Enhancing PT AJSE Life Insurance Business Growth Using the Digital Platform Through the Success of Major Indonesia’s Insurance Companies

Abstract

The COVID-19 pandemic profoundly affected Indonesia's economy, particularly its insurance industry, leading to a surge in Digital Financial Innovation (DFI) and Financial Technology (Fintech). Despite a low insurance coverage rate of 3.18% in 2021, the Financial Services Authority (OJK) is advocating for technological integration. This research aimed to reforecast PT AJSE's financial performance amid the digital transformation in insurance, analyzing data from 2018 to 2022 from top life insurance players and employing quantitative methods to forecast PT AJSE future performance. The results indicate that DFI has enhanced profitability in top life insurance companies, suggesting significant benefits for PT AJSE, a small insurer with growth potential. By adopting DFI, PT AJSE could see improvements in income and assets, with three projected scenarios showing varied outcomes. The study recommends that PT AJSE strategically integrate DFI into its operations, enhance digital marketing skills among employees, develop customer-centric digital services, and leverage its association with a major e-commerce platform for market penetration.