Learn More About BPJS in Indonesia

BPJS Indonesia is a comprehensive social security system designed to provide healthcare and financial protection to Indonesian citizens and expatriates residing in the country. Understanding the variations of BPJS is crucial for anyone living or working in Indonesia, as it offers essential benefits and obligations.

What is BPJS in Indonesia?

BPJS, or Badan Penyelenggara Jaminan Sosial, is Indonesia’s social security institution designed to cover various population segments, including employees from the public and private sectors and the general public.

Established by the Indonesian government under Law Number 24 the Year 2011 (UU Nomor 24 Tahun 2011), BPJS was created to implement a comprehensive social security system known as Jaminan Kesehatan Nasional (JKN). This law ensures that all Indonesian citizens have access to essential healthcare services.

BPJS Policy in Indonesia: Healthcare and Social Security

All Indonesian residents, including expatriates living in Jakarta and other regions for six months or more, must obtain BPJS Kesehatan (Healthcare BPJS). This is a requirement for all, including those seeking BPJS in Indonesia for foreigners. Individuals can process this type of BPJS independently at a regional level.

However, if you work for a company in Jakarta or any region of Indonesia—for both local and foreign companies—you will also get the so-called BPJS Ketenagakerjaan (Social Security Card). The company provides BPJS to ensure that all employees receive their benefits. 

Apart from BPJS, you can have other types of independent insurance according to the company policy imposed.

Healthcare Program in Indonesia (BPJS Kesehatan)

BPJS Kesehatan provides comprehensive healthcare protection, including:

• Basic Healthcare Provider: Choose a doctor or clinic for essential services and contact them anytime.
• Advanced Healthcare Service: If additional treatment is needed, your clinic will refer you to specialists or larger hospitals.
• Hospitalization Service: Covers expenses if hospitalization is required.

BPJS Indonesia: The Classifications

Indonesia’s mandatory health insurance program, BPJS Kesehatan, currently has three tiers: Class I, Class II, and Class III. These tiers are differentiated based on the facilities and services provided.

Class	Monthly Contribution	Facilities
Class 1	IDR 150,000	Comprehensive facilities with spacious rooms, TVs, air conditioning, private bathrooms, and additional services.
Class 2	IDR 100,000	Simpler facilities with smaller rooms, no TVs, shared bathrooms, and basic services.
Class 3	IDR 35,000	Basic facilities with cramped rooms, no TVs, shared bathrooms, and essential services.

Note: In 2023, the government plans to replace these tiers with a standard inpatient care tier (KRIS), providing uniform services to all participants. Full implementation of KRIS is expected by 2025.

However, if you wish to have VIP services, you must pay extra for hospitalization services. Please note that BPJS cannot cover some advanced medical treatments.

If you wish for more services, you could join another independent healthcare insurance at your own expense.

BPJS Indonesia: Contribution Rates

The maximum wage for calculating healthcare contributions is IDR 12 million. If the employee’s wage exceeds this amount, the contributions remain IDR 480,000 for the employer and IDR 120,000 for the employee.

Contribution Type	Employer Rate	Employee Rate
Healthcare Program	4% (max IDR 480,000)	1% (max IDR 120,000)

Social Security in Indonesia (BPJS Ketenagakerjaan)

BPJS Ketenagakerjaan is mandatory for any company in Jakarta and Indonesia. Therefore, foreign investors or entrepreneurs who expand their company in the country must register their employees to this kind of BPJS.

Otherwise, for employees who work in Indonesia, your company must provide you with the service of obtaining a 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. Here are the benefits if you have a Social Security Card in Indonesia:

Protection Type	Description	Employer Contribution Rate	Employee Contribution Rate
JHT (Jaminan Hari Tua/Old Age Protection)	This protection will benefit you once you leave the company. Usually, you will get the maximum benefit if you have worked for ten years or more in the same company.	3.7%	2%
JKK (Jaminan Kecelakaan Kerja/Working Accident Protection)	Suppose you experience any accident during working hours or related to your tasks while working in the company. In that case, you will receive compensation for any wounds or medical treatments performed.	0.24% – 1.74%	–
JK (Jaminan Kematian/Death Protection)	As the name suggests, you will receive benefits if you die while working for the company.	0.3%	–
JP (Jaminan Pensiun/Pension Protection)	You will receive compensation for this protection if you reach the pension age.	2%	1%

The monthly payment for the Social Security program should be paid by both the company and you (the cardholder). Both parties should pay for the BPJS according to the type of protection and their monthly salary. If you are an independent member, you should pay the monthly fee yourself.

The current maximum wage for calculating contributions is IDR 9,077,600 monthly (effective from March 2023 to February 2024). If an employee’s wage exceeds this amount, the employer and the employee will contribute the maximum amount.

BPJS Indonesia: Other Types of Insurances

You can choose from many independent insurance companies if you need extra protection. This section will inform you about the types of insurance in Indonesia.

Life Insurance

This type of insurance will give you benefits if you die. The insurance company can deliver the benefit to your beneficiaries after you die. However, some insurance companies enable you to claim your insurance before you die. If you do so, the money received is usually less than when the beneficiaries claim it after your death.

Health Insurance

If you already have Healthcare BPJS but want more protection, you could register for independent healthcare insurance. This insurance will give you extra security if you are ill or undergo specific medical procedures. 

Ensure you know precisely what procedures your separate healthcare insurance can cover and how much reimbursement you will receive for any hospitalization.

Vehicle Insurance

You can also insure your motor vehicle. This will protect your car in case of a road accident, incident due to riot, incident due to disaster, stolen vehicle, etc. Again, you must know what incidents or accidents are covered before choosing specific 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 clauses in the agreement is highly important to make sure under what circumstances the damage to your house or property is covered.

Educational Insurance

If you have any family members who are still of school age, this type of insurance is highly recommended. It will give them protection so they can continue their higher education.

Travel Insurance

This type of insurance is short-term insurance that will protect the holders while traveling—from when they depart until they return home.

READ MORE:

•  Employee’s Basic Rights in Indonesia

Tips to Choose the Right Insurance Type

Next, here are some tips for choosing the right insurance.

Research Insurance Providers

Choose the right insurance company or agent. Extensive research should be done on several kinds of insurance agents or companies. Read the customers’ reviews of the companies and benefits. Compare them to know the negative and positive sides of their services.

Determine Your Insurance Needs

Choose the type of insurance that you need. Remember that Healthcare BPJS and Social Security BPJS are mandatory.

Verify Licensing

Ensure your insurance product has an AAJI license for the registered and legal insurance company or agent. If the insurance company cannot show its AAJI license, inevitably, the insurance products issued by this company will not be permitted.

Align Insurance with Financial Capability

Match the insurance products with your budget and financial situation to ensure they are affordable and sustainable.

Consider International Coverage

Regarding healthcare insurance, some products allow you to get benefits if you undergo overseas medical procedures. However, since this type of insurance requires you to pay much more, you must consider whether you need it.

Utilize Neutral Third-Party Services

Consider using neutral third-party services. They can help if you need clarification on all the insurance product regulations and causality or have a language barrier when communicating with the insurance company. Ensure that the third party is reliable and reputable.

Register Your BPJS Indonesia with InCorp

As a leading payroll processing provider, recruitment agency, and Employer of Record (EOR) services in Indonesia, we offer comprehensive support for BPJS registration and management.

Our consultants will guide you through the entire process, ensuring compliance with local regulations.

Key benefits of choosing InCorp Indonesia:

• Simplified BPJS Registration: We’ll handle all the paperwork and formalities, saving you time and effort.
• Personalized Solutions: Our tailored approach ensures your BPJS coverage aligns with your needs.
• Expert Guidance: Benefit from our in-depth knowledge of Indonesian labor laws and regulations.

Fill out the form below, and don’t let BPJS registration be a burden.