The depreciation of the Indonesian rupiah is raising concerns among insurers about a potential increase in health insurance claims costs, driven by higher prices for imported medical supplies and equipment.
Industry players are closely monitoring the situation, as a weaker currency could increase the cost of imported medicines, medical devices, consumables and diagnostic technologies that underpin healthcare services.
According to the Indonesian General Insurance Association (AAUI), rising healthcare costs could lead to higher claim payouts for insurers, placing additional pressure on the sector, reported Pojok Papua ID.
In response to these challenges, the AAUI urged insurers to enhance risk management practices and take steps to contain medical cost inflation. Suggested measures include closer collaboration with healthcare providers and regular reviews of treatment costs and benefits to improve efficiency.