This is JBA's New Business: Used Car Insurance Auction (Salvage)

The JBA auction center is known as an automotive auction center which is the most reliable place for buying and selling used vehicles in Indonesia. Various benefits and conveniences can be felt directly by all JBA consumers, both depositors and unit buyers. JBA also has more than 70,000 registered bidders and partners with more than 400 used vehicle dealers and even nearly 300 companies in auctioning vehicles at JBA.

Since 2011, JBA has auctioned more than 103,269 cars and 81,373 motorcycles. Not only conducting auctions for used cars and motorcycles, but JBA continues to expand its auction network in Indonesia and increase the number of auction vehicles ranging from cars, motorcycles, heavy equipment to commercial vehicles.

Currently, PT JBA Indonesia will open a new business, namely the auction of units (cars) that are covered by insurance (salvage) but which have suffered severe damage. JBA Indonesia is optimistic about the potential for this business because there are no auction houses that play in the salvage unit business so JBA Indonesia wants to contribute to the salvage unit business and there is a market need for this type of car (used car), both insurance companies as bidders for auction units and salvage car enthusiasts. JBA's salvage car auction business will start in early January 2023.

Johan Wijaya as head of sales in a press conference at the Head Office of PT JBA Indonesia said, "The target of this business is traders, JBA has not yet started a salvage car auction business, but we have sold salvage units from leasing contracts and sold up to 500 units. nationally, that also makes us optimistic because we have a basis because we have sold this salvage unit and we already have a buyer's data base.”

On this occasion, Deny Gunawan as COO of JBA also added that this segment is indeed interesting, because JBA found that in various JBA branches there are many players (traders) of salvage units. Moreover, all players will gather at one point (the JBA auction hall), so that JBA is even more confident that this business will develop properly in early January 2023.

JBA also cooperates with various general insurance companies to supply salvage units and determines the unit auction base price in accordance with JBA procedures after being deducted by the repair price from the repair shop so that the price formed is valid without fraud. This salvage unit is also not auctioned according to grade.

"We have a data base regarding prices formed at the JBA auction hall, of course we will work with the insurance and ensure that the cost of repairs is a reducing factor for the price formed by the salvage unit auction and various other factors that are in accordance with our formula," said Johan Wijaya to journalists.

“This used car has no grading, what can be seen is what items are still good. Usually, these units will enter the workshop, then the repair shop will make repair estimates and provide them to the insurer. JBA is not only working with insurers but repair shops as well so that the base auction price for this unit will be valid without shooting prices," Deny added to the journalists who were present.

JBA is optimistic that this new business can grow big slowly and can attract many general insurers to deposit salvage units at JBA.