Should you have BPJS in Indonesia?
Updated: Jun 1, 2020
When you are a foreigner and have been working for a minimum of six months in Indonesia, you must be registered for both types of social security at the BPJS of Health and BPJS of Employment. All companies in Indonesia are required to register their employees for both programs, including the Indonesian branches or representative offices of foreign companies. Participation is mandatory even if you have other insurance.
Source: Kesatu.co
What is BPJS?
BPJS stands for Badan Penyelenggara Jaminan Sosial (Social Insurance Administration Organization). There are two versions of BPJS: BPJS Kesehatan (the successor of PT Askes) and BPJS Ketanagakerjaan (the successor of Jamsostek). The first administers health care and the latter overseeing employment social security. Both are government insurance companies formed by the Law Number 24 Tahun 2011.
How to register BPJS?
Individual participation is mandatory for all Indonesian residents, including foreigners on ITAS/P by January 2019. Foreigners who are working at least 6 months (and their dependent family members) must be registered by their employer. Employers must register their employees and dependent family members. You need to provide identification documents and can choose to either pick up the card in the local BPJS office or ask them to deliver the card right to your residential.
The premium for Non-employees/Self-employed/non-formal workers
As per the newest regulation Presidential Decree No.75/2019, the premiums are as following with a need to be paid due on the 10th of each month :
Class I : Rp 160,000
Class II : Rp 110,000
Class III : Rp 42,000
The premium is 5% of monthly salary for employees with a salary cap of Rp 12 million. While in the private sector, the employer is responsible for 4% and the employee is responsible for 1%, the split is 3% and 2% for public sector employees. This covers the employee, their spouse and up to 4 dependent children who are unmarried children up to 21 years old, or 25 years old if attending university. You can add parents or children beyond the first 4 for 1% of monthly salary per person.
While employees with a monthly salary of Rp 4 million or less are eligible for Class II facilities, those with a higher salary will be eligible for Class I facilities. In the case that both husband and wife are working as employees, both have to pay the premium. In regards to the taxes, the employer contribution is considered as taxable income. Similarly, employees can not deduct their contribution from taxable income.
What does it mean by classes?
In Indonesia, hospitals have different levels of room comfort ranging from wards with 10 or more beds to private luxury rooms the size of small apartments. The medical service itself is supposed to be equal regardless of room comfort. Therefore, classes in BPJS refer to the comfort of the room only. Typically, Class I will have 2-3 beds per room, Class II will have 3-5 beds, and Class III 5 or more beds. You can upgrade to a higher class, even higher than Class I (VIP, VVIP etc) by paying the difference out of pocket. However, you need to be aware that the difference could be high, so it is best to ask for an estimate first. You can also change your class with BPJS once every 12 months that will also impact on your payment.
How do you pay your premiums?
You can pay the premium via ATM, Internet Banking or at the teller at particular bank partners (most likely in the government-owned banks). You can also set up auto-debit from your account or you can pay from minimarket in Indonesia including Alfamart and Indomaret, Post Office, or your local BPJS office.
What will be covered in BPJS?
There are no exclusions due to preexisting conditions or age, nor are there coverage limits. However, the program does not cover:
Healthcare obtained outside the BPJS procedure
Healthcare obtained at facilities not participating with BPJS
Care obtained abroad
Cosmetic procedures
Infertility treatments
Orthodontics
Medical issues from drug or alcohol abuse
Self-inflicted injuries or due to dangerous activities
Alternative medicine
Experimental medicine
Contraception, cosmetics, baby food and milk
Medical care due to natural disasters, epidemics, special occurrences or state of emergencies
Other care not related to the treatment of a covered medical issue
Sanctions/Penalties
Employers that fail to register employees for the programs will be ineligible to receive certain services from the government, including the registration of business licenses, licenses to hiring foreign employees, and building permits. Individuals who fail to register with the BPJS will be unable to obtain a driver's license, land certificate, vehicle ownership certificate or a passport.
In regards to the premiums, if they are overdue for over 1 month, the coverage becomes inactive on the 10th of the following month and therefore, you have to pay any outstanding premiums to reactivate. Within 45 days of reactivating coverage, any in-patient treatment will incur a penalty. The penalty is 2.5% x treatment cost x number of months inactive. This is up to a maximum of 12 months or Rp 30 million, whichever is lower.
If you have any questions or would like to know more, please contact us here.
Salam,
Mona
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