The President’s Report 2003

Isang Taon na Tayo at Patuloy Isang Taon na Tayo at Patuloy pang Lumalakas!pang Lumalakas!

Introduction

Report on the State of the PAKISAMA Mutual 2002-2003

By Oscar M. Castillo, President

Report Outline

1. Membership Build-up2. Basic Marketing Strategy: Kadamays

and POs3. Marketing and Administrative Support4. Committed Leadership for a Young

Mutual5. BOT Decisions6. International Recognition

1st Convention, Aug. 17, 2002 held at the ISO, Ateneo University

In the beginning…

Mr. Gerard Pierik, VP-Interpolis awarding Plaque of Friendship to Oscar Castillo and Ananias Loza, Presidents of PMBA & PAKISAMA respectively.

Membership Build-UpTable 1: Membership Status (as of July, 2003)

Region Membership/ Policyholder

s

Rank Gross Membership Premium

(Pesos)

Rank

Metro Manila/ North Luzon

103 4 170,000 3

South Luzon 319 2 262,320 2

Visayas 167 3 115,680 4

Mindanao 438 1 266,400 1

Total 1,027   815,100  

Membership Build-UpTable 2: List of PMBA Chapters (as of July 31, 2003)

LUZON:1.       AGRIZKAYA – DCDC Nueva Viscaya2.       LAFF Quezon3.       MAGSAKA-CA Camarines Sur4.       MMPC Quezon5.       NAGKASAMA Batangas6.       SAMBA Rizal7.       SANDIGAN Sorsogon8.       SUMAPI Laguna9.       SIMPCI Quezon10.     TODA – D3 Laguna Laguna11.     TODA - D4 Laguna Laguna12.     PAKISAMA – Manila Manila13.     PIFACOCO Quezon

Membership Build-UpTable 2: List of PMBA Chapters (as of July 31, 2003)

VISAYAS:1.       ABRAC Capiz2.       ALAMKA Cebu3.       BUKLOD – Aklanon Aklan4.       KAMPI Ilo - Ilo5.       NOFEAR Negros Oriental6.       WAB Northern Samar MINDANAO:1.       BAHA-MPC Bukidnon2.       CVFPMPC Lanao del Sur3.       DCIC Zamboanga Norte4.       KAMSICO Bukidnon5.       KETSCAP Bukidnon6.       LARBMPC Bukidnon7.       NAGMMATABA Zamboanga Sibugay8.       PALAMBU Bukidnon

Basic Marketing Strategy1. Partnership w/ KadamaysTable 2: Number of Kadamays (Agents)

Region As of November

2002

Rank As of July 2003

Rank

Metro Manila/ North Luzon

 3  4 50 2

South Luzon  4  3 16 4

Visayas  8  1 45 3

Mindanao  7  2 55 1

Total 22   166  

Basic Marketing Strategy2. Partnership w/ POs

Kadamay

Chapter Area Policies

Rank GMP(Pesos)

Rank

Gregoria Vargas

NAGMMATABA

ZamboangaSibuguey

180 1 111,780 2

Renato Gloriane

SANDIGAN Sorsogon 158 2 126,480 1

Lolita Benesisto

WAB Northern Samar

53 3 37,200 3

Crispin Aguelo

BUKLOD-AKLANON

Aklan 51 4 31,320 5

Allan Cosrojas

BIC Bukidnon 48 5  31,860 4

Table 3: Top 5 Kadamay Producers for 2002 - 2003

Top Producers 2002-2003

From left to right: Renato Gloriane of SANDIGAN, Lolita Benesisto of WAB, Gregoria Vargas of NAGMMATABA, the Best Kadamay Awardee & Cris Batunghinog , President of NAGMMATABA as Best PO Producer.

Basic Marketing Strategy3. Product Launching

PO Chapter/Cluster Date Pax

LUZON1) LAFF (Quezon) July 4, 2003 482) TODA (District 3 & 4 of Laguna) June 30, 2003 283) NAGKASAMA (Batangas) April 24, 2003 524) SANDIGAN (Sorsogon) May 7, 2003 725) AGRIZKAYA–DCDC (Nueva Viscaya) December 18, 2002 50 6) SAMBA (Rizal) July 13, 2003 30

VISAYAS1) FAMPC / BUKLOD – Aklanon (Aklan) February 3, 2003 402) NOFEAR (Negros Oriental) February 15, 2003 263) ALAMKA (Cebu) June 15, 2003 284) PAKISAMA Visayas December 16, 2002 365) WAB (Northern Samar) May 25, 2003 28

MINDANAO1) BAHA – MPC (Bukidnon) February 28, 2003 842) DCIC (Dapitan, Zamboanga Norte) March 03, 2003 683) NAGMMATABA (Alicia, Zamboanga) March 06, 2003 1034) KAMSICO (Valencia, Bukidnon) March 12, 2003 505) CVFPMPC (Wao, Lanao del Sur) April 28, 2003 536) KETSCAP (Impasug-ong, Bukidnon) June 4, 2003 36

Mr. Castillo giving an inspirational talk in the PMBA launching in Kalibo, Aklan sponsored by the Buklod, February 3, 2003

Basic Marketing Strategy3. Product Launching

Mr. Pierik and Mr. Rik Delnoye of Agriterra as guests at the PMBA launching of the Buklod, together with Buklod President and PMBA Board Member Mr. Max Salavante

Basic Marketing Strategy3. Product Launching

Basic Marketing Strategy4. Kadamay Training (As of July 30, 2003)

Province Date No. of POs Pax

LUZON

1) MManila – Pollock Center March 21, 2003 2 17

2) Sorsogon June 18, 2003 12 12

3) San Pablo, Laguna June 30, 2003 3 30

MINDANAO

1) Bukidnon May 15, 2003 12 27

2) Zamboanga Sibugay July 12, 2003 4 21

VISAYAS

1) Western Visayas April 11, 2003 10 10

2) Northern Samar May 24, 2003 9 14

3) Cebu June 14, 2003 9 13

NATIONAL

1) PMBA Training-Workshop Nov. 4-6, 2002 20 31

Marketing Support: Various Media Posters

Marketing Support: Various Media Brochures

Marketing Support: Incentives, Contests & Awards

Cell phone incentive: for Kadamays in order to facilitate faster communication w/ each other & w/ head office

Huling Hirit sa 2003, Patalbugan sa 2004: aimed at increasing production

Kadamay Mo, Kadamay Ko: encourage policyholders to pay on annual mode and choose higher value plans

Marketing Support: Various Media PMBA Website: http://pakisamamutual.tripod.com/pksm

Marketing Support: MIS, Offices & Collection Bank

OASE software: generate certificates, monitor premiums, claims, other financial statistics

Offices: Quezon City, Nueva Vizcaya, Sn Pablo City, Iloilo City & Malaybalay City

Land Bank as premium depository

Committed Leadership BOT members facilitated participation of their local POs Satisfactory participation in BOT meetings No. of BOT mtgs: 4

1. August 17, 2002; ISO, Ateneo de Manila University2. November 7, 2002; ISO, Ateneo de Manila University3. January 28, 2003; ISO, Ateneo de Manila University4. July 8, 2003; PCED Hostel, UP Diliman, Quezon City

Important BOT Decisions

Approval of the Definition of “Hospitalization”9-2003

Approval of the 2003 Projected Income and Budget.

7-2003

Adding the following provision in the membership agreement: “after three years of continuous membership and the member resigns, he/she is entitled to 50% of his/her total contribution.”

6-2003

Creation of Board Committees5-2002

On the issue of length of residency of a member to be qualified for a Member’s Account

3-2002

On the issue of 2-year Contestability Period 2-2002

PMBA BOT Election of Officers1-2002

Title/ContentResolution No.

Approval of the strategy of offering the product to small or micro-entrepreneurs w/ small number of employees, incl. drivers & transport operators associations

15-2003

Approval of holding of regular Kadamay Cluster Meetings

14-2003

Approval of Quarterly Regional Mtgs of Kadamay to be charged to the Kadamay trng fund w/ preconditions.

13-2003

Approval in principle of the Standards for a Kadamay, CIC, BIC in Good Standing

12-2003

Adoption of the audited 2002 Financial Report.

11-2003

Approval of modified 2003 Budget as per consultation w/ Partners

10-2003

Important BOT Decisions

On the issue of the one-month grace period prior to coverage upon issuance of membership policy.

21-2003

On the issue of acceptability of photocopied documents as basis for claims.

20-2003

On the issue of conflicting reports between Kadamay and the police.

19-2003

On the issue of “hunting” as means of livelihood & its insurability

18-2003

On the issue of “double compensation” for the insured (i.e. both parents insured with same child as beneficiary)

17-2003

Refinement of definition of “Disability.”16-2003

Important BOT Decisions

On the venue, date and mechanics of participation to the 2nd Annual Convention

26-2003

Decision on the further development of an incentive package for the Kadamays.

25-2003

Budget realignment of Kadamay Training & Cellphone Incentive fund.

24-2003

On the development of new insurance products

23-2003

On the need for an operational interpretation of a separate agreement for children.

22-2003

Important BOT Decisions

International Recognition Nominated as one of “Best Partnerships for the Year 2003”

by the Agriterra during it’s 5th Anniversary Celebration in Arnhem, Netherlands.

Happy Anniversary at Happy Anniversary at Mabuhay Kayong Mabuhay Kayong

Lahat!Lahat!