JAKARTA (Yosefardi) – Life insurance investment returns in the second quarter of 2015 reached Rp710 billion, dropped 103% from Rp20.78 trillion in the same period of 2014, Indonesian Life Insurance Association (AAJI) reported.
The drop in capital market investment in past three months impacted on the investment return for life insurance industry. Some 50% of funds are invested in capital market such as stocks and mutual funds instruments.
Of total Rp320.51 trillion funds of life insurance industry, some Rp181.11 trillion is put on stocks and mutual funds.
Otherwise, life insurances’ premium income grew by 26.6% to Rp67.82 trillion in the second quarter of 2015, compared to Rp53.58 trillion in the same period of 2014.