products and payment methods according to customer capabilities is the key so that profitability continues to grow and the persistence ratio can increase. PT Asuransi BRI Life Competitive Advantage and Innovation BRI Life is committed to providing excellent service to customers. One of the strategies implemented in 2023 is developing services for customers, especially health services through launching a contact center for third-party administrators (TPA) as part of BRI Life’s plan to form its own TPA so that claim settlement can run more effectively and efficiently . BRI Life also launched new products that adapt to customer needs in each existing customer segmentation. In order to improve business processes, BRI Life has developed the claims process and digital form so that the Claim SLA decreases from 12 - 14 working days to 5 - 8 working days. The customer profile feature was also developed to ensure the confidentiality of customer data by referring to personal data protection regulations. In terms of the product marketing process, BRI Life innovates to increase the productivity of marketers with the BRI Centralized Distribution Referral System program which integrates the systems at BRI Life with BRI to provide leads data as fuel for well-systemized marketers. In order to realize a sustainable business, BRI Life also implements a green office policy that is in accordance with regulations to reduce the use of paper, electricity and fuel oil. BRI Life has also prepared BRI Life’s Environmental, Social and Government (ESG) roadmap for the long term which refers to the values of Sustainable Development Goals (SDGs). Business Prospect and Strategy for PT Asuransi BRI Life in 2024 In 2024 BRI Life targets increasing contributions in the form of FBI and Profits to BRI as the Controlling Shareholder of BRI Life. For this reason, BRI Life will focus on optimizing the business potential of all sales channels. BRI Life targets premium growth of around 15% and strictly maintains OPEX/ TWPI levels. Several BRI Life strategies to achieve the targets set by Shareholders in 2024 are as follows: 1. Optimizing Business Potential of All Marketing Channels BRI Life continues to be committed to growing sustainably to provide peace of mind for all its customers. In realizing this, BRI Life is determined to optimize BRI Life’s five marketing channels by 2024 by improving the customer journey and increasing sales of digital insurance products. BRI Life is also carrying out resegmentation to increase the proportion of sales in priority segments, increase business penetration in potential segments such as micro and ultra-micro, and strengthen the foundation of the telemarketing business. 2. Improving Excellent Service to Customers BRI Life continues to be committed to realizing its goal of becoming “The 1st Service Excellent” through efficiency and effectiveness of business processes and creating products that suit customer needs. The efficiency and effectiveness of these business processes starts with digitalization of business processes from upstream to downstream, starting from the underwriting process to the claims process. This digitalization is accompanied by the implementation of good corporate governance. 3. Technology Support Strengthening technological support in product development and dynamic, agile and resilient business operations is the key for BRI Life to face future business challenges. These keys start from modernizing application architecture, transforming IT infrastructure, strengthening cyber security, and next generation data management. This must be carried out with the principles of good governance and a culture of awareness of technology and information security. 4. Human Resources Support and Good Corporate Governance Human resource development, both in terms of career and competency, is the key for BRI Life in carrying out business operations that grow sustainably with good corporate governance. This human resource development refers to the implementation of the BRI Group 2.0 Talent Mobility policy. so that career development can be carried out well and support sustainable business growth. BRI Life has also prepared an environmental, social and governance (ESG) roadmap to ensure business operations run in accordance with existing corridors to realize sustainable growth. In 2023, BRI Life has started the roadmap with a green office policy and in the future it will form an ESG function and an ESG Committee to carry out campaigns. PT BRI MULTIFINANCE INDONESIA (BRI Finance) BRI Finance assets in December 2023 amounted to IDR9.06, an increase of 23.70% compared to December 2022 which amounted to IDR7.32 trillion. This increase was in line with positive growth in consumer financing receivables with a value of IDR6.33 trillion, an increase of 26.80%. BRI Finance’s revenue in December 2023 was IDR1.24 trillion, an increase of 38.87% compared to December 2022 which was IDR890.6 billion. The increase in income came from the distribution of new financing by BRI Finance in 2023 reaching IDR5.51 trillion, consisting of commercial business financing of IDR1.27 trillion, Operating Lease (OPL) business financing of IDR754.18 billion and consumer business financing of IDR3.48 billion. trillion. Total financing disbursement increased by 7.97% yoy, especially in the high yield used car segment consumer business and refinancing increased by 87.22% and 95.76% in line with BRI Finance’s aspirations and objectives to increase the proportion of high yield segment financing as a step to increase profitability. BRI Finance’s net profit in December 2023 increased by 22.68% from IDR83.84 billion in December 2022 to IDR102.85 billion in December 2023. PT Bank Rakyat Indonesia (Persero) Tbk. 2023 Annual Report 249 Management Discussion and Analysis on Bank Performance
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