KAR1lNl A8L MANAl

NOR SAKlNAH A8L

LANlCH
NORHAlZUM SAHRlL
S 1v beLween MAA Crou 8erhud, formerly known us
MAA Holdlngs 8erhud und SolldurlLy Comuny 8SC (C)
of 8uhruln
S On z Muy z6, MAA 1ukuful wus lncororuLed wlLh u
uld u culLul of RM mllllon und llcensed on 1uly
z, us u comoslLe1ukuful OeruLor.
S MAAC ls llsLed on Lhe Muln 8ourd of 8ursu Muluyslu
SecurlLles 8erhud.
S MAAC hus exunded lLs oeruLlons lnLo lndoneslu und
Lhe Phllllnes Lhrough MAA lnLernuLlonul Assurunce
LLd, Lhe offshore lnsurunce urmof Lhe Crou.
S vlSlON
1o be Lhe leudlng 1ukuful Provlder for ull Muluysluns,
dlfferenLluLed by belng lnnovuLlve, guurunLeelng
suerlor cusLomer exerlence und eurnlng Lhe LrusL of ull
our sLukeholders.
S MlSSlON
1o enrlch Lhe llves of our cllenLs Lhrough 1ukuful
SoluLlons LhuL rovlde euce of mlnd und solld flnunclul
securlLy.
- 1akafullnk 1akafullnk LducaLlon 1akafullnk Pa[[
1akafullnk WanlLa 1akafullnk Serles SmarLMedlc
100 CancerCare 1akaful Slngle lnvesLmenL
SLrucLured lnvesLmenL
lamlly
- llre ersonal AccldenL ConsequenLlal Loss
8urglary All 8lsk ubllc LlablllLy Money Marlne
Cargo laLe Class lldellLy CuaranLee
Ceneral
- Croup 1erm 1akaful Croup CrlLlcal lan Croup
1akaful Scheme
Croup
- MorLgage roLecLlon lan
8ancaLakaful
S Alm Lo become un lnvesLmenL house
S MAAs new core buslness would be usseL
munugemenL
S Look uL buylng und selllng comunles ln Lhe
fuLure -- buylng cheu, selllng exenslve ln
order Lo muke qulck roflL.
SUM
INSUkLD
(kM)
ANNUAL
INCCML
(kM)
AGL CCCUA1ICN
kISk
kLMIUM
AMLN1
(kM)
CCVLkAGL
LkICD
S A k V
000000 1800000 48 0000 3
3000000 1800000 1 0000 38
3300000 000000 3 1 90000 33
3000000 00000 1 0000 34
000000 300000 8 1 10000 3
000000 3000000 3 1 00000 44
8000000 000000 8 1 43000 3
8300000 3000000 8 1 130000 3
10000000 3000000 8 1 180000 3
1000000 300000 8 1 40000 3
0000000 3000000 8 400000 3
1300000 000000 9 1 30000 3
Dependent Variable: S
Method: Least Squares
Date: 10/27/11 Time: 17:38
Sample: 1 12
ncluded observations: 12
Variable Coefficient Std. Error t-Statistic Prob.
Y 1.074561 0.439170 2.446798 0.0500
A -3891.089 1571.364 -2.476249 0.0480
R 29228.11 20414.71 1.431718 0.2022
P 32.23730 6.880763 4.685135 0.0034
V -1727.132 900.4597 -1.918056 0.1035
C 161263.8 81709.83 1.973616 0.0959
R-squared 0.959458 Mean dependent var 88750.00
Adjusted R-squared 0.925672 S.D. dependent var 62708.74
S.E. of regression 17096.33 Akaike info criterion 22.63797
Sum squared resid 1.75E+09 Schwarz criterion 22.88042
Log likelihood -129.8278 F-statistic 28.39873
Durbin-Watson stat 1.421760 Prob(F-statistic) 0.000418
Rz ruLlo meusures Lhe roorLlon of Lhe vurluLlon ln sum lnsured LhuL ls exlulned by Lhe
regresslon llne (lndeendenL vurlubles whlch ure Lhe unnuul lncome, uge, occuuLlon rlsk
level, remlum uymenL und coveruge erlod). Slnce lL ls close Lo %, lL ls uble Lo
exluln Lhe lndeendenL vurlubles.
z.,% of Lhe LoLul flucLuuLlon ln resonses cun be exlulned by dlfference ln unnuul
lncome, uge, occuuLlon rlsk level, remlum uymenL und coveruge erlod ufLer
ud|usLlng for Lhe number of exlunuLory vurlubles und sumle slze.
A meusure of dlserslon of Lhe duLu olnLs of Lhe llne besL flL regresslon. 1he smuller
lL ls, Lhe closer Lhe regresslon duLu olnL ls Lo Lhe regresslon llne. Slnce our observed
vulues ure fulrly lurge, lL meuns Lhe redlcLlon error ls lurge.
8ecuuse Lhere were z observuLlons ln Lhe sumle used Lo comuLe Lhe regresslon
equuLlon, Lhe sumle sLuLlsLlc wlll huve u L-dlsLrlbuLlon wlLh , degrees of freedom.
lromLhe L-dlsLrlbuLlon Luble, we obLuln u vulue of z.6.
u) Annuul lncome, Y = z.6, > z.6 (slgnlflcunL reluLlonshl)
b) Age, A = z.,6z > z.6 (slgnlflcunL reluLlonshl)
c) OccuuLlon rlsk, R = ., < z.6 (no slgnlflcunL reluLlonshl)
d) Premlum PuymenL, P = .6 > z.6 (slgnlflcunL reluLlonshl)
e) Coveruge erlod, v = .6 < z.6 (no slgnlflcunL reluLlonshl)
Slnce l-vulue ls z.,, greuLer Lhun l-crlLlcul, 6.z6, Lherefore, we re|ecL Lhe null
hyoLhesls und concluded LhuL Lhe lndeendenL vurlubles ure useful ln exlulnlng
Sumlnsured wlLh ( - .) = .z ercenL confldence.
Slnce Lhe Lurbln WuLson SLuL ls less Lhun ., Lhere ls u subsLunLlul uuLocorreluLlon.
1hls muy due Lo oLher vurlubles omlLLed from our conslderuLlon when runnlng Lhe
duLu. lor exumle, number of fumlly member und Lhelr neL lncome. We ure sure
LhuL, glven umle Llme we muy huve beLLer LesL resulL.
lor exumle, suose we ure lnLeresLed ln esLlmuLlng sum lnsured where unnuul lncome ls
RM6, (l.e., Y= 6,), uge ls yeurs old (l.e., A= ), occuuLlon rlsk ls z (l.e., R= z),
coveruge erlod covered yeurs(l.e., v= ), und Lhe remlum uymenL ls RM, (l.e., P=
,),
S = 6z6. .,6Y .A zzz.R z.z,P ,z,.zv
S = 6z6. .,6(6) .() zzz.(z) z.z,() ,z,.z()
= 6z6. 6,,.66 6,,z.6, ,6.zz z,z,. 6,6.6
= RM ,.,
) lor Annuul lncome
- 1he sloe of .,6 meuns LhuL for euch lncreuse ln lncome we redlcL Lhe uveruge of sum lnsured
Lo lncreuse by .,6 unlLs holdlng Lhe oLher four vurlubles consLunL.
- An lncreuse of RM ln lncome, Lhe sum lnsured ls redlcLed Lo lncreuse by RM .,.
z) lor Age
- 1he sloe of -. meuns LhuL for euch lncreuse ln uge we redlcL Lhe uveruge of sum lnsured Lo
decreuse by . unlLs holdlng Lhe oLher four vurlubles consLunL.
- An lncreuse of yeur of uge, Lhe sum lnsured ls redlcLed Lo decreuse by RM ..
) lor OccuuLlon Rlsk
- 1he sloe of zzz. meuns LhuL for euch lncreuse ln occuuLlon rlsk code we redlcL Lhe uveruge of
sum lnsured Lo lncreuse by zzz. unlLs holdlng Lhe oLher four vurlubles consLunL.
- An lncreuse of one degree of rlsk, Lhe sum lnsured ls redlcLed Lo lncreuse by RM zzz..
) lor Premlum PuymenL
-1he sloe of z.z, meuns LhuL for euch lncreuse ln remlum uymenL, we redlcL Lhe uveruge of
sum lnsured Lo lncreuse by z.z, unlLs holdlng Lhe oLher four vurlubles consLunL.
-An lncreuse of RM ln remlum uymenL, Lhe sum lnsured ls redlcLed Lo lncreuse by RMz.z,.
) lor Coveruge Perlod
- 1he sloe of -,z,.z meuns LhuL for euch lncreuse ln coveruge erlod, we redlcL Lhe uveruge of
sum lnsured Lo decreuse by ,z,. unlLs holdlng Lhe oLher four vurlubles consLunL.
- An lncreuse of one yeur ln coveruge erlod, Lhe sum lnsured redlcLed Lo decreuse by RM,z,..
A. Income E|asticity
Sum lnsured = RM ,,
lncome = RM ,
Ll = ., x RM ,
RM ,,
= .,6,
B. Age E|asticity
Sum lnsured = RM ,,
Age = 6 yeurs
Lu = -. x 6
RM ,,
= -z
1he lncome ls elusLlc 1he uge ls lnelusLlc
1he occuuLlon rlsk ls elusLlc 1he remlum uymenL ls elusLlc
. Occupation risk e|asticity
Sum lnsured = RM ,,
OccuuLlon rlsk =
LR = zzz. x
RM ,,
= .,
O. Premium E|asticity
Sum lnsured = RM ,,
Premlum uymenL = RM z,
L = z.z, x RMz
RM ,,
= .z
S 1he Lukuful lndusLry ln Muluyslu wus esLubllshed ln ufLer Lhe
enucLmenL of Lhe1ukuful AcL .
S Accordlng Lo 8NM, Muluyslu hus become Lhe lurgesL Lukuful murkeL ln
Lhe world wlLh over one quurLer of LoLul lnLernuLlonul Lukuful usseLs
belng held ln Lhe counLry, und vulued uL z,. mllllon rlngglL (US
. bllllon) ln z.
S 8NM's z llnunclul SLublllLy ReorL reveuled LhuL LoLul lncome from
fumlly Lukuful ollcles lncreused neurly z ercenL on z's flgures,
from RM ,.6 mllllon (US . bllllon) u Lo RM ,.z mllllon (US
. bllllon) for z
S ln Lhe usL yeurs, Lhe Muluyslun lnsurunce lndusLry hus exerlenced u
comound uveruge growLh ruLe of z, ercenL er unnum ln Lerms of neL
remlum conLrlbuLlons, wlLh fumlly Lukuful ollcles leudlng Lhe wuy.
lumlly Lukuful grew z ercenL unnuully over Lhe lusL yeurs und now
reresenLs more Lhun ercenL of Muluyslu's LoLul 1ukuful murkeL.
S CrowLh hus been drlven by u sLrong osL-z
recovery ln demund for lnvesLmenL-llnked roducLs us
well us rlslng er culLu CLP und lncreused Muluy
consumer cuuclLy for common llfe und non-llfe
roLecLlon lnsurunce servlces.
S 1he llnunce 8 lnsurunce subsecLor sLrengLhened
furLher by .% ln z second quurLer resulLed from
Lhe recovery of buslness ucLlvlLles whlch hus led Lo Lhe
hlgher demund for bunk lendlng und llfe lnsurunce.
S ln Lhe z Lhlrd quurLer, Lhe llnunce 8 lnsurunce sub
secLor grew by 6.% followlng Lhe hlgher neL lnLeresL
lncome und Lhe rlse of OvernlghL Pollcy RuLe (OPR).
8 A SLSSlON