Understanding Life Insurance According to Experts and Examples
Understanding life insurance and an example - In KUHDagang who set about life insurance, setting it very briefly once and only consists of seven (7) of article i.e. Article 302 up to Article 308.
Article 302 KUHDagang as basic life insurance, which States that:
"If someone can be for purposes of a person concerned, both for during his life the soul, good for a time specified in the agreement."
Understanding life insurance as contained in the foregoing are more stressed to a time specified in the life insurance. As for the time during her life is not defined in the Treaty, this means that the legislation does not expressly give the possibility to hold life insurance it during his life for interested parties.
Aside from the definition/understanding of formyl contained in undangundang, there is also the opinion of legal experts also provide definitions of life insurance. According to Djoko Prakoso and I Ketut Murtika cited from the opinion of Molenggraf argues that,
"Life insurance in a broad sense to load all agreements regarding the payment of a certain amount of capital or interest, which is based on the possibility of life or death, and instead it's premium payment or both with the way hung on his life or the death of a person or more. " Read: Principles of Insurance and Elements of Insurance Contract
Then, according to Prodjodikoro, on article Wirjono 1a Chapter I 1941-101 Staatsblad, understanding life insurance as follows:
"Life insurance Agreement is the agreement about payment of money by the favour of the premium and related to the life or death of a person, including an insurance agreement with the understanding the money back//note that the Treaty does not including accident insurance agreement. "
While according to H.M. N Purwosutjipto,
"Life insurance coverage can be interpreted as the soul is a reciprocal agreement between the cover (the taker) of insurance with the insurer with which the insurance cover during the course of committing yourself to pay premium money to coverage the insurer, while the insurer as a direct result of the death of the person who is the soul of dipertanggungkan or lampaunya have a shorter period of enforced by binding themselves to pay a certain sum of money to the person designated to the insurance cover as consumer demand. "
Then according to Volmar, mentions that the term soul coverage sommen verzekering, argues that:
"Widely sommen verzekering it can be interpreted as an agreement where a party is committing itself to pay a sum of money at once or periodically, while the party is committing itself to pay a premium and the payment is subject to life or the death of a particular person or more. "
Santoso Poejosoebroto gives the sense that insurance as follows,
"Insurance in General is a reciprocal agreement in which the insurer by receiving premium committing yourself to provide payments to the insurance taker or an appointed person, because the events are uncertain. Mentioned in the Treaty, either by the insurance or indicated to suffer losses caused by other events, as well as due to the events of yesteryear regarding life and health. "
Life insurance is in fact a form of collaboration between the people who avoid or at least reduce the risk caused by the risk of death (which is bound to happen but it is uncertain when the occurrence), the risk of the old days (which would be occur and can be estimated when the occurrence, but not sure how long) and the risk of accidents (which is not certain to happen, tetpi is not impossible).
Life Insurance Companies
Life insurance companies compete with one another in providing insurance protection. In addition, many life insurance products that contain elements of investing, so that life insurance companies will also have to compete with other financial institutions that provide investment instruments (such as banking) and with direct investment (such as market Bursa).
Types of life insurance policy.
The policy issued by life insurance companies can be classified in four main types:
a. pure insurance protection against risk of death
This form of insurance in the form of specific time life insurance (term life insurance) that provides the benefits of death without fertilizing the funds, so that it does not have the elements of investment. So, this insurance policy provides a pure asuansi against the risk of death. Premiums charged by insurance companies remain unchanged, but only for a specific period of years.
Then, polisnya can be updated on each end of that time period, but usually with a higher premium rate.
When the insurance company issuing this type of policy, the company knows the amount of liability to be paid, even though it does not know when to pay it. But with the use of actuarial data, timing (timing) liability can be forecasted to taste for a group of insured individually. Prmi assigned insurance company usually in such a way, so whatever happened to interest rates, the company will have sufficient funds to meet its reply when the policyholder dies.
b. a package that consists of life insurance protection and investment vehicle (insurance policy/insurance)
This form in the form of whole life insurance (whole life insurance) policy in two respects: (a) provide a payment of a certain amount of sauatu on the death of the insured, and (b) fostering the cash value that can be borrowed for policyholders. The first facet is in terms of insurance coverage – in terms similar to those given certain time insurance. The second facet is in terms of the investment due to polisnya nurture, and at all times have the amount paid for insurance companies if policyholders end polisnya. Policyholders have the option to borrow with the assurance of the policy, and the amount that can be borrowed is called loan value (loan value). Loan rates the Fund set out in the policy.
Universal life insurance (universal life) is poduk whole life insurance was created as a response to the problem of the standard insurance policy for a lifetime. Policyholders pay a premium to obtain insurance protection, and by paying a separate fee can make an investment in a competitive means of credit under market levels than given in a lifetime insurance policy standard. For policyholders, the advantages of this investment alternative than direct purchases of securities for which it is the suspension of a tax on interest earned. The risk for the insurer accepted is that the results are not competitive with the other insurance company which resulted in policy left daluwarsa (variable life).
Life insurance variable (variable life) is a process of lifelong insurance which provides benefits of death that hung over the market value of the portfolio of the insured at the time of death.
Insurance companies invest premiums in stocks, because that policy is also called polis connected equities (equity-linked policy). Although the sum assured of death are variable, but given the minimum death benefit that is guaranteed by the insurer. The risk of the insurer concerning results is smaller than its competitors, so many policies that left daluwarsa (time-lapse). In addition, the insurer also faces the risk that the results obtained over the investment portfolio of the insured is less than the minimum sum assured guarantee.
c. life insurance insurance against old age, particularly in the form of pension plan
Insurance against the risks of life i.e. asurasni inhabitants not only took away the dead, but also if the insured continues to live, its shape in the form of anuiti (annuities), namely periodic payment on a regular basis by an insurance company to a policy holder for a limited period or for life. Polis anuiti classified two types namely contingency policy and contingency policy for non-residents. Examples of contingency policy soul: a person who ceases to work with a number of particular wealth which will be expanded during the rest of his life. It will be difficult to know the old life, but life insurance companies have a statistically average length of life of a group of people, so as to estimate the life expectancy is more accurate, and can offer a fixed anuiti for the rest of his life.
An example of a non-contingency insurance policy is purchased anuiti polis insurance company losses to give sum assured to tertanggungnya. In this case, someone got hit by a car and as a result became disabled so can't work again for a lifetime. Insurance company losses buying life insurance policies from the company to pay anuiti to replace the loss of insured earnings.
d a pure investment-oriented Policies.
The investment guarantee agreement (guaranteed investment contract) or income guarantee agreement (guaranteed income contract/GIC) is prduk, where pure investment life insurance company, upon payment of a single premium, pay the amount of the principal and a certain level of annual credit during the period of the investment, all of which paid pd due date.
Example: 5-year GIC Rp 100 million,-with 10% credit rate, means that at the end of 5 years, the company will pay the life insurance policyholders amounting to Rp 100 million, Rp-x 1.105 = Rp 161,051,000,-. Actually, the guaranteed insurance companies is the level of the debt, not the number of its principals. The risk that the insurer is facing is that the results of the top portfolio that supports its assets is lower than the tingakat promised.
Investment. In principle, the life insurance company investments are long term. Therefore, most of the funds allocated in bonds long-term debt caused by the properties of the liabilitinya. Most of the life insurance policy based underwriting with fixed interest rates that will be paid to pemegnag insurance policy after a fairly long period of time (10 years or more). Long-term bonds is a logical investment vehicle to compensate for the period liabilitinya.
Example of a life Insurance Company in Indonesia
The following are some examples of life insurance companies that have been listed in the Indonesia life insurance Association (AAJI).
-BNI Life
-Jaya Bumi Asih
MNC-Life Assurance
Life Insurance-FWD
Life Insurance-AXA Financial
-AXA Life Insurance
-AXA Mandiri
-Ace Life Assurance
-Life insurance 1912 Bumiputra
-Bakrie Life
-Life Insurance Alianz Life Indonesia
-etc.