THE IMPLEMENTATION OF CORPORATE GOVERNANCE IN ISLAMIC INSURANCE INSTITUTIONS IN INDONESIA BASED ON ISLAMIC FINANCIAL SERVICES BOARD STANDARD (IFSB) NO 8

Authors

  • Siti Lisnawati University of Darussalam Gontor Indonesia
  • Ely Windarti Hastuti University of Darussalam Gontor Indonesia

DOI:

https://doi.org/10.21111/ibmj.v3i1.3871

Keywords:

Islamic Insurance, Corporate Governance, IFSB

Abstract

This research presents the implementation of Good Corporate Governance (GCG) from international standards. The research discusses issues relating to financial disclosures carried out by Islamic insurance institutions in Indonesia. This research aims to analyze and understand the implementation of corporate governance in Islamic insurance institutions in Indonesia based on POJK Number 73/POJK.05/2016 and IFSB standards number 08. The research used secondary data obtained from the annual report for 2018. The research method used is qualitative by using a composite value calculation as a measure of GCG quality. The results of research indicate that the implementation of Corporate Governance in Islamic insurance in general have done good corporate governance which is marked with the result of self-assessment of every Islamic insurance which on average gets a good predicate. The results of research on the implementation of Corporate Governance based on IFSB standards, majority the standards have been implemented. These standards have been well implemented regarding the governance framework, the code of ethics and business conduct, the governance structure and the disclosure of relevant information. However, there are several points have not been applied or not yet disclosed in the annual report. 

Author Biographies

Siti Lisnawati, University of Darussalam Gontor Indonesia

Faculity Islamic Economi and Management, Management Bisnis

Ely Windarti Hastuti, University of Darussalam Gontor Indonesia

Faculity Islamic Economi and Management, Management Bisnis

References

Abadi, M. K. R. (n.d.). Impact of Behavioral Factors and Ethical Investment on Investors’ Financial Decision: Case on The Jakarta Islamic Index. Retrieved from https://scholar.google.com/citations?view_op=view_citation&hl=id&user=Z9S3JwoAAAAJ&sortby=pubdate&citation_for_view=Z9S3JwoAAAAJ:UeHWp8X0CEICAburous, D. (2019). IFRS and institutional work in the accounting domain. Journal Critical Perspectives on Accounting, LXII, 1-15. Retrieved December 11, 2019, from http://creativecommons.org/licenses/by-nc-nd/4.0/Amtsal, F. (2019). Implementation of Sharia Governance in Islamic Banking Windows of Regional Bank in Indonesia. Thesis. University of Darussalam (UNIDA) Gontor, 98. Retrieved December 2, 2019Anggara, F.S.A, & Faradisi, R. (2020). Business Model in Islamic Microfinance: Case Study of Baitul Maal Wat Tamwil (BMT) La Tansa Gontor. Retrieved from https://scholar.google.com/citations?view_op=view_citation&hl=id&user=XZSUA-AAAAAJ&sortby=pubdate&citation_for_view=XZSUA-AAAAAJ:eQOLeE2rZwMCAnggara, F.S.A. (2019). Business Model in Islamic Microfinance: Case Study of Baitul Maal Wat Tamwil (BMT) La Tansa Gontor. Business Model in Islamic Microfinance: Case Study of Baitul Maal Wat Tamwil (BMT) La Tansa Gontor. Retrieved from https://scholar.google.com/citations?view_op=view_citation&hl=id&user=XZSUA-AAAAAJ&sortby=pubdate&citation_for_view=XZSUA-AAAAAJ:YOwf2qJgpHMCAri Anggara, F.S.A, & Faradisi, R. (2020). Analysis of Islamic business ethics and its impact during the Covid19 pandemic. Al Tijarah, 6(3). Retrieved from https://scholar.google.com/citations?view_op=view_citation&hl=id&user=XZSUA-AAAAAJ&sortby=pubdate&citation_for_view=XZSUA-AAAAAJ:W7OEmFMy1HYCAstuti, R. Y., & Kurniawan, D. A. (2019). Analisis ekonomi Islam meninjau praktek transparansi top up (penambahan pinjaman) perbankan. Proceeding of Conference on Islamic Management, Accounting, and Economics, 212–220. Retrieved from https://scholar.google.com/citations?view_op=view_citation&hl=id&user=0UP1gloAAAAJ&cstart=20&pagesize=80&sortby=pubdate&citation_for_view=0UP1gloAAAAJ:0EnyYjriUFMCAstuti, R. Y., & Kurniawan, D. A. (2019). Islamic Economic Analysis Reviews: the Transparency of Top-up Banking. Al Tijarah, 5(1), 57–62. https://doi.org/10.21111/tijarah.v5i1.3648Azmi, M. U. (2019, December 16). The Consumption Behavior of Moslem: A Maqashid Shariah Approach toward Foundational Consumptioan Theory in Islam Economics | Azmi | AL-FALAH : Journal of Islamic Economics. Journal of Islamic Economics. Retrieved December 31, 2022, from http://journal.iaincurup.ac.id/index.php/alfalah/article/view/933Djayusman, R., Anggara, F., Ihsan, N. H., & Kurniawan, D. A. (2019). Muslim Micro Entrepreneurs’ Competency to Face Challenges in The Industrial Era 4.0. ICBLP 2019: Proceedings of the 1st International Conference on Business, Law And Pedagogy, ICBLP 2019, 102. Retrieved from https://scholar.google.com/citations?view_op=view_citation&hl=id&user=0UP1gloAAAAJ&sortby=pubdate&citation_for_view=0UP1gloAAAAJ:_Qo2XoVZTnwCFasa, M. I., Aviva, I. Y., Firmansah, Y., & Suharto, S. (2019). CONTROVERSY ON RIBA PROHIBITION: MAQASHID SHARIAH PERSPECTIVE. International Journal of Islamic Economics, 1(2). https://doi.org/10.32332/ijie.v1i02.1804Firmansah, Y., Rusli, L., & Maulana, H. (2019). PROFILING THE COMPETENCY OF NAZHIR WAQF: A CONCEPTUAL PAPER. 7th Asean Universities International Conference on Islamic Finance (AICIF). https://scholar.google.com/citations?view_op=view_citation&hl=id&user=BdmYXpYAAAAJ&sortby=pubdate&citation_for_view=BdmYXpYAAAAJ:Y0pCki6q_DkCFirmansyah, A. (2017). The Implementation of Corporate Governance in Islamic Banking in Indonesia Based on AAOIFI Standard. Thesis. University of Darussalam (UNIDA) Gontor, 80. Retrieved April 24, 2019Hassan, H. K., Aliyu, S., Huda, M., & Rashid, M. (2019, August). A survey on Islamic Finance and accounting standards. Journal Borsa Istambul Review, XIX(1), 1-13. Retrieved December 11, 2019, from https://doi.org/10.1016/j.bir.2019.07.006IFSB. (2019). Home. Retrieved April 15, 2019, from IFSB: https://www.ifsb.org/Islamic Financial Services Board. (2009). Guiding Principles on Governance for Takaful (Islamic insurance) Undertakings. p. 3.Kurniawan, & Abidin. (2020). The Analysis of Tourism Development Strategy at Kampoeng Durian in the Region of Ngrogung Ngebel Ponorogo Through Nine Approach Components of Business Model Canvas. KnE Social Sciences. KnowledgE. https://doi.org/10.18502/kss.v4i3.6385Kurniawan, & Khoirudin. (2020). Analisis Faktor yang Mempengaruhi Mahasiswa Reguler memilih Studi di Universitas Darussalam Gontor. Widya Warta, 2(Education). Retrieved from https://scholar.google.com/citations?view_op=view_citation&hl=en&user=0UP1gloAAAAJ&sortby=pubdate&citation_for_view=0UP1gloAAAAJ:ZeXyd9-uunACKurniawan, Cahyo, Maluan, Yaya, & Winarsih. (n.d.). PROFILE OF MSMEs IN EAST JAVA: CHALLENGES AND PROSPECTS in Cross Border SMEs: Malaysia and Indonesia. Retrieved from http://repo.unida.gontor.ac.id/998/1/BUKU%20CROSS%20BORDER.pdfKurniawan, D. A. (2019). Identifikasi Karakteristik Sektor Informal di Provinsi Jawa Timur. CAPITAL: Jurnal Ekonomi dan Manajemen, 2(2), 141–157. Retrieved from http://repo.unida.gontor.ac.id/241/Kurniawan, D. A., & Abidin, M. Z. (2020). Strategi Pengembangan Wisata Kampoeng Durian Desa Ngrogung Kecamatan Ngebel Ponorogo melalui Analisis Matrik IFAS dan EFAS. Al Tijarah, 5(2). https://doi.org/10.21111/tijarah.v5i2.3706Kurniawan, D. A., & Fajri, F. S. (2019). Analisis Implementasi Islamic Store Attributes dan Bauran Pemasaran dalam Perspektif Islam (Survey pada La-Tansa Gontor Departement Store Ponorogo). JMK (Jurnal Manajemen dan Kewirausahaan), 4(2), 85–110. Retrieved from http://repo.unida.gontor.ac.id/236/Kurniawan, D. A., & Maemunah, H. (2019). Peningkatan Pendapatan Dan Daya Saing Produk Pada Usaha Mikro Melalui Strategi Packing, Branding Dan Online Marketing. Cendekia : Jurnal Pengabdian Masyarakat, 1(1), 30–37. https://doi.org/10.32503/cendekia.v1i1.466Kurniawan, D. A., & Maemunah, H. (2019). Peningkatan Pendapatan dan Daya Saing Produk Pada Usaha Mikro Melalui Strategi Packing, Branding, dan Online Marketing (Peyek Mbak Anna Ponorogo Jawa Timur). KHADIMUL UMMAH Journal of Social Dedication, 1(1). Retrieved from http://repo.unida.gontor.ac.id/243/Kurniawan, D. A., Ari A, F. S., Rusli, L., Astuti, R. Y., & Kusumanisita, A. I. (2020). Pelatihan Analisis SWOT Dan BMC Pada Asosiasi UMKM Ponorogo. CENDEKIA: Jurnal Pengabdian Masyarakat, 2(1). https://doi.org/10.32503/cendekia.v2i1.1001Kurniawan, D. A., Maemunah, H., & Muhammad, M. (2020). Pemberdayaan Masyarakat Tunagrahita Melalui Kewirausahaan Sederhana di Kampung Idiot Desa Karangpatihan Balong Kabupaten Ponorogo Jawa Timur. SNPKM. Retrieved from http://journal.unilak.ac.id/index.php/SNPKM/article/view/5257Laws of The Republic Indonesia No. 40 Year 2014 concerning on Insurance Business. (2014).Luo, Y., & Krivogorsky, V. (2017). The materiality of directors’ and officers’ insurance information: Case for disclosure. USA: Elsevier Ltd. Retrieved December 11, 2019, from www.elsevier.com/locate/racregMaksum, M. (2011). Pertumbuhan Asuransi Syariah di Dunia dan Indonesia. Journal Al-Iqtishad, III(1), 40.Masrizal, Miftahurrahman, Herianingrum, & Firmansah. (2020). The Effect Of Country Risk And Macroeconomic On Jakarta Islamic Index Repository - UNAIR REPOSITORY. Jurnal Ekonomi Dan Bisnis Islam, 6(1). Retrieved from https://repository.unair.ac.id/118999/Maulana, H. (2019). FAKTOR PENGHAMBAT AKSES JASA KEUANGAN DI WILAYAH MADIUN RAYA: STUDI EMPIRIS - UNIDA Gontor Repository. http://repo.unida.gontor.ac.id/1300/Maulana, H. (2019). Faktor Penghambat dalam Mengakses Pembiayaan pada Pengusaha Mikro di Karesidenan Madiun: Second Order CFA - UNIDA Gontor Repository. Faktor Penghambat Dalam Mengakses Pembiayaan Pada Pengusaha Mikro Di Karesidenan Madiun: Second Order CFA - UNIDA Gontor Repository. http://repo.unida.gontor.ac.id/1297/Maulana, H. (2019). MAQASHID SHARI’AH ON ISLAMIC MICROFINANCE AND THE ISSUES AND CHALLENGES IN PROMOTING ISLAMIC MICROFINANCE IN INDONESIA: A SCHOLAR’S PERSPECTIVE. http://repo.unida.gontor.ac.id/1301/Maulana, H., & Zuhri, M. (2020). Analisis Implementasi Good Amil Governance berdasarkan Zakat Core Principle di Lembaga Amil Zakat. AlTijarah, 6 (2), from http://dx.doi.org/10.21111/tijarah.v6i2.5500Maulana, H., & Zuhri, M. (2020, December 30). Analisis Implementasi Good Amil Governance berdasarkan Zakat Core Principle di Lembaga Amil Zakat: Retrieved December 31, 2022, from https://ejournal.unida.gontor.ac.id/index.php/altijarah/article/view/5500Maulana, Rusli, & Firmansah. (2020). Google Scholar. Google Scholar. https://scholar.google.com/scholar?cluster=14837878802410547174&hl=en&oi=scholarrMohammeda, N. F., Fahmia, F. M., & Ahmad, A. E. (2015). The Influence of AAOIFI Accounting Standards in Reporting Islamic Financial Institutions in Malaysia. Procedia Economics and Finance(31), 418-424. Retrieved December 11, 2019National Association of Insurance Commisioner. (2019). Retrieved September 14, 2019, from Glossary of Insurance Terms: Glossary of Insurance Terms, https://www.naic.org/consumer_glossary.htmOJK Indonesia (2019) Circular of POJK Draft NO - /POJK.05/2019.OJK Indonesia. (2014, March 27). OJK Anggota Penuh Pertemuan Islamic Financial Services Board. Press Conference, p. 1-2.OJK Indonesia. (2014-2018). Statistik IKBN Syariah.OJK Indonesia. (2018, December 8). OJK Dukung Upaya Peningkatan Adopsi standar IFSB. Siaran Pers, p. 2.OJK Indonesia. (2019). Surat Edaran Rancangan POJK NO - /POJK.05/2019. Retrieved December 2, 2019, from FSA Indonesia.Organization for Economic Co-operation and Development. (n.d.). G20/OECD Principles of Corporate Governance., (p. 7).Puspitasari, N. (2011). Sejarah dan Perkembangan Asuransi Islam Serta Perbedaannya dengan Asuransi Konvensional. Journal JEAM, X(1), 36.Setyanta, B., & Kurniawan, D. A. (2019). DOES RELIGIOSITY MODERATE THE INFLUENCE OF TRUST ON THE INTENTION TO USE SHARIA BANKING PRODUCTS. UNIDA Gontor Repository, 1(1), 1–131. Retrieved from http://repo.unida.gontor.ac.id/999/Sugiyono. (2016). Motode Penelitian Manajemen. Bandung: Alfabeta.Sugiyono. (2017). Metode Penelitian Pendidikan. Bandung: Alfabeta.The Cambridge University Judge Business School. (2017). The Cadbury Report. Retrieved December 9, 2019, from The Cambridge University Judge Business School: http://cadbury.cjbs.archios.info/report

Downloads

Published

2022-12-31

How to Cite

Lisnawati, S., & Hastuti, E. W. (2022). THE IMPLEMENTATION OF CORPORATE GOVERNANCE IN ISLAMIC INSURANCE INSTITUTIONS IN INDONESIA BASED ON ISLAMIC FINANCIAL SERVICES BOARD STANDARD (IFSB) NO 8. Islamic Business and Management Journal, 3(1). https://doi.org/10.21111/ibmj.v3i1.3871

Issue

Vol. 3 No. 1 (2020): IBMJ | June

Section

Articles