Indonesia is a country where the majority of the population is still affected by the traditional infectious diseases. The most frequent and highest in number of Allianz Life claims have come from members suffering from diseases such as diarrhea, dengue fever, and typhoid fever.
Infectious Diseases – still the most common
Allianz claims have shown that in 2006, the number pf hospitalizations for diarrhea, dengue fever, and typhoid fever, have exceeded 5000, with varying lengths of stay ranging from 7-10 days. In 2006, Allianz paid out IDR 14 billion for the diseases alone, representing 10% of the total health insurance claims.
Affordable Healthcare Available
The Employee Benefits Division of Allianz Life Indonesia provides Group Life Insurance, Pension (DPLK) and Savings Plans as well as Healthcare Plans.
This Division provides comprehensive plans for all major segments of society; not only providing programs for companies i.e. employees and families, but also to self-employed individuals and their dependents. Allianz’s healthcare programs provide hospitalization, outpatient benefits, maternity, dental as well as optical benefits.
“In Indonesia, as in other countries, people need access to affordable quality healthcare. Everyone is always looking for the best quality that is available and Allianz Life is able to provide these comprehensive healthcare benefits, said Jens Reisch, President Director of Allianz Life Indonesia. “By having insurance, people do not need to sell their homes or other assets when faced with high medical expenses. Our greatest challenge then is to render the Allianz healthcare programs accessible to more Indonesians,” Reisch added.
“Allianz is able to offer affordable premiums. For example, an individual may obtain quality healthcare coverage for IDR 500,000 a year. For group health programs, each individual is able to obtain coverage for as little as IDR 300,000 per year. These premiums of course depend on the level and type of coverage selected.
Ahmir ud Deen, Chief Operating Officer of PT Asuransi Allianz Life Indonesia, who was also involved in setting up Allianz’s healthcare business in Indonesia, said, “Allianz Life has a great number of distribution channels which allows us to serve some of the most remote areas in Indonesia.
Ahmir ud Deen added, “We have also built partnerships with several providers throughout Indonesia, and today we have an extensive network of more than 420 hospitals and clinics.” .
Allianz Life Indonesia has also introduced a new individual health insurance product called “Maxi Violet” which offers hospitalization with a choice of outpatient, dental and maternity benefits. This policy offers a cashless facility for hospital admission, as well as a no-claim bonus, and facility for easier payment i.e. monthly, quarterly, half-yearly, or yearly.
Allianz strives for Market Leadership
Due to the growing concern of individuals as well as companies in providing adequate welfare for their employees, Employee Benefits Division has shown an increase in premium income each year. In 2005, the revenue amounted to IDR 201 billion, whereas in 2006, it amounted to IDR 472 billion, representing an increase of 135%. At present, the number of corporate clients is 1600 with 330,000 members. In 2006, the Employee Benefits Division paid out a total of IDR 131 billion in claim and benefits alone.
Insurance is a means for better access to affordable healthcare. Through group policies, insurance companies are able to touch more people by offering them a wider network of private providers.
To meet the challenges ahead, Allianz is continuously expanding its distribution network, enhancing services as well as growing its provider network, and developing new products to respond to its customers’ needs.
“With the new developments in our company, we are proud to say that Allianz Life Indonesia has become the largest joint venture insurance company for group business in Indonesia in 2006” said Ahmir ud Deen, “and we intend to maintain this in 2007”
A Moment of Truth, an Example
A young, active woman in her mid-thirties, had contracted dengue fever. Due to complications, she was placed in the Intensive Care Unit for more than two weeks. Unfortunately, all the care in the hospital could not save her, and she succumbed to her illness. The passing away of this lady did not only leave three small children motherless, but left her husband with hospital bills amounting to almost IDR 270 million! Fortunately, she had a life insurance policy that could cover her bills, but what could have been used to further her children’s education, was used instead to pay the hospital bills. This is a case where a health insurance policy could have greatly eased the burden on the beneficiaries. Had she had a health insurance policy, her medical expenses would have been covered by this insurance, and the lump sum of the life insurance policy could have been used for education of her children, as it was originally intended.