Reinsurance Record Claims for the Lombok-Palu Earthquake of IDR 65 billion

 
Nusa Dua (Antaranews Bali) - PT Reasuransi Indonesia Utama (Persero) recorded that the number of claims by general insurance companies whose customers were affected by the earthquake in Lombok, NTB and Palu, Central Sulawesi has reached around IDR 65 billion.
 
"The earthquake in Lombok and Central Sulawesi has become a 'wake up call' for all insurance companies regarding the adequacy of their catastrophic 'cover'," said Operational Engineering Director of PT Reasuransi Indonesia Utama, Kocu A. Hutagalung, while attending the "Indonesia Rendezvous" in Nusa Dua, Bali.
 
Reinsurance or known as Indonesia Re recorded that the amount consisted of earthquake claims in Lombok which reached around IDR 38 billion and IDR 27 billion in Palu.
 
Claim Non-Marine Group Head PT Reasuransi Indonesia Utama, Adhi Saptoto, added that the amount has still not been paid because it is still waiting for the calculation process to be completed so it is estimated that the value will continue to increase.


As he sees, the latest data collected by the state-owned company recorded that around 30 companies in Lombok and about 10 companies in Palu had submitted claims, all of which were general insurance companies.
 
"Most of the insured buildings in Lombok are hotels, several in Bali has also been hit and in Palu there are hotels, ports and several shops," he added.


Adhi estimates that claims due to natural disasters in the two regions will increase by the end of 2018 to reach a range of around IDR 1.5-1.6 trillion, higher than the 2017 claims of IDR 1.3 trillion from general insurance companies.
 
In the "Indonesia Rendezvous" organized by the Indonesian General Insurance Association, the threat of natural disasters such as earthquakes in Indonesia is the main topic of general insurance actors to raise awareness of these challenges in the coming year.


Insurance companies now have to prepare a protection from catastrophic events or unforeseen events that cause a lot of costs that hit an area especially prone to disasters.

Apart from earthquakes, another natural phenomena is liquefaction after the earthquake in Palu that will become a new note that is of particular concern to general insurance companies.
 
The study of natural disasters will be studied by the Indonesian Insurance Company (MAI) and the Special Risk Insurance Company (PARK) or Maipark, an insurance company formed and owned by an industry that specifically conducts research and assesses catastrophic events. (ed)