indonesia , the use of foreign exchange to pay reinsurance premiums abroad still remains large . To cope with this , was established in 1954 a professional reinsurance company , the " PT . REINSURANCE . GENERAL INDONESIA " which received support from state banks .
The latter institution issuing binding rules for foreign insurance companies to menggunakanjasa national reinsurance company . The steps taken by the government in this case give the expected results . PT activities . General Reinsurance Indonesia in 1963 expanded the life reinsurance activities .
At the time of PT . General Reinsurance Indonesia was established , many insurance companies have sprung up nationwide , but its development was hampered by severe competition from private insurance companies are foreign .
At the time of the struggle mengembaiikan West Irian to the Republic of Indonesia, the government nationalized the Dutch -owned company . British companies were nationalized in the confrontation .
Buying insurance can be said to be tricky , because there are many considerations that must be considered . Especially with the high competition among insurance companies today. However, there are several important factors you should know before you buy insurance . Well , what are the tips on choosing insurance ? Here's his review .
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Ways of Selecting Insurance Products :
1 . Understanding yourself .
As the holder or purchaser of insurance , we have to know the true and clear our needs .Insurance products are so many and varied . Selection of the appropriate requirements should be a priority .
In the early stages , health insurance is very necessary parties began to collect insurance investment . Health insurance cover medical expenses , including hospitalization if need .Furthermore , life insurance bear the risk for future uncertainties .
This insurance provides a guarantee fund for the families left behind when the policy holder dies . That is , we remove the risks faced by the family in the future to the insurance company .
If this insurance has owned both , then we require insurance on items owned . For example , free home fire insurance , car insurance for loss or accidents could be made also include third party .
If you already have it , a new thought very specific insurance and offered to the public . For example , job title insurance or indemnity insurance frofessional . Insurance is required doctors , stock brokers , and MI .
2 . Finding desired insurance and the insurance company offers .
Many insurance companies offer products and varies between one company and another . For these products , insurance buyers should look at the products offered . If necessary , the buyer can consult with friends or an insurance expert .
When looking at the product, the buyer should understand the legal language of the brochure products offered . The same premium product can be different for each insurance .
3 . Take into account the ability of any insurance to be purchased .
If buyers want only insurance , the premium is an expense , not an investment . The following year the buyer must pay the premiums anymore and there will be a possibility of premium increases due to inflation or the cost of insurance companies .
Do not force yourself if you can not afford the insurance . Better delay and melaksanaka next year . When buyers push yourself , another post to be sacrificed in order to purchase insurance products .
4 . Insurance products with the ability to match funds .
It is a decision-making process for the selection of insurance products to be purchased . If desired insurance products there are some , and offered not only by one company , it is a very good information for buyers because there are options .
5 . Discuss the contents of insurance products from insurance companies that have been selected according to the ability of funds .
This discussion is very important because the brochure given to read is often overlooked , and we are less scrupulous . All brochures and information from the seller's agent should be discussed with the parties understand the law , so that the more secure option .
Because mambutuhkan costs , buyers can ask your friends, or " friends of friends " who understand . The cost of lunch so-so small as to increase the area covered our knowledge .
6 . Choosing an insurance company is equally important .
Insurance buyers should be clearly and carefully in order not miscast . Insurance buyers should know the track record of the company . Ownership status of the company sometimes also be a selection factor , but not the main factor .
There are insurance companies that are still small , but very reliable track record .Insurance buyers can ask customers or buyers of the company's insurance . In fact , it could ask the insurance that has been paid as per the agreement .
Large companies are also often do impropriety . Often we hear that the insurance companies are very keen when collecting premiums , but very difficult time of disbursement of insurance claims . Delay in disbursement of claims usually because the company is still doing of Inquiry on an event giving rise to the claim .
Foreign or local ownership is also often an option . Foreign owners are usually more experienced than local . However , the buyer can judge for yourself on this characteristic .Good management will always pay attention to its customers . Usually insurance companies have a meeting with customers to meet so many products purchased .
7 . Sign the insurance agreement .
This stage to consider carefully whether the contents of the agreement according to our wishes and offers . Buyers do not be tempted by the phrase that all is as you see fit . If the answer is that the raw material of the company , the buyer should be careful and ask postponed to suit the buyer . What is written in the agreement into the handle of each party .
In buying an insurance product , the buyer always meet the seller agent . Do not be tempted by the attitude of an agent who wants to quickly shut down because buyers can purchase any of the shots. Buyers should not pay attention to the signs clearly very interested in the product .
Extra precaution is needed . Purchase fund does not belong to anyone else , but yours .Loss or risk of error still borne by the buyer purchase insurance , not the other party . ( ADLER Haymans MANURUNG , practitioners Finance )
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