Its Importance and Benefits for Expatriates
BPJS (Badan Penyelenggara Jaminan Sosial) has become a critical topic, especially for expatriates living in Indonesia. While many expatriates may initially overlook the personal benefits of this scheme, BPJS is now a legal requirement for all residents of Indonesia, including expatriates who have lived in the country for at least six months. Without compliance with BPJS payments, expatriates holding a KITAS will not be able to renew their residence permits.
What is BPJS and Who is Required to Register ?
BPJS is a government program aimed at providing universal social security for all Indonesian citizens. The program covers health insurance, pension plans, work accident compensation, and death benefits. With BPJS, a basic standard of living can be maintained when participants’ income is reduced or lost due to workplace injury, old age, retirement, or death.
BPJS is divided into two main categories :
- BPJS Kesehatan (Health Insurance)
Mandatory for every individual residing in Indonesia, BPJS Kesehatan offers health protection tailored to various needs. There are three service classes available, each offering different levels of protection with corresponding costs. - BPJS Ketenagakerjaan (Employment Social Security)
Employers are required to register all their employees under this program. It provides protection against old age, workplace accidents, death, and retirement. If you work as a freelancer, you can register as an independent member under BPJS Mandiri Jamsostek.
Benefits and Compliance
The BPJS program offers a range of crucial benefits, including :
- Old Age Protection: Ensures income during retirement.
- Workplace Accident Protection: Provides compensation in case of work-related injuries.
- Death Benefits: Offers compensation for the family of the deceased.
- Retirement Protection: Provides financial support after retirement.
Both employers and employees are required to contribute to the monthly BPJS payments. The contribution amount is determined by the type of coverage selected and the employee’s salary. Independent members are responsible for making their monthly payments on their own.
The Importance of Adequate Coverage
It’s important to note that BPJS is not a comprehensive health insurance package. If you require more specific healthcare coverage, you may need to consider additional health insurance.
Entrust Your BPJS Registration to Harmony
Harmony is ready to assist you at every step of the BPJS registration process, ensuring all administrative and legal requirements are properly met. With Harmony’s assistance, you can ensure your company’s compliance with the applicable regulations and provide the best protection for your employees.
