Global insurer Zurich plans to convert one of its business entities, Zurich Insurance Indonesia (ZII), to a Shariah general insurance company, subject to regulatory approval.
This follows the successful acquisition of 80% of Asuransi Adira Dinamika (Adira Insurance) shares by the Zurich Insurance Group in November 2019.
Zurich’s Shariah general insurance company is expected to be operational by 2021 under the name of Zurich General Takaful Indonesia (ZGTI). When the conversion is completed, customers of ZII will have the choice to renew their conventional policy contracts with Adira Insurance or change to a Shariah policy with ZGTI. Zurich Indonesia currently provides life insurance solutions through Zurich Topas Life (ZTL) and general insurance through Adira Insurance.
In a statement, Zurich says that the acquisition of Adira Insurance demonstrates the group's commitment to grow its scale and presence in Indonesia for the long term. In line with this commitment, the conversion to a Shariah insurance company will enable Zurich to provide a range of products and solutions that meet the growing needs of customers in this market.
CEO of ZII, Hilman Simanjuntak, said, “Indonesia is an important market for Zurich. We have strong ambitions to expand and grow our Shariah, general and life insurance businesses.”
“As a top multinational player, Zurich is continually looking at ways to innovate and connect with customers so that they have a seamless and great experience with us. In response to changing customer behaviour, we will be further developing products and solutions through both digital and traditional channels.”