Extracts from the Address of the Chairman,

Mr Goh Ching On

at the First Annual General Meeting held on 31st March 2000

Many people in the insurance claims industry still asked the Executive Committee of the Society and even the Secretary of NIAM what the National Insurance Claims Society is all about. On 26 February 1998, twenty-five claims managers from NIAM member companies met at the Sheraton ITT Imperial Hotel in Kuala Lumpur for a workshop on "Claims Best Practices".

The workshop was organized by NIAM and the purpose of the workshop was to develop some practical improvements for streamlining the claims process in a way that benefit member companies. Following the meeting, several key approaches were recommended to NIAM and Sub-Committees were formed to study these approaches. Subsequently, the idea of forming a claims society for claims personnel was mooted to address the claims service and claims staff recognition issues in a continuous manner. The idea were recommended to NIAM.

On 9 September 1998, 49 claims managers from NIAM member companies met with the intention of setting up a formal society. The meeting was chaired by YM Tunku Ya'acob bin Tunku Abdullah, Chairman of NIAM's strong backing and support, National Insurance Claims Society was formally set-up and the first office bearers were duly elected.

The strongest motivating factor for the formation of this Society was the need for a forum for the claims managers and claims examiners in the industry to meet regularly and discuss issues concerning claims services and other matters concerning fraud and claims leakage. NICS will provide a platform for the members to exchange ideas and an opportunity to network effectively.

Since the inaugural launch of the Society on 15 December 1998, by YM Tunku Ya'acob bin Tunku Abdullah, the Chairman of National Insurance Association of Malaysia. The Society managed to carry out activities to benefits its members despite many constraints.

NICS managed to organize a cocktail reception on 24 September 1999 at Hotel Equatorial to launch the Society logo that followed by a speech from the Chairman of AMLA. The cocktail was attended by more than 150 members. In addition, two luncheon gathering were also organized in December 199 and March 2000 respectively for the claims managers with the objective for claims managers to exchange views and market claims information. The response was overwhelming with participation even from non-NIAM member companies. With this success and astounding response, the Claims Society has decided to make this Claims Managers Luncheon as the Society quarterly event.

To further enhance the networking among claims managers as well as the industrial service providers and the independent loss adjusters; the Networking Sub-Committee had planned to organize such regular gatherings either cocktail reception or luncheon talk series. In addition, the Society together with AMLA had jointly organize hi-tea talk series successfully and look forward to possibilities of publishing a Bulletin for both societies' members in the near future. The Society believes that these gathering sessions and bulletins will further enhance interaction between members and exchange of knowledge as well as dissemination of latest claims information.

NICS will also endeavour to enhance the professional image of claims personnel and will thus strive for better recognition. We must accept the fact that the most effective way of achieving this objective is to improve the skill and knowledge of claims personnel are 'knowledge workers' with the capability to handle any claims with zero error. Whilst, the industry can provide to the clients value-added claims services in term of quality service or from company perspective to prevent claims leakage.

With the formation of NICS, the Society has been able to enhance upon MII's role to educate claims examiners or claims personnel in a more structural manner. In October 1999, for the first time, MII conducted a four-day Loss-Adjusting and Claims Examining course, which is mandatory to the loss adjusters, by incorporating and expanding the course elements with insurance claims management and claims examining function syllabus. The course was also made available to claims examiners for the first time and 8 claims examiners, in total from insurance companies enrolled.

On 28 April 1999 and 29 April 1999, MII jointly organized a Regional Claims Seminar title "Adjusting Financial Losses and Insurance Recoveries" at Shangri-la Hotel with Chartered Institute of Loss Adjusters, United Kingdom (CILA) and the Association of Malaysian Loss Adjusters (AMLA). MII together with AMLA invited NICS to participate in the organizing of seminars in order to make the seminar contents more meaningful to reflect the needs and views of the insurance claims operations. With the platform of NICS, this marked the new era of co-operation with AMLA and MII in the conduct of claims seminars, which may effect the claims industry. Many claims managers attended the seminar and MII was kind enough to share the balance of the seminar of RM6,000 with NICS.

The second Regional Claims Seminar for the year 2000 is in the pipe-line, jointly organized by MII, CILA, AMLA and NICS. The Regional Seminar is to be held on 22 May 2000 and 23 May 2000 at the Palace of the Golden Horses Hotel. The title of the Seminar is "e-Loss Adjusting and Claims". The speakers are mainly sourced from the States, United Kingdom and Canada. The organizing Committee is hoping that NIAM member companies can each send their Claims Managers to participate in this existing seminar which will assist the claims managers to keep abreast on the current practices in the developed countries. At the same time to learn about the claims management tools available in the e-commerce environment.

In addition to working hand-in hand with MII, NICS also works with loss adjusters in combating motor insurance fraud. Together with few motor loss adjusters, NICS has developed a set of motor fraud indicators for the members to use as reference in their examining work or to train the new claims recruits. To create better awareness among members on the motor fraud and in conjunction with the launching of this fraud indicators; NICS has organized a ½ day Motor Theft and Fraud seminar for 150 members at the Auditorium of MNRB building. The speakers are from the Kuala Lumpur Police Head Quarter and Experienced Motor Adjusters.

Continuous effort will be taken the Education Sub-Committee to further enhance the education needs and to identify technical training for the members. We will work hand-in-hand with MII in the education requirement and with AMLA in the technical training needs.

The formation of this Society is only the beginning for better things to come. For the Society to become a truly effective tool for our members or to survive in the competitive environment, it will require our full support, involvement and concerted effort to ensure that our objectives are always maintained and enhanced.

The Society indeed needs full support and participation to survive and to prosper in this infancy stage.