MONTHLY REPORT DECEMBER, 2008

POLICY ADMIN

JESSIE CHOU

→

UW5 → 6Service Center

HCMCHANOI7 → 15

POLICY ADMIN 17 → 35

PREM.2 → 8

Claim1 → 2

POS1 → 2

CS1 → 2

Set up all procedures

Complete all manuals (AG/ staff/ PC)

Test all system functions

Check new product relative provisions

POLICY ADMIN REVIEW OF 2008

UW

CS

PREM

POS

CLAIM

Support & Check

Service Center Agency Unit

INCONVENIENT ISSUE

company

Time(min)

Check app.

Key inCollect money

Cathay VN 10 yes Yes (100%) yes

Cathay CN 5 yes Yes (100%) yes

Prudential 5 yes Yes (20%) yes

Manulife 2 no no yes

AIG 2 no no yes

ACE 2 yes no no (bank)

Time receiving for 1 application form at Service Center

Speed is a crucial factor of service quality. SC will try to reduce the time of receiving app.

SC ACTION PLANS OF 2009

•Cathay product •System •Communication skill

Continuously train CS

• Da nang ( March )• Can Tho

Set up new service centers

NEW BUSINESS IN 2008Company Cathay

VN Manulife Cathay CN

CathayTW

Received 1,966 100% － － －

Issued 1,841 93.6% － － －Decline & Postpone 55 2.8% 3% 1 % 2.7 %

Cancel & closed 59 3.0% － － －

pending 11 0.6% － － －

◎Base on the material of the received cases form 4/7/2008~30/11/2008

Company CathayVN

Prudential

Manulife

Cathay CN

Cathay

TW

Incomplete 450 23%4%

8% 15 % 3 %

Medical Exam 180 9% 12% 2 % 7-9 %

UW DIFFICULTIES IN 2008

High Incomplete

Ratio

High Medical Exam Ratio Low

Confirmation Slip Return Ratio

Half of them are over 5 days

UW ACTION PLAN OF 2009

Reduce incomplete ratio

• Improve agent skill of filling application form• Review and modify application form

Reduce medical exam ratio

• Enhance u/w capability• ME cases periodical analysis will be conducted

Increase confirmation slip return ratio

• Modify confirmation slip management, commission deducted if overdue (＞ 21 days)

PREMIUM REVIEW OF 2008

TIA checking• TIA checking

to avoid premium encroached

• HCMC: 87 % HN: 38%

Collector System • Home service

for premium collection

• Avoid AG hiding customer’s information

Premium Promotion• Start to utilize

incentive to enhance premium efficiency

Checking ratio still need to increase

PREMIUM COLLECTION EFFICIENCY OF 2008

companyCathay VN(average of Sep.~ Nov.)

Manulife Daichi CathayCN

Cathay TW

Efficiency 64 %50~ 55

%56 %

55~ 65 %

94 %

Average of monthly result:

UnitReceivable Collected

EfficiencyCase Pre Case Pre

Total 195 170,151 156138,65

481 %

Period : form Sep to Nov.

Prem. Unit: 1,000VND

Quarterly efficient result:

PREMIUM UNPAID REASON ANALYSISBase on the call out material of 116 receivable cases in HCM on

Nov. Unpaid Reason Percentage

NO.1CUSTOMER WANT TO USE GRACE PERIOD (16/116)

14%

NO.2Customer want to give up their contract(15/116)

13%

NO.3Cannot contact (11/116)

11%

Total (44/116) 38%How to encourage clients to pay

on time ?

PREMIUM ACTION PLAN OF 2009

• Cash at bank counter• Bank transfer• Direct debit• ATM

Payment Channel

Extension

• Correct address and telephone .

• Set up effective incentives for early payment

Premium Collection Promotion

•Implement TIA checking , tracking to each AS ,to increase checking ratio.

Document Management

POS CANCEL POLICY IN 2008

Company Cathay VN

Prudential Dai-chi Cathay

CNCathay

TW

Ratio 3.91 %(77/196

6)1.15 % 3.00 % 1.80 % 2.00 %

Change Frequency / Term /

SA in free look

Financial condition Personal reasons

32 1.62 % 32 1.62 % 13 0.66 %

Cancel ratio

Cancel reason analysis

◎Base on the material of the cancel cases form 4/7/2008~30/11/2008

POS ACTION PLAN OF 2009

• Set up SOP for advising cancel and surrender cases

• Increase the ratio of reinstatement for lapsed policy

Maintain in-force policy

• Make the periodical survey of insurance company ( permit for policy change in free look period )

DO POS fit in market

•Develop signature image system

POS reality check

CS CONFIRMATION CALL RESULT

Wrong number8% No answer

2%

Can not contact

11%

Implement-ing5%

Succesful73%

CS CALL OUT RESULT

QUESTIONNAIRESFrom 31 Oct to 09 Dec 2008

Yes No

1. CLIENT SELF-SIGN IN THE APPLICATION FORM

94 1

97.92% 1.04%

2. EXPLANATION ON EXCLUSION 93 2

96.88% 2.08%

3. NEEDED DECLARATION WHEN FILLING IN THE APP FORM

94 1

97.92% 1.04%

4. EXPLANATION ON FREELOOK PERIOD

82

85.42%

5. CORRECTION OF CURRENT ADDRESS

92 3

95.83% 3.13%

6. SATISFACTION WITH AGENT’S SERVICE

95 0

98.96% 0.00%

1313.54%

CS STRENGTH & WEAKNESS

STRENGTH WEAKNESS

Contact to client actively

Check Client’s Policy

Understand-ing

Check Telephone/Addr

ess

Only randomly call 20% confirmation letter cases

Lack of Agency Compliance

CS ACTION PLAN OF 2009

Carry out 100% confirmation call

Set up customer complaint procedure

Add Policy Added Value to client

Periodical survey on customer satisfaction

CONTINUE INCREASING CUSTOMER’S SATISFACTION

CLAIM REVIEW OF 2008

Hanoi

Da Nang

Can Tho

Ho Chi Minh

HAI PHOUNG

Sign contract with hospitals in South : 15 hospitals North : 15 hospitals

Ratio(%) Early claim (< 2 years)

Over 2 years

event occurred

Declineevent occurred

Decline

Prudential 1.36 53.1 2.25 28.5

Manulife 1.29 52.5 2.15 21.7

Daiichi 1.41 51.8 2.40 34.5

ACE life 1.16 50.1 1.96 25.7

SURVEY ABOUT DEATH CLAIM RATIO

company

RESEARCH OF CLAIM DECLINE REASON

NO.1 Non-disclosure

NO.2 Exclusion provision•Suicide within 2 years•AIDS•Drugs abuse

NO.3 Pre-existing conditionNO.4 Insured event occurred in

lapsed period

Building Hospital Investigation Network

Claim service enhancement

Training investigation skill for SC

expand to sign contract with 20 investigation hospitals each

quarter

CLAIM ACTION PLAN OF 2009

POLICY ADMIN TARGET & STRATEGY OF 2009

Better ServiceMaking a difference

CARE

speed

ACCURACY