OJK Issues Four Rules to Boost Insurance Industry Transformation
- Istimewa
Meanwhile, for the pension fund industry sector, POJK Number 27 of 2023 concerning the Implementation of Pension Fund Business contains implementing provisions of several regulatory mandates of Law Number 4 of 2023 concerning Financial Sector Development and Strengthening.
In terms of investment, the POJK contains provisions that aim to encourage the strengthening of pension fund investment governance so that it is organized more prudently.
This is done through competency requirements for pension fund administrators, as well as additional requirements related to investment placements that tend to be high-risk.
In terms of early retirement benefit payments, the POJK also contains provisions regarding the payment of periodic pension benefits that can be paid directly by the early retirement fund, or by purchasing annuity products that provide a minimum of 10 years of earlu retirement benefit payments.
"For 2024 one of OJK's priority programs for the insurance industry sector is the improvement of regulations related to insurance products and insurance product channels," Aman concluded.