Financial Health Analysis on PT Asuransi LMIGNKG Based on Premium Reserve Calculation

An insurance company s state of financial stability is crucial. This is required to guarantee that, if an event specified in the policy occurs, the insurance provider will be able to compensate the insured. Otoritas Jasa Keuangan (OJK) as the Financial Services Authority in Indonesia oversees the sound financial standing of insurance companies which are Risk Based Capital (RBC), technical reserves, investment sufficiency, equity, guarantee funds, and other provisions are the metrics. The purpose of this study is to assess PT Asuransi LMIGNKG s financial situation in 2022. The research is limited to using secondary data from the company, which was utilized to determine financial health based on investment adequacy, RBC, and premium reserves. This research showed the RBC calculation is 402 % which still exceeds the 120% limit set by the regulator. PT Asuransi LMIGNKG s investment adequacy ratio is also quite large, namely 8 times compared to its technical reserves. In managing investments, PT Asuransi LMIGNKG also does not violate these rules. PT Asuransi LMIGNKG s investment management is still below regulatory limits. From these indicators, it can be said that PT Asuransi LMIGNKG is a general insurance company whose financial condition is healthy.