All Indonesian residents, including expats who have been living in the country for 6 months or more, have the obligation to obtain BPJS Kesehatan (Healthcare BPJS). This BPJS type in Indonesia is independently processed by individuals. However, if you are a part of a company—for both local or foreign company—you will also get the so called BPJS Ketenagakerjaan (Social Security Card), which is provided by the company to protect all of its employees. Apart from BPJS (health BPJS and Social Security), there are also other types of independent insurance that you can have.
In this article, we will specifically discuss about the BPJS type as well as the Insurance types in Indonesia.
BPJS Type: Healthcare and Social Security
Both Healthcare BPJS and Social Security BPJS are mandatory. Anyone living in Indonesia and is in employment with company based in Indonesia must have the two kinds of BPJS. They serve the insurance holders in different ways. The general descriptions of both BPJS will be explained as follow.
As what the name suggests, this BPJS type gives the holders some healthcare protections, including:
- Basic Healthcare Provider. Under this services, you can choose a doctor) or clinic in case you need a basic healthcare services (to check you whenever you are ill). You can also choose your preferred dentist. You can contact your doctor or clinic at any time.
- Advanced Healthcare Service. In case your clinic cannot give you further medical treatment, they will sign a reference letter for you to get special treatments with specialist doctors or bigger hospitals.
- Hospitalization Service. If further action needs to be done, which require you to be hospitalized, you can use this service.
There are 3 classes of Healthcare BPJS, which tell you what kinds of and how much the cost of medical treatments are covered. If you choose Class 1 Healthcare BPJS, you will need to pay more, but you will also receive more services and reimbursement for hospitalization service than if you choose Class 2 or 3. However, if you wish to have the VIP services, you must pay extra money for the hospitalization services.
Please note, in this type of mandatory, BPJS cannot cover some advanced medical treatments—for example heart surgery and some of advanced dental procedures. If you wish to have more services, you could join another independent healthcare insurance at your own expense.
Social Security BPJS (BPJS Ketenagakerjaan)
This BPJS type is a mandatory for any company. It means that if you own a company, you must register all of your employees to this kind of BPJS. Otherwise, if you work in company in Indonesia, your company must provide you the service of obtaining Social Security Card. However, if you are a freelancer and would like to have one, you can also register as an independent Social Security BPJS member.
If you have a Social Security Card, you will have basic protections for:
- JHT (Jaminan Hari Tua/Old Age Protection). This kind of protection will give you benefit once you have left the company. Usually, you will get the maximum benefit if you have worked for 10 years or more in the same company.
- JKK (Jaminan Kecelakaan Kerja/Working Accident Protection). If you experience any kinds of accident during your working hours or related to the tasks you perform while you are working in the company, you will receive compensation for any wounds or medical treatments performed.
- JK (Jaminan Kematian/Death Protection). As the name suggests, you will get benefit if you, during your service in the company, die.
- JP (Jaminan Pensiun/Pension Protection). If you reach the pension age, you will receive some amount of compensation from this kind of protection.
The monthly payment for Social Security program should be paid by both the company and you (the card holder). Based on regulation, both parties should pay for the BPJS according to the type of protections and amount of monthly salary you get. If you are an independent member, you should pay the monthly fee all by yourself.
Other Types of Insurance in Indonesia
If you need extra protection, there are many kinds of independent insurance companies that you can choose. In this section, we will inform you with the types of insurance in Indonesia.
This type of insurance will give you benefit if you die. The benefit can be given to your beneficiaries after you die. However, some insurance companies enables you to claim your insurance before you die. If you do so, the amount of money received is usually not as much as when the beneficiaries claim it after your death.
If you have already had Healthcare BPJS but you want more protection, you could register for an independent healthcare insurance. This type of insurance will give you extra protection if you are ill or undergo certain medical procedures. Make sure that you know exactly what procedures the independent healthcare insurance can cover and how much the reimbursement for any hospitalization.
You can also insure your motor vehicle. This will protect your vehicle in case of a road accident, incident due to riot, incident due to disaster, stolen vehicle, etc. Again, you need to know exactly what kind of incidents or accidents covered before you choose a certain insurance agents.
Housing and Property Insurance
If you own a property—for both individual and company property and building—you can register them in this type of insurance to protect them from any damage that may occur in the future. Reading all the clausal in the agreement is highly important so that you can make sure under what circumstances the damage of your house or property is covered.
If you have any members of the family, who are still in the school ages, this type of insurance is highly recommended. This will give them protection to continue their higher education.
This type of insurance is a short term insurance who will protect the holder while he or she is travelling—from the moment he or she departs until he or she returns home.
Tips to Choose the Right Insurance
Next, here are some tips to choose the right insurance.
- Choose the right insurance company or agent. It is highly advised to do an extensive research over several kinds of insurance agents or companies. Compare several of them so that you know the negative and positive sides of the services that they provide. Don’t forget to read the customers’ reviews of the companies and the services they provide.
- Choose the type of insurance that you really need. Remember that Healthcare BPJS and Social Security BPJS are compulsory.
- Make sure that the insurance product that you choose has AAJI license, a license for registered and legal insurance company or agent. If the insurance company cannot show its AAJI license, it is certain that the insurance products issued by this company are not legal.
- Match your needs with your financial capabilities.
- Consider the country boundaries. In terms of healthcare insurance, there are some products which allow you to get benefits if you undergo overseas medical procedures. However, since this type of insurance requires you to pay a lot higher amount of money, you have to think whether or not you really need it.
- Consider the insurance product that gives the easiest claim. Some of healthcare insurance allow you to get the benefit in the cashless system (they will directly pay the hospital bills), whereas some others provide the reimbursement (you will have to pay first). Choose the type that is more suitable for you.
- Consider to use the neutral third party services. You can use the neutral third party’s help if you confuse with all of the regulation and causal of the insurance products or have language barrier to communicate your needs with the insurance company. Make sure that the third party you trust is a reliable and reputable one. Do a research to find one.
How Cekindo Can Help You
Cekindo professional team will gladly help you to register insurance in Indonesia. You don’t need to have a burden to have any kinds of personal as well as company’s insurance. We will help you to take care of your personal and company’s BPJS (Healthcare BPJS and Social Security BPJS for you and/or your employees) as well as your other independent insurance products for your extra protections.
Read also: Employee’s basic rights in Indonesia
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