Living full of risks that are also unexpected, therefore we need to understand about insurance. Some natural events that occurred in recent years and took a lot of casualties, both casualties and property, such as reminding us of the need for premiums. For every member of the people including the corporate world, the risk of experiencing misfortune like this is always there. In order to overcome existing losses, people share the procedure that we currently know as premiums.
The main function of premiums is to be a mechanism to transfer risk from one party (insured) to another party (insurer). This risk transfer does not mean eliminating the possibility of missfortune, but the authorities provide financial security and calm for the insured. In return, the insured pays a premium in a very small amount when compared to using the potential losses that may be suffered.
1. Explain the meaning of rupiah policy with index?
2. Explain the meaning of rupiah policy without index?
three. Explain the meaning of life insurance index?
A. Insurance Closing Procedures
Insurance closure is a statement that precedes the policy expenditure on the entry into force of the insurance agreement (cover note). When there is business contact between the insured candidates using the liability contribution officer, the clarity of the requirements and conditions that can be selected by the officer, the insured can determine by filling out the form that has been provided. Based on this form, the premium company will determine who the person insured needs to beck-up the health of the doctor. Usually the premium company will require a doctor to be held up if the sum insured is grand or the age of the insured person is over 50 years old. Determination of whether or not a health ceck-up depends on the life insurance company concerned. As for porto ceck up doctors, the premium company & the doctor is appointed by the company.
For people who turn out to be healthy, of course, the insurance contribution company will immediately express approval for the insurance of the soul concerned. However, those who are not healthy, for example, have heart disease, high blood pressure or sugar pain, kidneys and so on, it is likely that the premium company will refuse insurance for the candidate. Or using exclusive considerations sometimes the company’s dues coverage gets also on the condition that the amount of sum insured is reduced.
If the insurance company can approve the application for the entry of the coverage dues in question, then the officer of the insurance dues company will notify in writing and then request that the insured candidate pay the first coverage dues. With the payment of the first coverage dues, the insurance agreement has come into force and then the soul premium company processes the policy creation process. Usually at most one week the policy has been completed and by the company is handed over to the insured.
The problem will arise if only the police have not been accepted but the insured suffered the fate of the global death. Will the premium company provide a certain amount of compensation?, the answer is that the premium company is certainly obliged to create compensation as it is determined even though the policy does not exist because the insurance agreement is in the moment of agreement is reached. While the policy is only as a book and not a condition of the insurance agreement. As a conclusion regarding the procedure for closing premiums, namely:
1. The insurance officer “sales” shows the life premium to a person or a person himself to enter insurance to then contact the insurance company.
2. After the insurance company provides information on everything about the insurance product (generally in the form of a proposal) & the insured candidate determines the type of coverage contribution he chooses, then the candidate must accept the form of request for coverage dues.
three. To request the amount of grand sum insured (30,000,000) or has aged 50 years is required to take a health check-up in the appointed doctor.
4. On the unhealthy insured nomination, the insurance request can be rejected by the company or the reduced coverage price. As for the healthy, the company will agree and require to pay a premium for the insured.
5. Based on the first interpretation he received, the premium company carried out the policy opening process, and then the policy was handed over to the insured.
B. Insurance Premium Calculation
1. Premium Based on Premium Rate
The insured’s obligation to the insurer is to pay insurance at each affected period. Calculating the amount of premium for each insured will be in accordance with the choice of the insured. For example, in the stroke of a pen this is an insurance spirit that uses age to be the standard. Variations of choices for the same age and the same coverage value are the outdated coverage period then the premiums paid are getting smaller. While for the same time and the same coverage value is a high age of a person then the greater the premium that must be paid.
two. Premiums Based on Life Insurance Index
The calculation according to the life premium index is based on the decree of the Minister of Finance No. 292 / KMK.011 / 1982, which was calculated starting january 1, 1982.
1 Rupiah policy with index
Understandingpolis rupiah using the index is a life premium policy whose amount of coverage dues, the amount of ransom claims and the amount of sum insured (UP) is expressed in the rupiah currency and taken into account against the index of life insurance contributions (IAJ). While the rupiah policy without an index is a life insurance policy is a life premium policy that is the amount of premiums, the amount of redeemed claims and the amount of sum insured (UP) expressed in rupiah currency is calculated against the index of life insurance contributions. Understanding and indexing life insurance (IAJ) is a number that tells the development of the value of life insurance.
Besamya life insurance index (IAJ) will be confirmed by the Directorate of Financial Institutions and will be announced every beginning of the month through mass media. Iaj comes into effect at 06.00 when local within the day of its issuance and conducts during the month in question. In the event that the IAJ has not been published in time then the applicableIAJ is the one that has been determined for the previous period.
Calculations of the amount of coverage dues, the amount of ransom claims, and the amount of sum insured (UP), which is closed based on the rupiah using the index are carried out into the following:
For insurance policies that are not taken into account against the life insurance index, then in the calculation of the amount of ransom claims and sum insured using the life insurance contribution index, there will be a lack of insurance payments because it is not taken into account using the life insurance index is not allowed to be collected and insured. Furthermore, if the life insurance policy is closed based on the rupiah policy with an index, then in the letter of closing requests & other letters and policies must be included in the amount of IAJ that applies at the time of insurance closure. Examples of the life premium index are as follows:
On January 1, 1984, IAJ = 200
On February 1, 1984, IAJ = 200.76
Dated 1Maret 1984, IAJ = 201.21
February 1, 1989, IAJ = 201.94
On 1 August 1999, IAJ = 215.47
On 1 December 2004, IAJ = 218.38
A mental premium using a dual-use police force was closed on February 1, 1984 on an insured person who was 40 years old from the rupiah policy with an index for a period of 15 years using a sum insured of Rp. two,000,000, – the amount of coverage dues from the policyRp.3,650,-.
1. The amount of coverage dues for the month of Februai 1984 on a person insured on February 1, 1984.
2. The amount of coverage dues for March 1984 on an insured on 1maret 1984.
3. The amount of insurance for February 1989 on the insured on February 1, 1989