BNI's Bancassurance Business Continues to Grow Amid Industry Slowdown

Industry Trends and BNI's Performance

The bancassurance channel, a significant distribution method for life insurance products in Indonesia, experienced a 4.2% year-on-year decline in premium income during the third quarter of 2025, dropping to Rp 55.28 trillion. Despite this downturn, Bank Negara Indonesia (BNI) managed to achieve a 9.5% YoY growth in bancassurance premiums until November 2025. According to Henny Eugenia, General Manager of BNI's Wealth Management Division, the positive growth was supported by offering products that were relevant to specific customer segments.

Bancassurance's Continued Dominance in the Industry

The bancassurance channel remains a crucial component of Indonesia's life insurance industry, contributing 41.49% of the total premium income, which reached Rp 133.22 trillion. This highlights the ongoing preference for bancassurance among consumers. Despite the overall decline in bancassurance premiums across the industry, BNI's success demonstrates the bank's ability to navigate challenging market conditions through strategic product offerings and distribution capabilities.

Implications for BNI and the Banking Sector

BNI's positive performance in the bancassurance business is particularly noteworthy given the industry-wide decline. This achievement not only underscores BNI's strength in wealth management but also highlights the potential for banks to generate significant fee-based income through bancassurance. As the industry continues to evolve, banks with robust bancassurance capabilities are likely to remain competitive in the financial services landscape.