MSIG Indonesia Faces Challenges in Marine Cargo Insurance Market

Risk Management and Market Competition

PT Asuransi MSIG Indonesia is navigating significant challenges in the marine cargo insurance sector, including high-risk cargo types and intense competition among insurance providers. President Director Shikato Takeuchi highlighted that certain cargo types and transportation methods, such as unclassed vessels, old ships, and wooden boats, pose particular underwriting and risk management challenges.

Strategic Response to Market Pressures

To address these challenges, MSIG Indonesia is implementing several strategic measures. The company is focusing on market segmentation, targeting potential business sectors, and enhancing service quality. Key initiatives include:

1. Expanded claim network: Leveraging a broad network of claim agents across various countries
2. e-claim monitoring system: Enabling clients to track claim progress transparently
3. Broker and e-commerce channels: Diversifying distribution channels to expand market reach

Financial Performance and Market Outlook

In Q3 2025, MSIG Indonesia reported a 0.5%-0.6% decline in Gross Written Premium (GWP) for marine cargo insurance compared to the same period last year. Despite this, the business line remains significant, contributing approximately 9.5% to the company's total portfolio. The automotive and machinery sectors continue to be major contributors to marine cargo insurance demand.

Growth Projections

MSIG Indonesia is projecting 1% growth in the marine cargo insurance segment by the end of 2025. The company is maintaining its focus on both core portfolio maintenance and exploring new business opportunities. This growth strategy is supported by Indonesia's export performance, with the national export value reaching US$209.80 billion during January-September 2025, representing an 8.14% increase year-on-year.