The government, through legal instruments, has designed a National Health Insurance Program (“JKN”) which is mandated to the Social Health Insurance Administration Body (“BPJS Kesehatan”) as stated in Article 19 paragraph (2) of Law Number 40 of 2004 which explains that JKN is held to ensure that participants receive the benefits of health care and protection to meet basic health needs.
Recently, the President of the Republic of Indonesia issued Presidential Instruction Number 1 of 2022 (“Inpres No.1/2022”) which contains the obligations of Ministers, Prosecutors, Governors, Regents/Mayors, and other law enforcement to launch the JKN program. The most salient provision in Inpres No.1/2022 focuses on the obligation of the Minister of Agrarian Affairs and Spatial Planning/Head of the National Land Agency (“Minister of ATR/BPN”) to oblige every application of registration services for the transfer of land rights or ownership rights to apartment units (often by purchase) to submit a copy of BPJS Kesehatan Participation Card as proof to indicate parties are active participants of the JKN program.
By partaking in any sale-purchase transaction of land or apartments, the parties who are required to attach proof of the BPJS Kesehatan Participation Card are not only limited to Indonesian Citizens (“WNI”) but also Foreign Citizens (“WNA”) provided that WNA works at the minimum period of 6 (six) months in Indonesia.
Although this regulation has drawn a lot of controversy, the government considers the welfare of its people to be of the utmost importance. In this case, the government wants to optimize the implementation of the JKN program for all Indonesian citizens by obligating Indonesian citizens and foreigners to register as BPJS Kesehatan participants.
Thus, it is of utmost importance to be a participant of the JKN – BPJS Kesehatan program before entering any deals to purchase or sell any properties.
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Author: Suryani Lin