Indonesia insurance risk-based capital RBC reform: what insurers and reinsurers need to know
Explore insights from Tony Atkins of Forvis Mazars on Indonesia's upcoming RBC (risk-based capital) reforms, their impact on insurers and reinsurers and the strategic actions firms can take to strengthen capital management, risk management and regulatory readiness.
Indonesia’s insurance sector is undergoing significant regulatory change, with reforms spanning across capital requirements, accounting, governance and risk management.
In Asia Insurance Review’s Market Spotlight on Indonesia, Tony Atkins, Partner, Consulting (Financial Services) at Forvis Mazars in Singapore, Tony shares his perspectives on the evolving regulatory landscape and what it could mean for insurers and the wider regional market.
Navigating Indonesia’s changing insurance landscape
Key developments include phased increases in minimum capital requirements, the implementation of PSAK 117 aligned with IFRS 17 and the redesign of Indonesia’s risk-based capital (RBC) framework targeted for 2027.
Drawing on lessons from Singapore’s RBC 2 transition, Tony highlights the importance of early quantitative testing and viewing regulatory change as a broader operational transformation rather than solely an actuarial or finance exercise.
Implications for insurers and reinsurance
A more risk-sensitive capital regime could also have wider implications for product design, pricing, investment decisions and with reinsurance playing a role in both risk transfer and capital management.
Source: Interview originally published by Asia Insurance Review on 5 October 2026.
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