PT BNI Life Insurance has revealed that it is currently in the process of separating its Sharia business unit. Currently, the value of its Sharia unit's assets has reached IDR 1.4 trillion.

The Acting President Director of BNI Life, Neny Asriany, stated that BNI Life is currently preparing for the spin-off of its Sharia business unit, both in terms of performance and operations.

“We are preparing to carry out the spin-off because BNI Life is also focused on improving and sustaining its Sharia business in the future,” Neny said when contacted by Kontan.co.id on Wednesday (August 14th).

She mentioned that in the first half of 2024, the assets of BNI Life's Sharia unit were recorded at IDR 1.4 trillion. Additionally, in the first half of 2024, BNI Life's Sharia business segment reached IDR 407 billion.

“Meanwhile, premiums from the conventional segment were recorded at IDR 2.53 trillion,” she added.

As such, Neny noted that the ratio of Sharia to conventional business at BNI Life is approximately one to six.

On the other hand, Neny pointed out that the Sharia business unit continues to grow, considering the significant potential in this segment. The majority of Indonesia's population is Muslim, and Sharia-based communities are continuing to expand, along with the growing halal lifestyle in various areas, from fashion and food to financial products, including insurance.

As additional information, according to OJK Regulation (POJK) Number 11 of 2023, the separation of Sharia business units must be carried out no later than December 31, 2026.

The Financial Services Authority (OJK) has so far indicated that 30 insurance companies plan to spin off their Sharia business units (UUS) by establishing new Sharia insurance or reinsurance companies.