OJK Introduces New Regulation for Sharia Insurance Investment Management

Strengthening Governance in Sharia Insurance Sector

The Financial Services Authority (OJK) has issued a new regulation, POJK Number 27/2025, focusing on the management of assets and liabilities for Sharia insurance and reinsurance companies. This move represents a significant development in Indonesia's financial services sector, particularly in the Sharia insurance industry.

Key Objectives of the New Regulation

The primary goals of POJK 27/2025 are to strengthen investment governance and enhance the overall financial market deepening. Ogi Prastomiyono, Head of Insurance, Pension Fund, and Guarantee Supervision at OJK, emphasized that the regulation also aims to optimize benefits for policyholders. This comprehensive approach demonstrates OJK's commitment to developing a robust and investor-friendly Sharia insurance market.

Impact on Existing Regulations

The introduction of POJK 27/2025 marks a significant update in the regulatory framework for Sharia insurance companies. The new regulation supersedes previous rules (POJK 72/2016 and its subsequent amendments up to POJK 6/2023) related to the financial health of Sharia insurance and reinsurance companies. This change signals OJK's ongoing efforts to refine and improve regulatory oversight in the sector.

Implications for the Sharia Insurance Industry

The new regulation is expected to have several positive impacts on the Sharia insurance industry:

1. Enhanced investment governance through stricter asset and liability management
2. Improved financial stability of Sharia insurance and reinsurance companies
3. Better protection for policyholders through optimized benefits
4. Deeper financial markets through more sophisticated investment practices

As the Sharia insurance sector continues to grow in Indonesia, regulations like POJK 27/2025 play a crucial role in shaping its development and ensuring its stability within the broader financial services landscape.