As the insurance sector witnesses a surge in bancassurance collaborations aimed at maximizing premium earnings, PT Prudential Life Assurance (Prudential Indonesia) maintains a strategic emphasis on cultivating its agency force. “Every company adopts distinct strategies to expand its market presence, and we respect that diversity,” affirmed Rinaldi Mudahar, President Director of Prudential Indonesia, during an insightful discussion held in Jakarta on Tuesday (December 2nd, 2014).
With a well-established agency distribution network, Prudential Indonesia stands out among its peers in the industry. According to statistics provided by the Indonesian Life Insurance Association (AAJI), the total count of insurance agents surged to 375,000 individuals by the second quarter of 2014, with Prudential Indonesia boasting over 200,000 certified agents within its ranks during the same period.
Mudahar underscored the company’s unwavering commitment to enhancing the caliber and quantity of its agents. A prime example of this dedication is Prudential Indonesia’s mandate for agents to engage in office attendance at least once a week. “This directive is aimed at instilling a culture of discipline among our agents. Moreover, we conduct comprehensive training sessions on a weekly basis to augment their knowledge and competencies,” Mudahar elaborated.
Furthermore, Mudahar underscored the inherent suitability of the agency distribution model within Indonesia, a country characterized by its archipelagic nature. Moreover, given the relatively modest insurance penetration levels compared to neighboring Asian counterparts, he accentuated the pivotal role agents play in furnishing clients with nuanced and comprehensive financial planning insights. Despite not constituting the primary distribution channel, Prudential Indonesia also nurtures partnerships with a minimum of five banks, including Bank Internatioanl Indonesia (BII), recognizing the potential synergies offered by bancassurance collaborations. In essence, amidst the evolving dynamics of the insurance landscape, Prudential Indonesia remains steadfast in its strategic pursuit of bolstering its extensive agency network, acknowledging the indispensable role they play in catering to the diverse financial planning needs of Indonesian clientele.
