central reinsurance corporation · percentage 21.92% 0.01% 59.98% 16.07% 2.02% 100% year 2016...
TRANSCRIPT
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Your reliable partner
Central Re
CENTRAL REINSURANCE
CORPORATION
July 10, 2017
中央再保險公司 Central Re 2
Disclaimer This document is provided by Central Reinsurance Corp. (the "Company"). Except for the
numbers and information included in the Company's financial statements, the information contained in this document has not been audited or reviewed by any accountant or independent expert. The Company makes no express or implied representations or warranties as to the fairness, accuracy, completeness, or correctness of such information or opinions. This document is provided as of the date herein and will not be updated to reflect any changes hereafter. The Company, its affiliates and their representatives do not accept any responsibility or liability for any damage caused by their negligence or any other reasons, nor do they accept responsibility or liability for any loss or damages arising from the use of this document or the information contained herein or anything related to this document.
This document may contain forward-looking statements, including but not limited to all statements that address activities, events or developments that the Company expects or anticipates to take place in the future based on the projections of the Company toward the future, and various factors and uncertainness beyond the Company's control. Therefore, the actual results may differ materially from those contained in the forward-looking statements.
This document is not and cannot be construed as an offer to purchase or sell securities or other financial products or solicitation of an offer.
This document may not be directly or indirectly reproduced, redistributed or forwarded to any other person and may not be published in whole or in part for any purpose.
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中央再保險公司 Central Re 3
Outline
Introduction
Performance Overview
Future Prospect
中央再保險公司 Central Re 4
Introduction
Historical Review
Basic Information
Business Overview
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中央再保險公司 Central Re 5
Historical Review
Time Company History
October 31, 1968 Central Re was established by the Ministry of Finance (MOF).
July , 2000 Central Re became publicly listed company.
July , 2002 Central Re completed its privatization process. Meanwhile, Evergreen Group is Central Re’s largest shareholder.
January 1, 2016 Central Re was approved to set up Offshore Insurance Unit (OIU) in September 2015 and started doing business on January 1, 2016.
中央再保險公司 Central Re
Paid up Capital:TWD 5.62 Billion
No. of Employee:129
Address:12F, 53, Sec. 2, Nanjing East Rd., Taipei, Taiwan
Credit Ratings:
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Basic Information
Rating Agency Rating Outlook A.M. Best A Stable
S&P A Stable Taiwan Ratings twAA+ Stable
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中央再保險公司 Central Re
Shareholders’ Structure
Market Share
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Basic Information
As of April 2, 2017
Structure Government Agencies
Financial Institutions
Other Juridical Person
Domestic Natural Persons
Foreign Institutions &
Natural Persons
Total
Percentage 21.92% 0.01% 59.98% 16.07% 2.02% 100%
Year 2016 P&C Insurance Life Insurance
Gross Prem. Written in Taiwan 1,459.6 31,333.6
Ceded Premium 466.1 187.2
Retro Share (%) 31.9 0.6
Central Re’s Premium 87.5 38.8
Market Share in Taiwan 18.8 20.8
Unit:TWD 100M;%
中央再保險公司 Central Re
Scope:Domestic and International P&C and Life Reinsurance.
Line of Business:
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Business Overview
P&C
Fire, Residential earthquake, Marine Hull, Marine Cargo, Aviation, Fishing Vessel, Automobile, Compulsory Automobile Liability, Engineering and Casualty Insurance
Life Life, PA and Health Insurance
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Business Overview
Domestic P&C 62% Domestic Life
28%
International P&C 9%
Internation Life 1%
, 1.32 B
, 0.09 B
8.75 B
2016 Premium Income
Domestic VS. International
3.88 B
Unit: TWD
中央再保險公司 Central Re
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Business Overview
26%
17%
16%
12%
10%
7%
5% 5%
2% Auto.
CompulsoryAutomobile LiabilityLife
Fire
Casualty
Health
Marine Related
PA
Engineering
2016 Premium
Income By Line of Business
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中央再保險公司 Central Re 11
Outline
Introduction
Performance Overview
Future Prospect
中央再保險公司 Central Re 12
Performance Overview Unit:TWD 100M
* Underwriting profit excludes Compulsory Automobile Liability Insurance (CALI) and Operating Expense.
8.7
7.7 7.7
4.6 4.2
1.7
9.6 9.1
10.6
0
2
4
6
8
10
12
2014 2015 2016
Net Income Investment Income Underwriting Profit*
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中央再保險公司 Central Re
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Gross Premium Written
0
50
100
150
200
2012 2013 2014 2015 2016
Domestic International
156 163 142
140 144
Unit:TWD 100M
中央再保險公司 Central Re
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Capital Structure
* Equalization Reserve excludes CALI.
0
20
40
60
80
100
120
140
2012 2013 2014 2015 2016
Capital Surplus, Retained Earnings & Other Equity Interest Equalization Reserve* Paid-up Capital
118.1 122.3 121.2 122.7
107.7
Unit:TWD 100M
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中央再保險公司 Central Re 15
Total Assets
321
329
340
333 336
300
310
320
330
340
350
2012 2013 2014 2015 2016
Unit:TWD 100M
中央再保險公司 Central Re 16
Asset Allocation
2016/12/31
Cash & Cash Equivalents
Equity & Fund
Fixed Income
159 45 91
Fixed Income 30.8%
Cash & Cash Equivalents 53.9%
Equity & Fund 15.3% Unit:TWD 100M
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中央再保險公司 Central Re
2012 2013 2014 2015 2016
Combined Ratio* (%)
97.5 92.9 93.6 91.9 90.1
ROA (%) 2.16 2.25 2.60 2.28 2.29
ROE (%) 8.98 8.60 9.42 8.14 8.13
Net Profit Margin (%)
4.73 4.76 5.35 5.44 5.70
EPS (TWD) 1.21 1.30 1.55 1.36 1.36
17 * Combined Ratio excludes CALI and Operating Expense.
Profitability Analysis
中央再保險公司 Central Re
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Dividend Policy
Year 2013 2014 2015 2016 2017
Cash Dividends
0.5 1.2 1.2 0.7 0.5
Stock Dividends
0.2 0 0 0 0
Under the Company's Articles of Incorporation, the current year's earnings, if any, shall first be used to pay all taxes and offset prior years’ operating losses and then 20% of the remaining amount shall be set aside as legal reserve. Afterwards, the Company shall recognize or reverse special reserve in accordance with regulations, and accumulated unappropriated earnings of the prior period. Appropriation of the remainder shall be proposed by the Board of Directors and resolved by the stockholders.
The Company’s dividends are distributed in the form of cash dividends and stock dividends in a coordinated way, among which, the cash dividends shall account for at least 50% of the total dividends distributed.
Past 5 years:
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中央再保險公司 Central Re 19
Outline
Introduction
Future Prospect
Performance Overview
中央再保險公司 Central Re
Sole domestic commercial reinsurer in Taiwan’s reinsurance market
Stable and positive underwriting results
Strong risk-adjusted capitalization
A.M. Best
Strong market position
Diversified premium streams from P/C and life reinsurance businesses
Very strong capital and earnings
Diversified and prudent investment portfolio
Adequate enterprise risk management with strong risk controls
Strong liquidity profile
S&P
Future Prospect
Competitive
Advantage
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中央再保險公司 Central Re
Implement good corporate governance
Enhance compliance
Devote to talent development
Strengthen risk Management
Fulfill corporate social responsibilities
Future Prospect
Business Strategies
中央再保險公司 Central Re 22
Future Prospect Domestic Business
Focus on better customer service
Actively participate in new business development
International business
Keep prudent underwriting strategy(Focus on bottom line more than top line)
Increase direct business and Fac. business
Investment Business Control portfolio risk to enhance assets quality and investment efficiency