Alternatif Risk Transfer: Solusi Pembiayaan Risiko

Alternative Risk Transfer (ART) is the tool that arises to answer the challenge in making a risk transfer prosess more efficient. As a part of the solution in turbulent business world, ART is still in the evolution strages, especially when it comes to the implementation strategies in developing countries that are still lack of financial infrastructure. Insurers will find it more efficient when they implement the multi year finite risk contract agreement compare to the traditional reinsurance contract. The development of the securitization in insurance product is a serious threat toward insurance industry since the product will bring a new picture of the industry competition. Nevertheless, securitization is a part of ART’s solution to answer the limitation of the industry ART has also been longed implemented in Indonesia. This paper, try to formulate the three models of ART and what they offer to answer the problems that we have in Indonesia’s insurance industry.