PhilNare
National Reinsurance Corporation of the Philippines
Annual stockholders meeting
Carlos P. Romulo Auditorium
RCBC Plaza, Ayala Avenue , Makati City, Philippines
July 07, 2013 , 3:00pm



Augusto Hidalgo ,President and CEO of PhilNare  Philippine National Reinsurance Corporation of the Philippines delivered the company's annual report of the company in the recently concluded annual stockholders meeting held at Carlos P. Romulo Auditorium .

Citing the company's achievement for the year 2013, despite of the natural calamities that besiege the country the company managed to post a net income of 18 million leading for the the price of each share to .088 , this a 5 % increase of insurance premiums for 820 million for 2013 from 700 plus premiums of 2012.

Considering the country's insurance penetration in the country , the company had been robust and optimistic doing its job for public service. A considerable 1 % insurance penetration means a lot more business prospect for the whole industry not only for PhilNare. The level of insurance penetration can be derived by total premiums divided by gross domestic products.

From the formula given its the private insurance company's role to expanse its numerator . On the side of the PhilNare "we are on the process of rationalization". By managing our expense ( administrative expense), despite of the massive personnel development programmed, breakthrough in working management systems, procedures and methodologies, capacitating human resource potentials  " we are hoping that cash management could be handled with by intentional monitoring from each departmental expenses as against with the budgeted cash outlay".The president continued " Then the rest of the standby cash , we make sure it is funneled with a right , astute financial management as part of the investment portfolio to make it profitable for the sake of stakeholders and the whole company", responded  thoroughly by the president and ceo of PhilNare, in responsed to the questions thrown out by Mr. Turner during todays' annual stock forum .

This is to prepared the company for the major pivotal direction of the total industry of insurance in the Philippines. In the era of integrated , globalized economy each insurance company is challenged by the new re enacted  Insurance code law R.A No. 10607 thats was approved by the President of the Republic of the Philippine Ninoy C. Aquino III, strengthening the graduated minimum capital based of each insurance company for 1.3 Billion . This is to ensure that each insurance is capable to meet the demands of the upcoming Asean 2015 integration up to the year of 2022 where in a single market for 600 million insurable warm bodies population of the region is available.

The President and Ceo , Augusto Hidalgo admittedly he is on the process of the learning the entire organization being the new president of the company. " we are the process of formulating workable plan".This is to lead the company for a new dynamic and new territory where it can position to be the next leading reinsurer company in the Philippines.

Yes ,our regulators have done their part in strengthening the denominator side of the " law of insurance penetration , by competitively growth of 7.2 % its our own part to do the numerator side of the equation".Thus the president said " we make sure that insurance matter would be a major composite of the fabric interwoven economic life in the Philippines".

The 99% untap market is a huge potential for each player in the insurance industry. Compared to the neighboring asean country the Philippines is lagging behind in the insurance penetration . Its been said that for the good economy , the bench mark for a healthy economy to absorb any risk from business , to life a country should have at least 3 % insurance penetration of its whole gross domestic products. For the now the total insurance industry commands for only 1% percent of the total gross domestic products. " We do not want to position as the monopolistic systems by tapping all those 99 % ", but the president sounded enough that he has all the strategic plan positioning the company where it should be.


To date the life insurance industry were able to post 271 billion , equitable about 47% premium income, while the non life insurance industry managed to post 52.6 billion  ,equitable for about 4% premium income . A total increase in the property and life loss for which are insurable is 29% for 2013 due to the calamities of earth quake  in Bohol and Cebu and Haiyan cyclone in eastern Samar. The devastation damage of the this calamities should be part of the risk mitigation ,financial planning for business sustainable development core plan of the organization perhaps by the whole nation as well.

The president aware also about the newly implemented GAAS, Generally Accepted Accounting Standards about insolvency and allowable investments cap, mandated for each player in the insurance industry. Moreover the president is fully aware of the maximum bench mark for savings mobilization and risk absorption extent for each insurance company to handle on.

Thats why " the company is employing its full expertise", piloting the organization to a smooth voyage where its should be leading . To a world of success.



Everyone is invited  for a talk about RISK Assurance:
"partnership for disaster and climate change resilience by Dr. Jean Pascal Van Ypersele (intergovernmental panel for climate change) and prof., Satoru Mimura Fukushima University  Prof., and JICA Japan International Cooperation Agency. on Wednesday  July 09, 2014 at Manila Polo club., organized by Carlos P. Romulo Foundation for Peace and Development , Zuellig Foundation, Manila Observatory , Pldt, AIG Philippines, Federal Phoenix Assurance.


Henry Estipona
Philippines
0943 437 90 23
www.on-linexpress.blogspot.com