BUSINESS MODEL INNOVATION TO IMPROVE BUSINESS PERFORMANCE IN PREPARATION FOR THE 2024 SHARIA SPIN-OFF: A CASE STUDY OF PT ASURANSI JIWA GENERALI INDONESIA

• Main Author: Nurhuda
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/69759
• Institution: Institut Teknologi Bandung

The business performance of Generali sharia has been declining significantly in the last 2 years. Lack of productivity from the agency channel in acquiring new business premiums and deterioration in death claims resulted in the solvency of the tabarru fund reaching the lowest level in sharia history. If the trend continues, Generali sharia will face a situation of failing to fulfill the spin-off plan in 2024 and Generali must return the sharia license to OJK. This final project is conducted by analyzing the existing business model pillars and providing recommendations using the business model innovation framework to improve each element of the current business model pillars. This writing particularly addresses the people element, partnership model, and products and services becoming the major issues of the current business model. For the intention to ensure the spin-off goes as the plan and build a more sustainable business model, Generali sharia needs to increase the sales volume of new business premiums, improve the current value proposition by developing traditional products to provide a wider product range for customers, and strengthen how to capture the value through one-to-many and cross-selling model to increase revenues and keep the solvency of the tabarru fund at a healthy level. Ultimately, the author provides recommendations for short-term solutions by copying conventional products as a quick-win strategy to increase the activity and productivity of sharia agents. For a longer implementation plan, this writing also offers enhancement to the current recruitment strategy, partnership model, the pricing model and anticipates the behavior change in purchasing insurance by recommending the development of online medical products to create a more sustainable business model in the digital era.