Property Insurance Business Development Strategy Formulation Through the Insurance Broker Channel: a Case Study of Pt Zurich Asuransi Indonesia

Abstract

Background: PT Zurich Asuransi Indonesia experienced declining property insurance premium contributions from four major broker partners by 31–82% during 2021–2023, despite the same brokers recording total market premium growth of 21–93%. 
Purpose: This study aims to identify external and internal strategic factors, formulate alternative strategies, and determine the priority strategy for property insurance business development through the broker channel. 
Design/Methodology/Approach: A qualitative descriptive single-case study was conducted using structured in-depth interviews with six purposively selected expert informants. Analysis followed the David and David (2016) three-stage framework: Input Stage (PESTEL, Porter's Five Forces, VRIO, EFE matrix, IFE matrix), Matching Stage (IE matrix, SWOT matrix), and Decision Stage (QSPM). 
Findings/Results: The EFE score of 2.690 and IFE score of 2.850 place PT Zurich in IE Matrix Quadrant V (Hold and Maintain). Seven SWOT alternative strategies were generated. QSPM analysis identified the Preferred Broker Program (ST1) as the priority strategy with the highest STAS of 5.94. 
Conclusion: Near-zero broker switching costs constitute the root cause of market share decline. The Preferred Broker Program featuring tiered commission incentives, capacity guarantees, and priority claims service directly addresses this by creating new switching costs and repositioning competition from price to exclusive relational value. 
Originality/Value: This study provides the first comprehensive application of the David and David (2016) three-stage framework to property insurance distribution through the broker channel in Indonesia, contributing novel strategic insights to a context characterized by near-zero switching costs and acute price sensitivity.