Vol 8 / Issue 1. Corollary to above, our Crop Loan Insurance initiative was highlighted in a webinar by AgriFin, managed by the World Bank.

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1 Vol 8 / Issue 1 Covered in this issue: 02 JGI Sales Conference 08 SAFA Best Annual Report Award 10 Webinar on Crop Loan Insurance 13 Jubilee Insurance Snooker 14 Walking is Man s Best Medicine 16 Rashid Rana Exhibition Our 8th Annual Sales Conference opened with the Managing Director s inspiring words, For many blue chip corporations, Pakistan remains an attractive country offering opportunities and profit. Corollary to above, our Crop Loan Insurance initiative was highlighted in a webinar by AgriFin, managed by the World Bank. For the third year running we won SAFA Best Presented Annual Report Award in recognition of our transparent financial reporting. Beyond the business, Jubilee Insurance co-sponsored the prestigious Rashid Rana exhibition at the Mohatta Palace Museum.

2 02 MANAGING DIRECTOR S MESSAGE AT THE SALES CONFERENCE Dear Friends and Colleagues, Welcome to the 8 th Jubilee General Sales Conference. For many blue chip corporations, Pakistan remains an attractive country offering opportunities and profi t. This is quite a paradox considering all the challenges and diffi culties posed by power shortfall, gas shortfall and now CNG shortfall. Frequent strikes and sit-ins don t help the business either. Nevertheless, all the major corporations listed on stock exchanges continue to post robust results. Jubilee General is no different. You have done it again and by doing so proved that Jubilee General is game for the long haul. You achieved two very important milestones in Jubilee General has become the fi rst and the only general insurance company of Pakistan to be up-graded to AA+ from JCR-VIS and PACRA on top of achieving B++ rating from A.M. Best. You also achieved Rs.6 billion premium and collected more than 85% in cash. Armed with such outstanding USPs, you will now breach the target of Rs.7 billion insha Allah! Let us make this fi rst Sales Conference in the historic city of Lahore also the fi rst step in achieving our 2013 goals. I wish you all the best. With warm regards, Tahir Ahmed Managing Director & Chief Executive Vol 8 / Issue 1

3 03 Jubilee General s 8th Annual Sales Conference The 8th Annual Sales Conference of Jubilee General Insurance Company began on 18 th of February Lahore with its vibrant and colorful spring welcomed participants from all over Pakistan, making it more auspicious as it was the first time that it had the opportunity to host this occasion. MD s Welcome Address The formal proceedings began at 9am. The Managing Director welcomed the gathering and infused all present with a fresh spirit by proclaiming New Vision, New Passion to be the driving force behind all endeavors for the coming year. He went on to generously acknowledging the efforts of all the employees for the excellent performance in the past year. It was a result of their dedication and commitment that Jubilee General Insurance had outpaced the market and crossed the Rs. 6 billion gross premium mark set in the year He also lauded the minimum 15% to which the outstanding Premium had been brought to, and the objective set for the future would be less than 10%. A moment of proud achievement for the entire JGI Family was the fact that they were now AA+ rated, both from PACRA and JCR-VIS, besides B++ from A M Best. The First Day of Conference Faqiha Imran, a leading Management Consultant from Navitus Private Limited, conducted a workshop on the topic Accelerating Ahead. She was able to bring together the ability to work as a team. Everyone pooled in their individual qualities and coordinated with all group members in fun fi lled learning activities, designed to make all realize the value of working together and appreciating each other. Summing up of the first day s proceedings by Mr Tahir Ahmed, was followed by a superb lunch. After this the guests were taken to Wagah on Pak-India Border to view the ceremonious display of National Flag Lowering at sunset. It is a daily military practice since 1959 which is very enthusiastically enacted for hundreds of people, by the Pakistan Rangers and Indian Border Security Force each evening. The sight fi lls the audience, on both sides of the border, with national fervour resulting in loud cheering and shouting of many slogans. The fi rst day was rounded up with a visit to a local wildlife park, Jallo Forest Park. A sumptuous dinner was arranged there along with a musical night, which was thoroughly enjoyed by all. The Second Day of Conference The second day of the Annual Sales Conference, 19th February 2013, began with the same enthusiasm the proceedings commenced with a case study on the topic Transformation-The Key to Sustained Growth. Mr Azfar Arshad our head of operations gave us a briefing about it, every group was then given a chance to come to the dais to present their case. The outcome made it evident that majority of the participants were on the same frequency as professionals. The conclusion drawn was that to survive and excel we have to adapt and evolve, with the changing dynamics of the market. Use of modern technology, introducing new products, and reaching out to maximum numbers, is the key to gaining market share and remaining profi table. Jan-Mar 2013

4 04 Our guest speaker was Mr Shahid Hussain, the chief executive offi cer of Servis Sales Corporation. Being a successful entrepreneur and a seasoned businessman, he shared his views about how he dealt with the challenges that the corporate world put his way when he moved from manufacturing to sales. The crux of his experience was that an organization most responsive to change gained an existence and place of eminence in history, while those who refuse to mould themselves to change fi nd themselves displaced in the inevitable cycle of evolution. His experience was very inspiring and informative. Mr Azfar Arshad was then called upon to announce the much awaited result of the Growth Incentive Plan. Many development offi cers received deserved appreciation for which they had laboured throughout the year. This Plan is a great motivating factor in Jubilee General and works towards building a great rapport of cooperation and respect amongst all its tiers. Then like the day before, there was a summing up and a question-answer session. The Managing Director Mr Tahir Ahmed shared his views and concerns over the In-Land Transit Insurance and the importance of underwriting the inland transit liability on annual turn-over basis making it viable and more effective for both the stakeholders. Vol 8 / Issue 1

5 05 The awards for the top performing branches and the development offi cers were then announced by Mr Azfar Arshad. The Acting Zonal Head, Lahore, Mr Mahboob Pervez, concluded the Conference with the vote of thanks. He appreciated the management committee for its excellent organization of this event and for its efforts to make it a success. The strength of a company is not just in its statistical growth display, shared and announced in conferences and meetings of great import. Rather it is what every employee carries away with him after a conference that leads to progress and development the year around. It is a sense of pride in the organization that nurtures him, and brings out the best in him. It is the motivation to do better and better every day. I believe it is this inspiration that we have all walked away with, from these two days spent together, and it is with this passion and dedication that it is hoped that we return to meet again at another conference in the year to come. This is the strength of Jubilee General Insurance Khawaja Ahmed Fraz Vice President Zonal Office Lahore Jan-Mar 2013

6 06 More of the Conference Vol 8 / Issue 1

7 07 In the Evening Jan-Mar 2013

8 08 Best Presented Annual Report Our Executive Director -Finance, Mr Atiq A Mahmudi (on left) receiving the Certifi cate of Merit from Mr Subodh Kumar Agrawal, Vice President SAFA (3rd from left) on 22 March at Colombo, Sri Lanka Jubilee General was awarded the Certifi cate of Merit for the Best Presented Annual Report by the South Asian Federation of Accountants (SAFA), the third year running. In the region, this award is considered the most prestigious accolade for fi nancial reporting and recognises disclosure of high quality, relevant, reliable and objectively comparable fi nancial statements. SAFA was formed in 1984 to serve the accountancy profession in the South Asian Region and uphold its eminence in the world of accountancy. It is the apex body of South Asian Association for Regional Co-operation (SAARC) and represents over 170,000 accountants. The judging for the Awards by the SAFA Committee was on the basis of technical marking and evaluation of annual report for improvement in Transparency, Accountability and Governance. The annual reports selected for the awards were under different categories according to criteria set by the Award Committee. Annual Reports of 84 companies in the SAARC region qualifi ed for the Awards and the competition was under 10 different sectors. Jubilee General won the Merit Award in the Insurance Sector. The 10 sectors were: Private Sector Banks Public Sector Banking Institutions Insurance Financial Services (FS) Manufacturing Communication and IT (CIT) Service Sector (excluding FS and CIT) NGOs Public Sector and Agriculture For interest of our readers we add that the SAFA member countries are: Bangladesh, India, Nepal, Pakistan and Sri Lanka. Vol 8 / Issue 1

9 09 as at March Branch Growth Performance as at March 2013 Based on provisional figures - Rupees in million New Unit Multan Sales Unit 2 Mall Mansion Oil Department BFC Sales Unit 1 Sales Unit 3 Commercial Unit 2 Clifton Shahrah-e-Faisal Islamabad Margalla Peshawar Commercial Unit 1 Sukkur Bahawalnagar Bahawalpur Sales Unit 5 Accident & Health Hyderabad Plaza Saddar KEPZ Faisalabad Rahimyarkhan Corporate Division Jobia Bazar Agri Division Oil Department Corporate Division Margalla Commercial Unit 1 BFC Islamabad Mall Mansion Shahrah-e-Faisal Commercial Unit 2 New Unit Sales Unit 3 Multan Accident & Health Sales Unit 1 Sales Unit 5 Saddar Peshawar Clifton Plaza Jobia Bazar Sales Unit 2 KEPZ Hyderabad Agri Division Faisalabad Sukkur Bahawalpur Rahimyarkhan Bahawalnagar 250% Branch Growth Performance as at March 2013 Based on provisional figures 200% 150% 100% 50% 0% -50% 100% Fasihuddin Khan DM-Operations Jan-Mar 2013

10 Pakistan s Crop Loan Insurance Initiative Highlighted by: 10 Agrifi n is an initiative funded by the Bill & Melinda Gates Foundation and managed by the World Bank, to transfer capacity on agriculture fi nance. It has been established to support the development of sustainable agriculture fi nance models that will increase access to fi nance. To share and understand crop loan insurance schemes in Pakistan and the solutions being provided by the insurance industry in association with the Banking Sector, a webinar, Providing Crop Loan Insurance in Pakistan was arranged by Agrifi n on February 26, Agrifi n, and The Bill and Melinda Gates Foundation invited Mr Azfar Arshad, EVP and Head of Operations at Jubilee General Insurance Company and Mr Kashif Thanvi, General Manager and Head of Agricultural and Rural Finance at Habib Bank Limited to present their views and perspectives from their industry s point of view on the subject, to their worldwide audience. Both these gentlemen were members of the Central Bank s Task Force on Crop Loan Insurance. Ms Maria Pagura hosted the session. She currently works as a Senior Program Offi cer for the Agriculture and Rural Development Department at the World Bank and is responsible for the development and management of AgriFin s global platform on agriculture fi nance. In 2008, Pakistan launched a crop loan insurance scheme. This was the outcome of a two year effort of the Central Bank s Task Force on Crop Loan Insurance which comprised representatives from banks, insurance companies, farmers and the federal government. The Agrifin webinar intended to give succinct picture of how this product was developed and the challenges faced in its implementation. Agriculture is the backbone of Pakistan s Economy and accounts for 21% of the GDP. Together with agro-based products it fetches 60% of the country s total export earnings and more than 45% of the labour force is engaged in this sector. Banking Industry Perspective: Mr Kashif Thanvi initiated the event with his presentation on the topic. He addressed the challenges involved in coming up with a feasible crop loan insurance framework such as cost of insurance, premium collection mechanism, claim trigger, role of government, reinsurance treaties, willingness of farmers to pay for insurance, perils to be covered, and lack of recorded historical data to evaluate probability of calamities, etc. Moving on, he highlighted the salient features of the crop loan insurance scheme. He further added that the aggregate liability of the insurance companies is limited to 300% of the premiums. The multi-peril insurance covers excessive rains, fl ood, draught, hailstorm, frost, crop related viral and bacterial attacks, and damage by locusts. The framework also defi nes a maximum ceiling on the rate of premium to be charged from a farmer He concluded his presentation by accentuating on the most important challenge being faced, which is the mandatory nature of the product, i.e if a farmer gets a bank loan for any of the major crops; the loan has to be insured. Insurance Industry Perspective Mr Azfar Arshad provided a glimpse on this product from the perspective of Insurance Industry and also emphasised on how Jubilee in particular and the insurance industry in general is working to provide solutions to the crop loan issues being faced. He further emphasized on how Jubilee views and considers crop insurance as an opportunity to extend the insurance innovation to the grass root level. Greater half of Pakistan s population is rural based where they primarily need protection against natural calamities, as small farmers are the predominant affectees of these calamities. In most instances their lifestyle is compromised and at times their survival is also at stake. Adding on to the positive angles of crop loan insurance, Mr Azfar Arshad pointed out that this product is gradually providing a foothold for penetration and awareness of insurance concepts in the masses, where currently the insurance penetration is at 0.7% of GDP, one of the lowest in the region. Jubilee has partnered with some of the major providers of agriculture fi nance in Pakistan including HBL and in 2012 provided crop loan insurance to more than 62,000 farmers all over Pakistan. Jubilee also has the privilege of being the pioneer of fi rst ever web based crop insurance portal in Pakistan, called Jubilee Kashtkar. This technological innovation allows Jubilee to gauge and validate the data and issue insurance certifi cates on real time basis at the branch level where the loan is disbursed with minimal human intervention. Another aspect highlighted by him was the launch of this product by insurance Vol 8 / Issue 1

11 11 fraternity in Pakistan with minimal government input. This however forced the scope of the cover to be snipped to accommodate and maximum utilize the resources available to the insurance industry. The scope of the cover has been limited by capping the indemnity to input cost only, introduction of an aggregate limit and the concept of calamity trigger. According to Mr Azfar Arshad, the idea behind tailoring the scope of the cover was with the view to commence The Concept where the basic product has been launched and can be expanded upon by increasing the indemnity threshold which is currently limited to the input cost of loan and which may in future be extended to cover yield and revenue as well and in future may increase the existing aggregate limit from 300% to a much higher level along with probability of introducing the concept of variable pricing. He concluded his address by mentioning about jubilee being in the fi nal stages of launching a Livestock insurance product which will be offered to fi nancial institutions to protect the livestock portfolio which currently constitutes more than 50% of the overall agricultural portfolio. Once both the gentlemen were done with their addresses, a short Q&A session was conducted where the questions from the audience, posted during the presentations were responded to, by both the speakers. The questions were primarily related to the moral hazards involved with the calamity declarations being announced by the government and existence of political instability in Pakistan and about how the awareness is being made for this product. Over all a 60 minute webinar, with audience from all over the world and speakers from both banking and insurance sector provided extensive and useful information on the crop loan insurance and its prospects in Pakistan. Such initiatives have become a necessity for development and growth of our agriculture sector and this event appropriately highlighted the contributions being made. This webinar was attended by leaders of the Insurance, Banking and Agriculture industry from all over the world and the developments discussed were welcomed and appreciated immensely. Maliha Shuja Deputy Manager - Operations & Alternate Distribution Jan-Mar 2013

12 12 The Magnificent Chowkandi Tombs Only 30 kilometers east of Karachi are the Chowkandi tombs: a masterpiece of craftsmanship found nowhere else in the Islamic world. These tombs are the archeological and architectural heritage of Sindh and were built in the 15th to 18th century by Jokhio and Baloch tribes, who lived in the area. The tombs are constructed from yellow stone brought from Thatta and the intricate carved design is typically Sindhi as found on the printed ajrak, Sindhi woodwork and jewellery. The tombs are rectangle in shape, two and half feet wide and 5-8 feet long and ranging from 4-14 feet in height. The gender of the occupant of the grave can be identifi ed by a turban on top of tomb representing male, whereas carved jewellery identifying female. These can be seen in the second row on either side of the main picture. Chowkandi in Sindhi means four corners, referring to the cubical graves and the four pillars that support the canopies and umbrella shaped domes of the graves. These car ved stones are simply put over each other and are not bonded, which makes them an easy target for smugglers. Legend has it that treasures were also put in the tombs and looking for buried treasure, thieves have damaged the tombs. Sindh Archeology Secretary Kalimullah Lashari informs us that the Jokhios were prosperous and powerful people: In 1700s each grave was built for about Rs 10,000/- and for the Jokhio people it was an honour be buried there. He further informs us that restoration of Chowkandi s historical graves has begun. The west wing will be fi nished fi rst and then gradually all damaged graves will be restored. Karachiwallas do not ignore this rich heritage: Visit them and enjoy their magnifi cence. Vol 8 / Issue 1

13 13 Jubilee Insurance Sponsors Snooker Championships 5th Junior U-21 Championship Unseeded Mohsin Ameen challenged the top seed Amir Tariq in 6-4 win at the fi nals of Jubilee Insurance National Under -21 Snooker Championship at the Sheraton Hotel on 9 th February The tournament had six players from each of the four provinces and played over six days, in the fi rst week of February. The winner of the Tournament Mohsin, belongs to Lahore and picked up the cue only three years back. With this win, he is confi dent of more laurels in the future. At this Championship Mohsin received a purse of Rs 40,000 and the winner s trophy; while runner-up Amir took home Rs 20,000 and runner-up trophy. Our Managing Director Mr Tahir Ahmed in his media briefi ng of the Championship urged the Pakistan Billiard and Snooker Federation (PBSF) to start Under-15 tournaments at national level, citing the examples of other countries where the grooming of the athletes starts at a very young age. Alamgir Shaikh, President, PBSF, responded by announcing that the Federation, with the collaboration of the provincial associations, will hold Under-15 tournaments in June-July this year. He added that they did not have the infrastructure yet they would try their hand. 38th National Snooker 19-year old debutant Hamza Akber became the youngestever cueist to win a national championship which he clinched at the Jubilee Insurance 38th National Snooker, overpowering veteran cueist Imran Shehzad at the Karachi Gymkhana on 25 th March Hamza received the glittering trophy and cash prize of Rs 80,000 from Managing Directors of Jubilee General Mr Tahir Ahmed and of Jubilee Life Mr Javed Ahmed; and Imran Shehzad received the runner-up trophy with Rs 50,000-/- Hamza attributed his success to his coach Bilal Mughal and former national champion Shahid Aftab who had trained and guided him. Interestingly Mohammad Asif won the World Snooker Championship in Bulgaria only last December against invincible Gary Wilson of England, and at the National Event rises a teenager to take the trophy. That is sports! Jan-Mar 2013

14 14 Walking is Man s Best Medicine said Hippocrates There is a lot of research to prove that walking is good for you and the results are impressive: major reductions in both diabetes and heart disease, decreases in high blood pressure, increases in bone density, and many more. How walking can help you, how much you need to do to gain benefi ts, how to get started, and related information are covered in the write up. After you took your fi rst step as a child, you continued to walk right on through childhood, adolescence, and into adulthood, but somewhere along the way, like most adults, you probably stopped walking so much. Part of the reason may be your hectic, stressful life, with not a moment to spare for recreation or formal exercise. The environment plays a part too; inactivity has been engineered into our lives - thanks mainly to automation. You would think a simple activity like walking would be just that, but very few people do enough exercise to gain any health or fi tness benefi ts from physical activity. Is walking our salvation? Evidence suggests that it is probably a good start. Top 10 reasons to walk: 1. Walking prevents type 2 diabetes. Walking 150 minutes per week and losing just 7% of your body weight can reduce your risk of diabetes by 58%. 2. Walking helps alleviate symptoms of depression. Walking for 30 minutes, three to fi ve times per week for 12 weeks reduced symptoms of depression by 47%. 3. Walking is good for your brain. In a study on walking and cognitive function, researchers found that women who walked the equivalent of an easy pace at least 1.5 hours per week had signifi cantly better cognitive function and less cognitive decline than women who walked less than 40 minutes per week. Think about that! 4. Walking is good for your bones. Research shows that postmenopausal women who walk approximately one mile each day have higher whole-body bone density than women who walk shorter distances, and walking is also effective in slowing the rate of bone loss from the legs. 5. Walking improves fi tness. Walking just three times a week for 30 minutes can signifi cantly increase cardiorespiratory fi tness. 6. Walking in short bouts improves fi tness, too! A study of sedentary women showed that short bouts of brisk walking (three 10-minute walks per day) resulted in similar improvements in fi tness and were at least as effective in decreasing body fatness as long bouts (one 30-minute walk per day). 7. Walking improves physical function. Research shows that walking improves fi tness and physical function and prevents physical disability in older persons. 8. Walking reduces the risk of breast and colon cancer. Women who performed the equivalent of one hour and 15 minutes to two and a half hours per week of brisk walking had an 18% decreased risk of breast cancer compared with inactive women. Many studies have shown that exercise can prevent colon cancer, and even if an individual person develops colon cancer, the benefi ts of exercise appear to continue both by increasing quality of life and reducing mortality. Vol 8 / Issue 1

15 9. Walking strengthens your heart if you re male. In one study, mortality rates among retired men who walked less than one mile per day were nearly twice that among those who walked more than two miles per day. 10. Walking strengthens your heart if you re female. In another study, women who walked three hours or more per week reduced their risk of a heart attack or other coronary event by 35% compared with women who did not walk. The list goes on. Suffi ce to say that walking is certainly good for you know it. The Key Issue: How Do I Start? For beginners who are concerned about their motivation or ability to walk far, it is recommended to take the fi ve minutes out, fi ve minutes back plan. Just like it sounds, you walk out for fi ve minutes, turn around, and walk back. If you feel ambitious, you can start with 10 minutes out, 10 minutes back, and off you go about your day! Increase by two to three minutes per week and before you know it you ll be up to 30 minutes. It sounds too simple to be true, but this is a realistic and achievable way to get started, and if you follow it, you ll be walking plenty before you know it. Tips 1. Before starting a walking program, check with your doctor if you have a chronic medical condition or if you have had a recent injury. But don t assume that you aren t able to start exercise walking if you do have medical issues. Exercise walking can help control disease progression and relieve symptoms in people with cardiovascular disease and diabetes, and many people with arthritis or other problems will experience symptom relief from a medically-supervised exercise walking routine. 2. Invest in good shoes. Since these are the only expense and equipment you ll need, pay attention to the fi t and quality of your shoes. Shoes should fi t when you try them on without any areas of pinching or pressure that could cause blisters. Wear the type of socks you ll wear when walking when you purchase your shoes, and remember that you ll likely need a larger-sized shoe than you normally wear if you plan to wear thick socks. Shoes should have good arch support and a slightly elevated heel with stiff material to support the heel when walking and prevent wobbling. 3. Always warm up by walking at a slow or normal walking pace for fi ve minutes before picking up the tempo of your workout. Disclaimer: The contents of the article are for illustrative and / or information purposes only. They are not intended to be a substitute for professional medical advice, diagnosis, or treatment. Always seek the advice of your physician regarding your medical condition. Facts source: WebMd Nadeem Irshad JEVP-Health 15 Hajj Ballotting Hajj Ballot was drawn by our Executive Director - Finance Mr Atiq A Mahmudi on 8th March with the following result: 1st Choice: Mr Muhammad Bashir, Senior Manager, Islamabad Branch 2nd Choice: Mr Tanveer Ahmed, Manager, IT Department, Head Offi ce The second choice is considered in case the fi rst one is unable to avail. We congratulate Mr Muhammad Bashir on behalf of all staff members for being selected through ballot to perform Hajj. Traditional Haleem Lunch Our Saddar Branch invited executives and offi cers from the Head Offi ce together with their own, to enjoy traditional haleem with all its accompaniments. The reputed Pakistani hospitality was in full play with all the host offi cers attending to numerous groups who sat to capacity in the Branch. Obituary Mr Farid Ahmed Siddiqui, Senior Vice President (Projects), Saddar Branch, who had earlier opted for retirement, passed away on 10th February Mr Siddiqui was a Star Performer over the years and had contributed to the healthy growth in the premium of the Company. He ranked 3rd among the top Marketing Offi cers in the last three years. Inna lillahi wa inna ilayhi raji un. Taekwondo: Farrukh Kamal, Manager, Saddar Branch has been elected Vice President of Karachi City Taekwondo Association. Taekwondo is a martial art originating in Korea. It combines self-defense techniques with sport and exercise. Jan-Mar 2013

16 JUBILEEGENERAL.COM.PK Jubilee Insurance Co-Sponsors Rashid Rana Exhibition The Mohatta Palace Museum in Karachi is celebrating 20 years of Rashid Rana s career with 60 of his works. His collections have also been exhibited at British Museum in London, Fukuoka Museum in Japan, Modern Museum of Art in New York and Queens Land Art Gallery in Australia. At the Mohatta photo mosaics, as seen in the pictures, are largely on display. This technique has brought Rana pre-eminence in the global art world. The photo mosaics are also in three dimensional objects as seen in the top right picture and, fascinating multi-dimensional cube seen in the bottom o f this column. Another amazing invention of Rana is the video installations. His exhibits at the Mohatta are the largest show of a contemporary Pakistani artist to be exhibited in Pakistan. Apart from critical acclaim, his works have also been valued and acquired at prices higher than that of any Pakistani artist in the past. Rana s work is interactive and consuming for all spectators, and the Mohatta intends to display the exhibits upto January Vol 8 / Issue 1 Front cover: Lowe & Rauf (Pvt) Ltd Editing and Design: Sunnu F Golwalla