PT BNI Life Insurance stated that the presence of Financial Services Authority Regulation (POJK) Number 20 of 2023 Regarding Credit Insurance is expected to manage risks well and prudently.

Acting President Director of BNI Life, Eben Eser Nainggolan, mentioned that within the POJK, there is indeed risk-sharing for creditors and general insurance companies. However, if in the future, risk-sharing regulations are intended for life insurance companies, it will lead to more prudent pricing in business acceptance as banks also bear the risk.

"In terms of premiums, they will certainly be lower because the risk being assumed is reduced," he said to Kontan.co.id on Tuesday (2/1).

Eben expressed that through the Credit Insurance POJK, they hope that the level of credit insurance risk can be managed well and prudently, enabling consideration of underwriting processes, premium determination, risks assumed, and appropriate insurance periods for customers.

He mentioned that so far, BNI Life's life insurance products include AJK Collateral, AJK Non-Collateral, AJK Productive+, AJK PWU, and AJK Multi Credit.

"In 2024, we target a 22% increase in premium growth from credit life insurance products," he explained.

It is worth noting that the regulation specifies that life insurance companies marketing credit life insurance only provide coverage for the risks of death, permanent total or partial disability, and critical illness.