INDONESIA INSURER CONSOLIDATION MULLED

Indonesian state-owned insurance company PT Asuransi Jiwasraya looks set to become the target of a takeover bid next year by Indonesian life insurer PT Asuransi Jiwa Recapital (Relife). Although the country’s government has not yet made a decision whether to sell the company, Liza Linda, the president of Relife president said the company remained interested in acquiring Jiwasraya. She said the decision made sense as Jiwasraya has a different market segment from that of Relife. In February Jiwasraya reported premium income for 2007 of Indonesian Rupiah2.26trn, which was ahead of its target Rupiah2.1trn Investment returns for the year were Rupiah382bn.