Forecast, Strengthening Cooperation with Indonesia Financial Services Authority on Resolving Insolvent Insurers

The Korea Deposit Insurance Corporation announced on the 7th that it signed a memorandum of understanding (MOU) at its headquarters in Jung-gu, Seoul, with Ogi Prastomiyono, the Chief Officer of the Insurance Sector at Indonesia's Financial Services Authority (OJK), to strengthen cooperation between the two countries regarding the resolution of insolvent insurance companies.

This agreement was finalized following the proposal of the OJK Insurance Sector Chief Officer in September to share Korea's experience in resolving insolvent insurance companies. The MOU includes various cooperative tasks such as sharing knowledge and information related to the resolution of insolvent insurance companies and personnel exchanges between the two organizations.

This agreement with OJK is the first case of signing an MOU with an overseas supervisory authority for technical support related to the resolution of insolvent insurance companies. Previously, the KDIC signed an MOU with the Indonesian Deposit Insurance Corporation in 2010.

During a meeting with the OJK Insurance Sector Chief Officer, President Yoo Jae-hoon stated, “This MOU is an important opportunity to strengthen cooperation with Indonesia, the largest economy in ASEAN, while also spreading Korea’s experience in resolving insolvent insurance companies overseas.”