ASOSIASI ASURANSI UMUM INDONESIA General Insurance Association Of Indonesia Presented By : Mr. Budi Herawan Chairman of Statistik, Analisys, Research & Information Division

Content 1. History 2. Members 3. Minimum Equity Regulation 4. Market condition (year 2011 unaudited) 5. Other Issue

History General Insurance Association of Indonesia (AAUI) was founded in January 23rd 2002. In the 3rd AAUI Congress was held on April 26th, 2011, the members reelected Mr. Kornelius Simanjuntak as Chairman of The Leadership Formation for the 2011-2014 period.

General Insurance & Reinsurance Company Members of AAUI General Insurance & Reinsurance Company Year 2007 2008 2009 2010 2011 Local Insurance 73 70 69 67 Joint Venture Insurance 21 20 18 16 Reinsurance 4 98 94 93 91 87

MINIMUM EQUITY OF INSURANCE AND REINSURANCE COMPANY Government Regulation Nr. 81 dated 31 December 2008: Third Amendment To Government Regulation Nr. 73 Dated 1992 Concerning Insurance Business Conduct MINIMUM EQUITY (1 USD = IDR 9,100) Dec. 31, 2010 Dec. 31. 2012 Dec. 31, 2014 Insurance Reinsurance 40 billion IDR 100 70 150 200 We hope all members to be prepare themselves in complying this regulation.

Market Condition National Gross Premium Total Gross Premium Income for general insurance in Indonesia year 2011 amount is 3,7 Trillion USD, grew by 19.5% compared to the year 2010 which recorded gross premiums for 3,1 Trillion USD. Largest growth in nominal gross premiums booked by motor vehicle insurance business increased by 135 Million USD compare to prevoius year.

Market Condition National Gross Claims The Gross claim year 2011 amounted to 1,404 Million USD, increased by 5.5% over to the same period in 2010 amounted to 1,331 Million USD. claim highest in nominal growth occurred in the business line of health & personal accident insurance which increased of gross claims by 57,8 Million USD. Loss Ratio in 2011 accounted for 37.2%, the largest contribution is booked by health & personal accident insurance for 47.5%.

Market Share 2011

Claim Contribution 2011

Motor Vehicle Insurance In Indonesia there is a reference tariff for Motor Vehicle Insurance to implemented as regulated on MOF Regulation (PMK No.74/PMK.010/2007). This regulation was established since 2007 and review periodicaly every year by the Regulator base on the Risk and Loss Profile , Administration Cost and Other cost in Motor Vehicle Insurance.

Motor Vehicle Insurance Gross premium for motor vehicle insurance business in the year 2011 of 1,1 Trillion USD, was increased by 13.8% compared to the year 2010 which booked gross premium of 988 Million USD. The market share of this insurance business growth positively in 5 (five) years. Gross claim of this business in 2011 amounted to 482 Million USD was increased by 10.5% if compared to the year 2010. Claims ratio of motor vehicles insurance decreased by 1.3% over the previous year

Reinsurance Bussiness Gross reinsurance premiums accepted by 4 national reinsurance company in the year 2011 amounting to 214 million usd or 5.7% of national Gross Premium of 3,772 million usd. National Claims Gross Reinsurance amounted to 99 million usd, or 7.1% of National Gross Claims Insurance Company of 1.404 million usd. Claims ratio in 2011 of the National Reinsurance companies 46.2%. This figure is higher than the National Insurance Company's claims ratio of 37.2% in 2011.

Special Risk Company In Indonesia we have MAIPARK as special risk company which is covering only for Earthquake, Volcanic Eruption and Tsunami. MAIPARK is considering to have more cover other than mentioned above such as floods and another special risk which categorized as catastrophy risk.

General Insurance Agent Certification The Program of Certification for the General Insurance Agent has been running since July 2009 until now. As per December 2011, we have allready certified 12,286 agents for General insurance.

FINANCIAL SERVICES AUTHORITY Situation for 2013 There is a new Regulation which govern regarding new independent body called FINANCIAL SERVICES AUTHORITY (Financial Services Authority act Nr. 21/2011) The body will act as regulator for Financial & Non Financial industry replacing of Indonesia Capital Market Supervisory Agency

Thanks for the Attention