msig annual report 2016 en - msig-thai.com · company profile . about ms&ad insurance group...
TRANSCRIPT
2016 Annual Report
Content
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Message from Chairman and Chief Executive Officer
Company Profile
About MS&AD Insurance Group
Mission & Vision
Organization Chart
Corporate Social Responsibility Report
News & Activities
Financial Highlights
General Information
MSIG Insurance (Thailand) Public Company Limited
Message from Chairman and Chief Executive Officer
Mr. Arnop Phorndhiti Chairman
and Chairman of the Executive Committee
Mr. Rattapol Gitisakchaiyakul
Chief Executive Officer
03 MSIG Insurance (Thailand) Public Company Limited
Report on the Performance of MSIG Insurance (Thailand) Public Company Limited for the Year 2016
Dear Shareholders,
The Board of Directors of MSIG Insurance (Thailand) Public Company Limited (the “Company”) hereby presents its performance report for the year 2016 as follows:
The Company earned total written premium income of Baht 3,957 million, growth of 3.7% over the year 2015, which was significantly better than the growth seen for the year in the Thailand insurance market (1.2%). The Company was able to increase its market share from 1.8% in 2015 to 1.9% in 2016 and improved its market ranking from No.15 to No.14. This above Plan growth was mainly a result of the increase in premiums from Motor business, through intermediaries and from Personal Accident and Travel Insurance business through Direct and Bancassurance channels. The Company achieved an underwriting profit of Baht 147.2 million, which was also better than the Company’s Business Plan target.
MSIG (Thailand) earned total investment income of Baht 68.5 million derived from interest income and realized gains from securities trading. The Company’s earnings before tax were Baht 194.4 million and the after tax profit was Baht 158.5 million, representing earnings per share of Baht 111.1.
MSIG (Thailand) maintained its strong financial position with a Capital Adequacy Ratio of 418%, which is higher than the required regulatory ratio (100%). The Company therefore has strong capital funds to following its policy to expand business sustainability.
In 2016, the Company performed well overall and was able to achieve above market growth and post a healthy underwriting profit. These achievements were the result of successful adjustments to business strategies, digital business expansion, good expense controls and most importantly the excellent ongoing support of our customers and business partners as well as the capability and dedicated efforts of all employees who worked hard to achieve the Company’s targets as planned.
On behalf of the Company’s Board of Directors, we would like to take this opportunity to sincerely thank everyone who contributed to the Company’s success in 2016.
Yours faithfully,
Mr. Arnop Phorndhiti Mr. Rattapol Gitisakchaiyakul
Chairman Chief Executive Officerand Chairman of the Executive Committee
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Company Profile
About MSIG Insurance (Thailand) Public Company Limited
MSIG Insurance (Thailand) Public Company Limited is a member of MS&AD Insurance Group.
The company is a leading international insurer with annual premium income of over Baht 3,900 million.
The company employs more than 800 staff in its head office in Bangkok and 21 branch offices
nationwide. The company offers a comprehensive range of general insurance services and products
including motor, personal accident, travel, home & contents, liability, marine and others, to meet the
needs of personal and commercial customers.
MSIG Insurance (Thailand) Public Company Limited 05
About MS&AD Insurance Group
MSIG Holdings (Asia) Pte Ltd (MSIG Asia)
Located in Singapore, MSIG Asia is the regional holding company and a subsidiary of Mitsui Sumitomo
Insurance Company Limited within the MS&AD Insurance Group.
Mitsui Sumitomo Insurance Company Limited ( MSI )
MSI was formed in October 2001 through a merger between the former Mitsui Marine & Fire
Insurance Co., Ltd. ("Mitsui Marine") and the former The Sumitomo Marine & Fire Insurance
Co., Ltd. ("Sumitomo Marine"). Mitsui Marine and Sumitomo Marine were leading non-life
insurance companies boasting long histories, having been established in 1918 and 1893,
respectively.
MS&AD Insurance Group
MS&AD Insurance group was formed in April 2010 from the business integration of the Mitsui
Sumitomo Insurance Group Holdings, Inc., Aioi Insurance Co., Ltd., and Nissay Dowa General
Insurance Co., Ltd. Today, MS&AD is one of the largest general insurance groups in the world with a
presence in over 42 countries, 17 of which are in Asia. Based in Japan, MS&AD is active in five business
domains, namely domestic (Japanese) non-life insurance, domestic (Japanese) life insurance,
overseas business, financial services business and risk-related business.
Strong Financial Credit Rating As at 15 December 2016
Japan Credit RatingAgency (JCR)
Mitsui Sumitomo Insurance Aioi Nissay Dowa Insurance
(Long-Term Issuer Credit Rating)
Moody's Japan Rating and Investment Information (R&I)
Mitsui Sumitomo Insurance Mitsui Sumitomo Insurance Aioi Nissay Dowa InsuranceAioi Nissay Dowa Insurance (Issuer Rating) (Financial Strength Rating)
Mitsui Sumitomo Aioi Life Insurance Mitsui Sumitomo Insurance Mitsui Sumitomo Primary Life Insurance
(Long-Term Issuer Credit Rating) (Insurance Claims Paying Ability)
A.M. Best
Mitsui Sumitomo Insurance Aioi Nissay Dowa Insurance
(Financial Strength Rating)
Standard & Poor's Ratings Japan
Mitsui Sumitomo Insurance Aioi Nissay Dowa Insurance
Mitsui Sumitomo Aioi Life Insurance Mitsui Sumitomo Primary Life Insurance
(Financial Strength Rating)
Mitsui Sumitomo Insurance Aioi Nissay Dowa Insurance
(Long-Term Issuer Credit Rating)
MSIG Insurance (Thailand) Public Company Limited 06
Mission & Vision
Mission
To contribute to the development of a vibrant society and help
secure a sound future for the world, by bringing security and safety through
the global insurance and financial services business.
Vision
To become the No. 1 General Insurer in the Region in premium, profit and service quality.
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Core Values
Customer Focused We continuously strive to provide security to our customers and achieve customer satisfaction.
Professionalism We make continuous efforts to improve our skills and proficiency to provide high quality services.
Teamwork We achieve mutual growth by respecting one another’s individuality and opinions and by sharing
knowledge and ideas.
Innovation We listen to our stakeholders and continuously seek ways to improve the way we work and do
business.
Integrity We are sincere, fair and just in all our dealings.
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Organization Chart
Chairman and
Chairman of the Executive Committee
Chief Executive Officer
Compliance Internal Audit
Audit Committee
Mr. Arnop Phorndhiti
Mr. Rattapol Gitisakchaiyakul
Business Business Development Services
Our Management Team
1. Mr. Rattapol Gitisakchaiyakul
2. Mr. Buddha Wiriyabaworn
3. Mr. Jun Urakami
4. Mr. Matthew James Grose
5. Miss. Pawana Thaisuwan
6. Miss. Sathaporn Thaneerat
7. Mr. Surachai Rattayavisid
8. Mr. Worapon Lopansri
Finance and Information Human Resources Accounts Technology and
Business Excellence
Chief Executive Officer
Senior Vice President, Business Development
Senior Vice President, Compliance
Senior Vice President, Human Resources and Business Excellence
Senior Vice President, Finance and Accounts
Senior Vice President, Information Technology
Senior Vice President, Business Services
Senior Vice President, Internal Audit
MSIG Insurance (Thailand) Public Company Limited 09
Corporate Social Responsibility Report
CSR 2016 DEK (Developing Education for Kids)
The company continues to build CSR activities based around our long running
(over 10 years) DEK (Developing Education for Kids) theme.
1 MSIG Children’s Day at Wichawadee School We conducted Children's Day activities for the students at Wichawadee
Primary School in Nakornsawan province. All the children played fun games
and received school uniforms and school bags at the end of the activities.
MSIG Insurance (Thailand) Public Company Limited 10
Corporate Social Responsibility Report
2 Hero: Let The Dream Come True
The project ‘Hero: Let The Dream Come True’ is organized for the youth of the five southern most provinces of Thailand. In 2016, we again
sponsored Travel Insurance (sum insured 20 mill ion baht) and sportswear
for children attending this program which takes them to train at Manchester
United Football Club in the United Kingdom.
25 outstanding young Muslim children aged under 12 years took part.
The students mainly come from families affected by the violence in the border
areas with Malaysia . The project was created the aim of bui ld ing unity,
national spirit and to build role models to the younger generations of the
five southern provinces.
MSIG Insurance (Thailand) Public Company Limited 11
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Corporate Social Responsibility Report
MSIG Staff Children Scholarships Our DEK Program is also used to promote education to the families of our staff.
In 2016, 69 scholarships (total 345,000 baht) were awarded to permanent staff.
The award’s conditions are:
Kindergarten to Primary school pupils with a minimum grade
point average of 3.20,
High School to Bachelor’s degree students with a minimum grade
point average of 3.00.
In giving out the scholarships, Khun Rattapol Gitisakchaiyakul, Chief Executive
Officer said the company was very proud of the children’s achievements and
he hoped to see the chi ldren receive scholarship funds from the company
again in the following year.
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Corporate Social Responsibility Report
MSIG Scholarships for University Students We work in close collaboration with Chulalongkorn University and Prince of Songkla University
(Trang Campus) to provide three scholarships to deserving students who are studying
Insurance Majors and meet our GPA requirements. This year, we supported one
scholarship to a Chulalongkorn University student and two scholarships to Prince of
Songkla University students with the dual goals of assisting needy students and promoting
insurance careers in Thailand.
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Corporate Social Responsibility Report
Giving Back
Ploenchit Fair
The Ploenchit Fair is an annual event organized by the British Community in Thailand for the
Needy (BCTFN) - an organization that raises money for various charities in Thailand. The company
has been participating in this event for over 30 years which sees a team of our staff organize
a popular shooting stall every year.
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Corporate Social Responsibility Report
Give Blood, Save Lives
In cooperation with Phramongkutklao Hospital, we arrange a quarterly MSIG Blood Donation
Campaign ‘Give Blood, Save lives’. During 2016, over 200 staff and nearby office workers
participated to support the hospital and help save lives.
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Corporate Social Responsibility Report
Pray for Kumamoto In response to our call for our staff to donate to help victims of the earthquake in Japan,
we received 25,000 baht, which we matched with a donation from the company giving
a total of 50,000 baht, which was donated to The Thai Red Cross Society.
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Corporate Social Responsibility Report
Promote Workability
We are proud to be part of the Workability Association to promote employment for the
disabled with a founding group of 14 employers who have declared themselves ready to
promote awareness in society about the disabled and are willing to provide employment
opportunities to them.
‘Disabled... from Problem to Power’ As we believe in equal opportunities, we joined this campaign to support sustainable
careers by supporting the Ray Bakery School (under the Father Ray Foundation) ‘Half 'n Half’
bakery shop in Chonburi.
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Corporate Social Responsibility Report
Insurance Industrial Service
As a part of our corporate services to society, MSIG Thailand contributes and shares
insurance knowledge by participating in conferences and holding seminars with a number of
universities, including Chulalongkorn University, Prince of Songkla University (Trang Campus),
Chiangmai University, Khonkaen University, Mahidol Universit, Suranaree University of
Technology and Burapha University during 2016.
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Corporate Social Responsibility Report
Customer Focus
The Business Excellence department have significantly expanded the company’s
efforts to focus on the end customer through satisfaction surveys and continuous
improvement activities. This includes the ‘Chairman’s Award’ program which recognizes
and rewards ‘Above and Beyond’ service performance by staff from customer
compliments. There were 13 Chairman’s Award recipients in 2016.
MSIG Insurance (Thailand) Public Company Limited 19
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News & Activities
MSIG Thailand Awarded the Regional CEO’s Innovation Awards 2016
Mr. Alan John Wilson, Managing Director of MSIG Holdings (Asia) Co., Ltd., presented
‘The Regional CEO's Innovation Awards 2016’ to Mr. Rattapol Gitisakchaiyakul (3rd from left)
, CEO of MSIG Insurance (Thailand) Public Company Limited for the “MSIG Speed – In-house
Surveyor” project. The Regional CEO's Innovation Awards is held every years to promote
employee creativity across the region.
MSIG Insurance (Thailand) Public Company Limited 20
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News & Activities
MSIG Launches Travel Around The world – Blogger Contest 2016 Campiagn
Mr. Rattapol Gitisakchaiyakul, Chief Executive Officer of MSIG Insurance (Thailand)
Public Company Limited and Travel Around The World magazine organized
‘Travel Around The World - Blogger Contest 2016’ campaign searching for new online
bloggers writing about their travel experiences. The winner of this campaign won
a travel package to Taiwan for 3 days 2 nights and the winner’s article was published
in Travel Around The World magazine in May 2016 issue.
MSIG Insurance (Thailand) Public Company Limited 21
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News & Activities
MSIG Presents Prize to the Blogger Contest Winner 2016
MSIG Insurance (Thailand) Public Company Limited presented the prize of Taiwan
holidays package to Khun Anusan Sarananda, the winner of the Blogger Contest
2016. This contest was in cooperation with Travel Around The World magazine
aiming to find new blood of travel bloggers and sharing memorable travel
experience in overseas,
MSIG Insurance (Thailand) Public Company Limited 22
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News & Activities
MSIG focuses on the Travel Insurance Market
Mr.Rattapol Gitisakchaiyakul, Chief Executive and Mr. Surachai Rattayavisid Senior Vice President, Business Services of MSIG Insurance (Thailand) Public
Company Limited, organize a press conference to disclose MSIG’s business plan
for the year 2016, targeting over 100% growth for travel insurance and aiming
to be a market leader in travel insurance by the end of 2016.
MSIG Insurance (Thailand) Public Company Limited 23
Financial Highlights
MSIG Insurance (Thailand) Public Company Limited 24
General Information
Name of Company : MSIG Insurance (Thailand) Public Company Limited.
Registration No. : 0107555000414
Head Office : 1908 MSIG Building, New Petchburi Road, Bangkapi,
Huay Kwang, Bangkok 10310
Telephone : +66 (0) 2788 8888 Fax : +66 (0) 2318 8550
www.msig-thai.com
Type of Business : Insurance
Registered Capital : 1,426,662 Ordinary shares, in a total value of 142,666,200 Baht
Paid-up Capital : 1,426,662 Ordinary shares, in a total value of 142,666,200 Baht
Legal entity which MSIG holds share exceeding 10% : -None-
Declaration of Directors on a direct or indirect interest in any contract which is made by the
Company during an accounting year -None-
Declaration of holding of shares or debentures of the Company or an affiliated company
(as at 31st December 2016)
4,067
6,133 6,1331. Mr. Arnop Phorndhiti
2. Mr. Alan John Wilson
3. Mr. Sanit Rangnoi
4. Mr. Dhevan Liauburindr
5. Mr. Isao Nojo
6. Mr. Boonchu Angchaisuksiri
4,0677. Mr. Rattapol Gitisakchaiyakul
Name of Director ChangeNumber of Shares held as at 1 January 2016
st Number of Shares held
as at 31 December 2016st
Remark: *Mr. Boonchu Angchaisuksiri was elected as a director, replacing Mr. Supat Tansathitikorn, who retired from his directorship
at the 2016 Annual General Meeting of Shareholders on 22ndApril 2016.
75 MSIG Insurance (Thailand) Public Company Limited