First of all, on my own behalf as well as on behalf of Eastern Insurance Company Ltd. I take the opportunity with utmost pleasure to welcome you all here attending this 34th Annual General Meeting through a new device which is first of its kind in the history of the company, i.e. via Virtual Zoom system due to the ongoing Pandemic Covid-19 worldwide. I would like to express my deep condolence to all share holders, clients and members of the company who have departed from us since last AGM, specially I must utter with heavy heart the name of our beloved colleague Khairul Alam, SVP (Est. & Admin) who is no more today with us . Had he been alive, he would have been in the main role of today’s activities like all other previous years. May Allah grant him including all others eternal peace.
Dear brothers & sisters,
Eastern Insurance Company can proudly pronounce that in spite of tough & huge competition in the Insurance sector, our/your company has been persistently striving to achieve its highest value for the shareholders since its emancipation in 1985, As a result, the company could develop a superior corporate culture and governance within itself thus balancing out growth, profitability and risk to maximize intrinsic for the business. So in continuation of the previous sequence, this year the Company was also able to earn gross premium of Tk.48.14 crore against Tk.46.08 crore of the previous year which is an increase of 4%. On the other hand, the company could prove its worthiness in registering growth in its underwriting profit including net profit also. It is mentioned here that at the end of 2019 there was an impressive increase of 9% in underwriting profit to Tk.9.54 crore as against to Tk. 8.77 crore in 2018 and investment income in 2019 also increased by 7% to Tk13.03 crore as opposed to Tk.12.14 crore in the previous year i.e. 2018.
You all know that, Eastern Insurance Company Ltd. has a subsidiary Company named “EIC Securities Ltd.” which has been carrying out share trading business as stock broker and stock dealer. EIC Securities Ltd. has been operating its business under Chittagong Stock Exchange Ltd. The Financial statement and brief of business operations of this company is also attached with this Annual Report.
I am happy to announce that the Board of Directors of Eastern Insurance Company Ltd. recommended 20% cash Dividend for the year 2019 subject to the approval of Shareholders in the AGM. This declaration has been made on the basis of assessing company’s revenue, cash flow, financial condition, capital requirement, current year profitability, liability position, Reserve, Dividend consistency, future expansion plan etc.
You will also be happy to learn that Eastern Insurance Company has been awarded the rating of “AA+” by Argus Credit Rating Services Limited (ACRSL) on the basis of our financial statements ended on 31st December, 2018 which indicates high claims paying ability, good financial performance and sound solvency position of the Company.
Another prestigious International Award has been added in our golden basket in 2019 which is known as “Emerging Asia Insurance Award” organized by Indian Chamber of Commerce held in Bangkok, Thailand. On behalf of our Company, the CEO attended the ceremony there and already received the certificate of Excellence and the Souvenir / Medal as well.
Ladies & Gentlemen,
The interest of the Shareholders and customers is of Supreme concern to our Board and Management as well. We always endeavor our utmost effort to render the best possible services to our clients and try our level best to give them no cause for complaint relating to claims settlement or otherwise. In the same way, we give priority to both business ethics and profit generation as one is complementary to the other. By observing business ethics to the highest extent possible, we ensure due margin of profit so as to pay dividend to the shareholders after having paid to the public exchequer and to build up free reserves for the purpose of enhancing the financial strength of our company.
Dear Esteemed Clients,
The Board has taken many steps to coop-up with the increasing demand of the global and domestic business arena including adoption of digitalization and penetration to new avenues of Insurance segments so that we can meet and realize the challenges of vision 2021” declared by Bangladesh Govt. If these action plans can be materialized properly, there will be increase of premium as well as profit and retention. I do hope, our efficient and experienced Management team will be able to implement our vision, mission and objectives through their prudence and sincerity amidst all barriers to come.
In closing, I would like to offer my sincere thanks and appreciations to all valued Shareholders, clients, dedicated Management team including the committed staff members and my colleagues in the Board for their continuous support and sincere co-operation. I am also thankful to IDRA, BIA, BSEC, DSE, and CSE for their advice, guidance and strong regulation policies to develop this vast Industry.