Jasindo's Aviation Insurance Premiums Rise as Airlines Prepare for Expansion

Growth in Aviation and Engineering Insurance Lines

PT Asuransi Jasa Indonesia (Jasindo) has reported a 4.97% year-on-year increase in aviation insurance premiums, reaching Rp185.6 billion by October 2025 ¹

. This growth is attributed to the rising demand for air travel, particularly with the upcoming Christmas and New Year season, prompting airlines to increase their capacity.

Jasindo has been implementing its Risk Management Partnership (RMP) program to enhance its market penetration and service quality in aviation insurance. The company focuses on innovating its services and strengthening its marketing capabilities to provide risk analysis tailored to clients' needs. This strategy aims to present the right protection services while maintaining governance, risk, and compliance principles.

In a related development, Jasindo's engineering insurance line saw a significant surge, growing by 232.75% year-on-year by October 2025 ²

. This line became a major contributor to the company's premium income, alongside other growing segments such as liability insurance (up 68.68%), energy insurance (up 34.71%), and cargo insurance (up 36.94%).

Industry Context and Future Outlook

The growth in aviation insurance premiums is seen as a positive signal for the industry, particularly with airlines preparing to expand their fleets and increase flight frequencies to accommodate the high demand during the holiday season. The Ministry of Transportation has requested airlines, including PT Garuda Indonesia (Persero) Tbk., to boost their air transport capacity through additional flights and larger aircraft.

Industry experts believe that the increase in aviation insurance premiums is directly linked to airlines adding more aircraft to their fleets. According to Julian Noor, a senior insurance practitioner, while increased flight frequencies don't directly impact aviation insurance, adding new aircraft does. He also noted that aviation insurance is typically managed globally due to the high value and limited number of aircraft, making it challenging for domestic markets to manage such risks alone.