PVIRe held preliminary conference for the first 9 months and deployed plan for the last 3 months of 2015

On 12th October 2015, PVI Reinsurance Joint Stock Corporation (PVIRe) successfully held the preliminary conference to review its performance during the first nine months of year 2015 and set out plan for the last three months of 2015.

First 9-month 2015 Conference and deployed of plan for the 4th Quarter of 2015

In the event, PVIRe was honored to welcome the presence of Leaders from PVI Holdings, PVI Insurance Corporation and other associated companies.
Global reinsurance capital resource in the first 9 months of year 2015 is forecasted to decrease slightly in comparison with late 2014. M&A activities continuously play a key role in year 2015 with 461 transactions and total value up to USD 73.3 billion (an increase of 336% compared to the same period in 2014). As of September 2015, the proportion of catastrophe losses remained lower than the average loss rate of 10 years (2005-2014) with estimated loss amount of USD 16 billion (equal to 26% in comparison with the average loss rate in recent 10 years), and the main cause was primarily due to thunderstorms. Catastrophe losses are less than previous year, but fire losses tend to increase: Tianjin blast, loss at power plant and oil refinery.

In Vietnamese market, the domestic gross product (GDP) in the first 9 months of 2015 increased by estimated 6.50% compared with the same period of year 2014, in which the first quarter rose 6.12%; the second quarter rose 6.47%; the third quarter increased by 6.81%. Average core inflation rate in the first 9 months of 2015 went up by 2.15% in comparison with that of the same period in 2014. The consumer price index (CPI) fell 0.21% compared to last month. This was the only juncture in recent 10 years CPI has decreased. The revenue from non-life insurance premium is estimated at VND 23,147 billion (an increase of 14% compared to the same period in 2014). The actual claim ratio of the first 9 months in 2015 increased compared to last year (the ratio of first 9 months of 2015 is calculated at 44%, while such ratio was 36% as at the same period in 2014). In addition, Ministry of Finance proposed some new regulations on insurance and reinsurance, such as: Maximum retention ratio, fronting, actuary, co-insurance and reinsurer standards (domestic and foreign). The State Bank of Vietnam adjusted a 3.0% increase of VND/USD exchange rate.

At the end of first 9 months in 2015, thanks to the excellent management and the effort of all staffs, PVIRe continues to achieve positive results of most business indicators. Total revenue rounded up nearly VND 1,506 billion achieving 114% of the plan. In particular, VND 1,252 billion belonged to reinsurance revenue completing 111% compared to the plan.

Mr. Bui Van Thuan – CEO of PVI Holdings delivered a speech at the meeting

At the meeting, some oustanding issues as well as key performance indicators were clarified, discussed and analyzed closely for the first nine months of 2015. Particularly, after operating under corporate governance model and organizational structure since late August 2015, representatives from different divisions and departments had presentation about achievement and improvement in business activity in order to get the best result, concurrently pointed out some business solutions to address current problems and enhance efficiency to accomplish successfully target plan for the year 2015. Besides, CEO of PVI Holdings also delivered the speech with comments on PVIRe’s business results in first nine months of 2015 and recommended direction for the major tasks of the company in the last quarter 2015.
Heading towards the last three months of year 2015, PVIRe commit to grow on the current strong foundation, improve some remaining limitations and strive further to fulfill the targets for the whole 2015, which ultimately contribute to the achievement of PVI Holdings.

Source: PVI Reinsurance