400 participants came together in Jakarta to discuss the newest microinsurance insights.
Mr. Kornelius Simanjuntak, Chairman of DAI opens the conference.

9th International Microinsurance Conference 2013

Number of insured low-income people in Asia and Oceania in excess of 170 million

The 9th International Microinsurance Conference, which took place in Asia for the third time, brought together some 400 participants from nearly 60 countries to discuss the challenges and opportunities in microinsurance. Preliminary results of the new study “The Landscape of Microinsurance in Asia and Oceania” published at the Conference by the Munich Re Foundation and GIZ, revealed that the number of insured low-income people in the region has increased by over 30% from 2010 to 2012. Today more than 170 million people benefit from microinsurance.

Government schemes are playing a leading role
In geographical terms, India is leading the market with over 100 million insureds. The Philippines has the highest insurance penetration (number of people with microinsurance in relation to the total population). That country is followed by Thailand, which up to now has rarely been in the focus of discussions among microinsurance experts.

However, the landscape of risk coverage for the low income market in Asia and Oceania is dominated by government schemes, covering over 1.6 billion people. Tran Dooc, Insurance Commissioner in the Philippines, has said that “in addition to products like life or health insurance, especially disaster-related insurance needs more support. There is a great need for government intervention.” The market is not providing the requisite solutions. The Philippines received several wake-up calls even before typhoon Haiyan devastated the country.

“The extension of insurance to new markets represents a tremendous opportunity and a tremendous responsibility”, Craig Churchill, Chairman of the Microinsurance Network, stated during his opening speech. “Formal insurance does not come naturally to persons who have never had it before. Consequently, it is absolutely critical that, when getting insurance for the first time, they have a positive experience with the product and its benefits. Needing insurance is like needing a parachute. If it isn't there the first time, chances are great that you won´t be needing it again”, Churchill concluded.
Without positive customer experience, insurers easily lose their reputation and it may take years, perhaps a generation, to have another opportunity. According to Churchill, the objective is to create a culture of insurance. Low-income people must perceive insurance to be one part of their risk management toolkit.

Regulation is key to increasing outreach
Providing a conducive regulatory environment is the second important role of governments. The “1st Consultative Forum” hosted by the Microinsurance Network in cooperation with the International Association of Insurance Supervisors (IAIS) during the conference facilitated the exchange of information between regulators and microinsurance practitioners. IAIS aims at learning from the market players and getting guidance on how to improve regulation in the region. Peter van den Broeke, representing the IAIS, reported that, since development is a part of the IAIS core mission statements, the organisation and its members are accelerating efforts for microinsurance.

Only two weeks before the International Microinsurance Conference, the Indonesian Financial Service Authority (OJK) launched its vision, the “grand design of microinsurance”. 250 million people live in the country and the population is still growing at a rate of 2% per year. That is the equivalent of adding the population of Singapore on an annual basis. According to the Central Bank of Indonesia, the financial inclusion index of Indonesia stood at about 20 percent in the year 2011, compared to 73 percent in Thailand, 66 percent in Malaysia, 35 percent in India and 27 percent in the Philippines. According to the Landscape Study, only one third of the population has a bank account and microinsurance penetration is below 0.6%.. One of the goals of OJK is therefore to improve the financial literacy of the broad public at large. “Financial literacy is important as it can accelerate people’s economic activities, which ultimately improves people’s welfare. Improving the level of financial literacy is paramount for further lifting Indonesia’s economic development”, Kornelius Simanjuntak, Chairman of Insurance Council of Indonesia (DAI) stated.

With the 10th International Microinsurance Conference to take place in Mexico in 2014, the Munich Re Foundation and the Microinsurance Network will further support the improvement of insurance knowledge. The event will address specific issues not only in the Latin American context but also far beyond. At this 10th anniversary of the International Microinsurance Conference we will see that microinsurance is about to grow out of its infancy.

About the 9th International Microinsurance Conference
The 9th International Microinsurance Conference was hosted by the Munich Re Foundation and the Microinsurance Network, with the support of the Indonesian Financial Services Authority (OJK), the Indonesian Insurance Council (DAI), Deutsche Gesellschaft für International Zusammenarbeit (GIZ) on behalf of the German Federal Ministry for Economic Development and Cooperation (BMZ), the Georgia State University’s Center for the Economic Analysis of Risk (CEAR), the World Bank/IFC and the PharmAccess Foundation.




International Conference on Inclusive Insurance

> more



> more



> Bangladesh Insurance Association

> Microinsurance Network


Download conference reports

> more


Microinsurance Learning Sessions

> more


World Map of Microinsurance / Landscape studies

> more


9th International Microinsurance Conference

> General information

> Agenda and presentations

> Conference venue, hotel and travel information

> Conference Steering Committee

> Details for speakers and facilitators

> Health and safety updates

> Information about registration fees and cancellation policy

> Press release - 6 November 2013


Other events related to the 9th International Microinsurance Conference

> Microinsurance key performance indicators simulation workshop