AGICO Project HCBF IRM

8/14/2019 AGICO Project HCBF IRM

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In the Name of Allah,

the Beneficent, the Merciful


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,


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PRESENTED TO:PROF. RIAZ AHMED MIAN

PRESENTED BY:

ABDUL MAALIK(MI06MBA015)

KHURRUM FAROOQ

(MI06MBA006)Hailey College of Banking & Finance

University of the Punjab, Lahore.

Askari General Insurance Co. Ltd(AGICO)


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Introduction of AGICO

Established in October 1995

Sponsored by (AWT), (ACBL) and(ALL)

Public limited company

Listed on all three stock exchanges Provides general insurance products and

services to all sectors of the market


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AWT: A Backbone of AGICO

Army Welfare Trust (AWT) enjoys a unique and

proud history. It has established a reputation

as a leader in the corporate sector. Our story isthat of perseverance, innovation, business

acumen and going beyond the frontiers in

agriculture, cement, pharmaceuticals, leasing,

insurance, banking, energy, informationtechnology and many other diverse fields.


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MILESTONES IN THE

HISTORY OF AWT

1984: Askari Sugar Mills was established in districtBadin, province Sindh in 1984.

1990: Askari Woolen Mills started its operations inMarch 1990.

1990: Askari Shoe project was established in May1990.

1990: Askari Real Estate unit was established in 1990.

1992: Askari Bank Ltd. commenced its operations inApril 1992.

1993: Askari Leasing Ltd. was established inSeptember, 1993.

1995: Askari Aviation Pvt. Ltd. was established inJuly 1995 .

1995: Askari General Insurance Company Ltd. wasestablished in October 1995.


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MILESTONES IN THE

HISTORY OF AWT

1996: Askari Guards Pvt. Ltd. was raised in May1996.

1996: AWT acquired two Cement Plants at Wahand Nizampur in 1996.

1996: Askari Pharmaceuticals was found in 1996.

1996: Mobil Askari Lubricants Ltd. startedoperations in December 1996.

1997: Askari College for Entrepreneurs was

established in July 1997 at Rawalpindi. 1998: Askari Information Systems Ltd. was

established in 1998.

2002: Askari Compressed Natural Gas Projectwas launched in 2002.


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Highlights of AGICO

Reputable place amongst top players

Financial strength and rapid growth

through retaining and reinvesting profits

Financial position provides security to

the clients and ensures progressive

return to the stakeholders.


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Vision

The Vision of ASKARI general insurance

company is to be amongst the leading

insurance companies of the country with theclear perception of upholding the principles

of corporate governance and making AGICO

a profitable and growth oriented insurance

company while creating insurance awareness

and culture.


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MissionThe Mission of AGICO is to become a

leading company by providing clientfriendly services through highly

motivated team of dedicated

professionals and ensuringprogressive return to the

stakeholders.


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CORPORATE PROFILE


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Chairman

Lt. Gen. (Retd) Zarrar Azim


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Directors

Brig. (Retd) Mohammad Shiraz Baig

Brig. (Retd) Javed Qayum

Brig. (Retd) Muhammad Bashir Baz

Brig (Retd).Mushtaq Ahmed Malik

Syed Suhail Ahmed Rizvi


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Auditors

KPMG Taseer Hadi & Co.

Chartered Accountants


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Legal Advisor

Mr. Farrukh Karim Qureshi


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Bankers

Askari Commercial Bank Limited

National Bank of Pakistan

Habib Bank

Standard Chartered Bank


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Registrar and Share Transfer Office

THK Associates (Private) Limited,

Ground Floor, State Life Building-3

Dr.Ziauddin Ahmed Road, Karachi

Tel: 111-000-322

Fax: 021 - 5655595


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Registered Office/Head Office

4th Floor, AWT Plaza, The Mall,

Rawalpindi, Pakistan

Tel: 051 - 9272425 - 7

Fax: 051 9272424

Web Site: www.agico.com.pk

e-mail : [email protected]
http://www.agico.com.pk/mailto:[email protected]:[email protected]://www.agico.com.pk/


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Management hierarchy


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PRODUCTS & SERVICES OF AGICO

HealthInsurance

HealthInsurance

MiscellaneousInsurance

MiscellaneousInsurance

MarineInsurance

MarineInsurance Travel

Insurance

TravelInsurance

EngineeringInsurance

EngineeringInsurance

FireInsuranceFire

Insurance

MotorInsurance

MotorInsurance

ProductsOffered

ProductsOffered


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FIRE INSURANCE

AGICO provides wide cover against fire and allied

perils, whether it is industrial complex, retail

outlets, hospitals, hotels, theatres, cinemahouses, residential apartments and bungalows


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Fire & Lightning

Covers accidental

fire and explosion


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Riot & Strike Damage

Covers loss or damage to property by rioters

and strikers


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Malicious Damage

Covers loss or damage to property done

with malicious intentions


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Terrorism Covers loss or damage to property by any

individual or group engaged in a terrorist activity


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Earthquake

Covers loss or

damage to

property by an

earthquake


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Storm & Flood

Covers loss or damage to property byStorm, Tornado, Typhoon and/or flood


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Aircraft Damage Covers loss or damage to property by any object

falling from an aircraft


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Business Interruption

Covers business interruption due to any of

the above perils


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MARINE INSURANCE

MARINE CARGO

MARINE HULL


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Marine Cargo

In Marine Cargo Insurance, coverage is

provided for goods in transit for both

Import and Export and the mode ofconveyances on waterways, air and land

routes.


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Marine Hull

In marine hull insurance the body of the

ship is covered


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MOTOR INSURANCE

Private and Commercial Vehicle Comprehensive

Insurance Private and Commercial Vehicle Third Party Motor

Vehicle Insurance

Private and Commercial Vehicle Act only Liability

Insurance Family Accidental Benefit Cover

Accidental Death Cover for Salaried Driver

Protection of Loan Amount for Financial Institutions

Personal Accident Benefit Cover for Passengers 20% Discount in Premium on Installation of Trackers

Device

Commercial Vehicle Policy


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ENGINEERING INSURANCE

Contractors All Risks

Erection All Risk

Contractors Plant & Equipments

Machinery Breakdown

Boiler Pressure Vessel

Computers & Electrical Equipment


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LIABILITY INSURANCE

Premises Liability

Product Liability

Workmen Compensation

Professional Indemnity

Directors & Officers Liability

Public Liability Insurance

Product Liability Insurance Employer's Liability Insurance

General Professional Indemnity


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TRAVEL INSURANCE

Medical claims paid anywhere in theMedical claims paid anywhere in theworlddirectly to hospitals through theworlddirectly to hospitals through the

worlds No. 1 rated assistance companyworlds No. 1 rated assistance company

MAPFRE ASSISTANCE

designed for all residents of Pakistanproceeding abroad for business or pleasureor visiting holy places around world

MAPFRE ASSISTANCIA guarantees ourcustomers a problem-free trip very timeregardless of the nature of the trip


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HEALTH INSURANCE

Health Insurance program is being

introduced in the market as a totally

separate product askari health, making ita specialized and pride bearing product.

Askari health is being administered as a

separate "Division" of agico. It ismanaged & run by highly qualified

people relevant to this field.


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Health Benefits

O.P.D TREATMENT BENEFITS (PER

FAMILY ANNUAL)

HOSPITAL EXPENSES BENEFIT MATERNITY BENEFITS

SPECIALIZED INVESTIGATION PER

FAMILY ANNUAL

DREAD DISEASES


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MISCELLANEOUS INSURANCE

Cash Insurance

Fidelity Guarantee Insurance

Householders Comprehensive

Neon Sign

Plate Glass


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CLAIMS PROCESS

Intimation of loss

Checking of policy document

Appointment of the surveyor or loss

adjuster

Claims negotiation

Claims settlement


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RISK MANGEMENT & AGICO

It is AGICO's aim to offer its clientscomprehensive support in questions of riskmanagement affecting any sector

In any event, by offering specific suggestions onthe subject of risk control, we aim to reduceexposures to possible losses.

These highly individual services exceed thescope of what we normally offer our clients andtherefore cannot be provided free of charge.However, at AGICO we charge you nothing.



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Depending upon the request, we hold

specific risk management seminars for ourbusiness partners. After an introduction tothe theory of risk management, thepractical side is demonstrated by means ofa case study. The participants then have achance to make risk management decisionsand to analyze these in the course of

workshops.

FINANCIAL HIGHLIGHTS


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FINANCIAL HIGHLIGHTSDecember 31, 2003 2004 2005 2006 2007

Profit Before Tax 22.41 40.91 60.45 84.51 69.99

Profit After Tax 15.91 26.91 45.02 57.09 51.73

Investment & other Income 25.8 23.71 33.18 35.79 59.67

Underwriting Income 27.54 48.55 69.38 108.81 79.8

Gross premium 383.6 513.34 590.57 717.45 829.1

Net premium revenue 221.83 325.31 432.39 507.24 583.32

Net claims 145.36 205.61 276.1 300.06 378.58

Paid up Capital 81.75 102.18 102.18 120.58 156.75

General Reserve 15 15 22.5 50 65

Underwriting Reserve 174 238.57 273.54 310.47 353.18

Investment 147 251.82 329.07 380.12 423.23

Tangible Fixed Asset 23.65 27.67 43.99 71.16 103.97

Retained Profit 4.59 31.5 51.14 62.33 62.89

Total assets 423.77 641.24 732.49 882.8 1117.59

Dividend 15%(C) 17.5%(C) 18%(B) 30%(B) 30%(B)


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AG CO & CO O S


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AGICO & COMPETITORSSr.

No

Name Of Companies GrossPremiu

m

2006

GrossPremium

2005

Net EarnedPremium

Growth NetClaim

% ofNet Premium

1 EFU General Insurance Ltd. 8,459 6,644 5,418 64% 4,132 76%

2 Adamjee Insurance Company 7,912 6,682 5,280 67% 3,355 64%

3 New Jubilee Insurance 2,572 1,737 1,486 58% 888 60%

4 New Hampshire Insurance Co 1,093 1,056 814 74% 387 48%

5 International General Insurance 900 632 426 47% 187 44%

6 Askari General Insurance Co 717 591 507 71% 300 59%

7 Shaheen Insurance Company 671 671 565 84% 353 62%

8 Atlas Insurance Company 669 524 349 52% 133 38%

9 The Premier Insurance Co 630 631 389 62% 216 56%

10 The Universal Insurance Co 568 514 391 69% 203 52%

S N N Of C i U/W % t N t U/W % t


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S. No Name Of Companies U/WExpenses

% to NetPremium

U/WResult

% toNet Premium

1 EFU General Insurance Ltd. 1,098 20% 188 3%

2 Adamjee Insurance Company 1,443 27% 482 9%

3 New Jubilee Insurance 499 34% 100 7%

4 New Hampshire Insurance Co 119 15% 307 38%

5 International General Insurance 29 7% 227 53%

6 Askari General Insurance Co 99 20% 108 21%

7 Shaheen Insurance Company 144 26% 68 12%

8 Atlas Insurance Company 61 17% 155 44%

9 The Premier Insurance Co 124 32% 49 13%

10 The Universal Insurance Co 137 35% 37 9%

S. No Name Of Companies Invest. % to Pre-Tax % to Growth Rating


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S. No Name Of Companies Invest.Income

% toNet Prem.

Pre TaxProfit

% toNet

Premium

Growth%

RatingJVR-VIS /PACRA

1 EFU General Insurance Ltd. 696 13% 858 16% 27% AA

2 Adamjee Insurance Company 1,515 29% 1,685 32% 18% AA

3 New Jubilee Insurance 690 46% 937 63% 48% AA

4 New Hampshire Insurance Co 77 9% 314 39% 4% -

5 International General Insurance 7,316 1715% 7,357 1725% 42% AA

6 Askari General Insurance Co 28 6% 85 17% 21% -

7 Shaheen Insurance Company 29 5% 59 10% 0% -

8 Atlas Insurance Company 211 60% 359 103% 28% A+

9 The Premier Insurance Co 798 205% 720 185% 0% A

10 The Universal Insurance Co 7 2% 41 10% 10% BBB+


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SWOT Analysis


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Weaknesses

Centralization

fewer number of branches.

Less marketing.

No online selling

No corporate philosophy

No segmentation of market.

Limited area covered (only major citiesare insured)


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Strengths

Strong financial position.

Higher profitability (in short span of time).

Product innovations ongoing. Having latest IT software relating to the

insurance

Management is committed and confident.

Training facilities to employees.


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Opportunities

More branches all over the Pakistan.

Introducing more products

Max long-term shareholder values.

Improve operating performance.

Hire insurance experts

Explore unidentified market segments

crop insurance insurance through internet.


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Threats

Economic fluctuations

Cut-throat competition

Political instability Mounting terrorism

Low per capita income

Aggressive marketing by competitors


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Recommendations

Increase number of branches

Further emphasis on retail products

Build credibility

Responsive strategies

Hire competent employees

On job employee training

Create a sense of belonging


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Conclusion

Optimistic about the long-term opportunities

while at the same time meeting the short-term

challenges

Responded to the challenges by enhancing

customer focus

Pakistani market is full of potential for all

insurance providers and AGICO is one thatpossesses such potential and abilities to avail all

opportunities provided by the market


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THANX FOR

ATTENTIVELISTENING


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QUERRY ? ? ? ? ?

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AGICO Project HCBF IRM