Extracts from the address of the Chairperson

Pn Rosliza Yusof,

at the 6th Annual General Meeting on 29th March 2005

Since our inauguration 7 years ago by YM Tunku Ya'acob bin Tunku Abdullah, the Chairman of National Insurance Association of Malaysia (NIAM) then, NICS has successfully carried out several activities that have proven beneficial to the members.

The motivating factor for the formation of this Society was the need of a forum for claims managers and claims examiners in the industry to meet and exchange views concerning claims Management and other related matters such as fraud and claims leakages. NICS is also intended as a platform for members to interact and network effectively.

The Society had carried out during the eventful 2004 term:

In March 2004, NICS have organized a half-day Education Trip to Perodua Car Assembly Plant at Serendah. About 40 participants from the industry attended the trip.

In addition, NICS have also organized two (2) training programmes last year for Claims Examiners and Executives, firstly being the seminar in June on Customer Service Skills that was attended by 30 participants. Secondly, a seminar in July on Combating Insurance Fraud attended by 36 participants.

Further to the above, in September 2004, about 20 participants from higher Claims Managerial levels attended the seminar in Bali on Insurance Claims Benchmarking Workshop.

The Executive Committee had a successful Brainstorming session in October 2004 on Bodily Injury Claims attended by Kurnia Insurans (M) Bhd, Allianz General Bhd, Malaysian Motor Insurance Pool (MMIP), Malaysian Assurance Alliance, Uni Asia, MNI, Pacific & Orient Insurance Bhd, AmAssurance, MNRB, Tahan and few others. The Committee is in the midst of seeking further legal opinion and advice on several issues raised during the session held for the benefit of the industry from legal practitioners.

On top of it all, NICS is particularly proud of being chosen by PIAM and its Chairman Mr Lim Chia Fook to become its co-representative in a Joint Working Committee on Insurance Fraud that was initiated by Bank Negara Malaysia. Three Exco members and I were on the committee list together with representatives from Bank Negara Malaysia, PIAM, LIAM and Takaful operators.

During the tender age of this committee' establishment, we have managed to build a good rapport with the authority in Bukit Aman. With their vast experience, information and cooperation, the Soceity believed that it would be able to combat fraud claims in a more effective manner in the near future through our discussions, implementation and information exchange.

The EXCO also felt the necessity of NICS to publish a Newsletter at least on a yearly basis to extensively highlight all the activities carried out by the Society. First Newsletter was launched in October during the Cocktail Reception held at KL Hilton.

The Executive Committee of NICS were also very pleased with the warm welcome extended to our delegation by the Pengarah of Wangsa Maju JPJ and his team during the half day official visit to their office recently. EXCO had the privilege of understanding their role, set up plus other relevant information and highlights on JPJ functions during the briefing conducted by the Pengarah.

The EXCO also had the chance of introducing the Society and the role besides explaining our interest in working hand in hand with JPJ on insurance claims for the benefit of the industry as a whole. Amongst other matters discussed were in relation to Constructive Total Loss Claims settlement by Insurers. The EXCO will be pursuing the matter further with the Technical Division of JPJ in Putrajaya in the near future.

This Society was formed with noble intentions. However, for it to be truly effective, it requires support and involvement from the members. Hope that the new office bearers who are to be elected will continue to work hard and emphasize carrying out the task in fulfilling all the objectives of the Society.

With the advent of globalization, the development of a professional and highly competent claims management in the industry is of paramount importance. Claims being the major cost component of operations should never be underestimated or under regarded.

ROSLIZA YUSOFF, CHAIRMAN (NICS)

29th March 2005