Post-Disaster Aid in Electoral Contexts: The Intersection of Insurance Law and Economic Justice

This study analyzes the politicization of post-disaster aid through the distribution of insurance claims that are exploited as instruments for gaining electoral advantage during local elections in North Lombok. This phenomenon reveals a lack of regulatory oversight over insurance companies as business entities that should be subject to principles of good corporate governance and CSR. Employing a socio-legal and law and development approach, the research investigates the interrelation between local political dynamics, insurance regulatory frameworks, and economic justice for disaster-affected communities. The findings indicate legal loopholes and conflicts of interest within contracts between local governments and insurance providers, as well as the ineffectiveness of existing regulations in ensuring corporate accountability. The study recommends comprehensive reform of the insurance legal framework, strengthening of oversight by the Financial Services Authority, and integration of CSR principles in disaster aid management. Theoretically, this study highlights the need to broaden the scope of business law scholarship by incorporating political and disaster-related variables to support the development of a more just and responsive legal system.