Protecting You Like Family Volume II No. 1 Series of 2017

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Volume II No. I Series of 2017 April 8, 2017

The representatives of CISP member-cooperatives during the Owners Forum on February 3, 2017 in Butuan City, Agusan del Sur.

CISP assets breach P1-billion mark

The Cooperative

Insurance System of the Philippines has achieved another milestone at the close

of its operation for calendar year 2016 by breaching the P1-billion mark in assets

growth. With an 86% growth,

CISP’s total assets rose to P1.04 billion in 2016 from 2015’s P559.05 million, a

sign of a liquid and robust insurance cooperative that will boost further the

System’s image. In terms of liquidity,

CISP’s deposits in different depository banks, cooperatives, mutual fund,

financial and investment institutions during last year totaled at P738.36 million

compared to year 2015’s P346.42 million. Short-term

investments also rose to

P66.39 million (2016) versus P4.63 million (2015), and the available for sale financial

assets increased to P158.90 million (2016) from P138.71 million (2015). These

accounts constitute 93% of the total assets which shows

how liquid the organization is. The legal policy reserves

increased by 43% or P171.56

million in 2016 from 2015’s P120.07 million. The increase in members’ capital showed a

strong and growing confidence and support from

the stakeholders and the coop sector as CISP recorded P599.72 million in 2016 from

2015’s P244.90 million. The statutory reserves posted an increase of 42% or P92.8

million against P65.13 million in 2015.

Meanwhile, a good

result in its operation showed a net premium increase of P416.01 million

in 2016 from P324.91 million in 2015. CISP also reported a net surplus of

P116.01 million for 2016 versus P88.81 million in

2015, exceeding its target by P8.91 million.

Based on the joint

report of the Board of

Directors and Management,

CISP’s strong performance

is a result of efficiency and

good governance and

collective efforts of the

board, management, and

marketing personnel and the

continuing trust and support

of its members.

The Official Newsletter of CISP

Owners’ fora

continue The CISP will continue

its series of owners' forums

in different parts of the country to personally interact with its valued members and

update them of its present financial condition,

operations, plans and initiatives of their insurance provider.

Through these forums, the Board and Management and the representatives of

CISP members will be able to discuss the issues and

concerns that will further improve and strengthen CISP operation, implement

policies for the protection of policyholders and members.

-continued on page 4

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CISP continues CSR programs

aim to help the community

CISP has been championing social causes by conducting cooperative social responsibility activities for the past years.

For last year, the System conducted different CSR activities as a way of giving back and share its blessings to the community through different activities that promotes social causes. The CISP employees conducted Maternal Health Awareness Seminar & Reducing Child Mortality for 100 participants on May and June 2016 in Quezon City that conducted immunization, pre and post- natal checkup for mothers, vaccinations, and seminar on family planning.

The staff also visited the children suffering from cancer at Child Haus Foundation on October 8, 2016 in Pedro Gil, Manila and spent a day of fun and laughter with children with special needs on November 12, 2016 in support to the Special Olympics Philippines.

Also, the employees participated in “Brigada Eskwela” by donating five (5) ceiling fans and painted a mural that depicted the family on May 31, 2016 at Flora Ylagan High School in Quezon City. CISP also made a donation for electric wiring materials for San Roque National High School in Navotas to support the electrical rewiring of their classrooms.

In partnership with Department of Environment and Natural Resources (DENR), CISP held a tree planting activity on August 6, 2016 in Norzagaray, Bulacan wherein 500 seedlings were planted. September of 2016, employees conducted a 4-day seminar on Urban Gardening/Agriculture as a means of livelihood for 30 unemployed mothers in San Jose del Monte, Bulacan. Twenty-eight participants engaged in the program were able to generate additional income and stable food source for their families.

Also, the employees participated in the annual Blood Letting Program of PLIA as part of CISP’s contribution on October 5, 2016 during the 21st Life Insurance Consciousness Week. CISP also conducted an Awareness of Road Traffic Safety of Students Seminar for 45 students on October 14, 2016 at Gen. Tiburcio Elementary School in Valenzuela City in coordination with the LGU.

To show CISP’s support to the government in its campaign against money laundering and financial terrorism, CISP employees participated in a fun-run sponsored by the AMLC on October 15, 2016. This activity was intended to benefit children with cleft lip and palate.

For year 2017, CISP will conduct more activities which will focus on environment, health, education, and other social advocacies that will benefit more communities.

Editorial

What lies ahead for CISP? Success does not come in easy way but is a product of

perseverance and hard work. With efficient leadership, good

governance and collective effort of the Board of Directors,

Management, marketing personnel and the unwavering support of the

CISP member-shareholders, the System has achieved another

remarkable performance as it closed the year 2016 breaching the

P1-billion mark in total assets.

The current state of CISP is a big transformation from its

challenging situation four years ago when it was struggling to survive

and its capital deficient of P83 million. The invaluable support of our

coop-partners who supported CISP through trying times and the re-

organization of CISP brought back the cooperative into a new life —

which is even bigger and stronger.

To maintain CISP’s profitability and viability and provide the

needs of the individual members of CISP member-cooperatives, the

Five-Year Strategic Plan for 2017 to 2021 will be presented to

member-shareholders today that sets the strategic goals of the System

that transform CISP into the leading cooperative insurer in the

country in the near future.

As CISP continuous to grow, it has generated 80 new members

in 2016 bringing to 2,665 member-coops.

That’s why year 2017 will be devoted in the professional

development and enhancement of the human resources of CISP who

will attend to the needs of members in a speedy and efficient manner.

The Koop Insurance Network (KIN), a partnership with

member-coops as CISP’s marketing arms, will also be launched this

year which aimed at facilitating and speeding up the services to its

member in high standard manner.

As Mindanao represents the large number of the member-

cooperatives of CISP, the insurance cooperative is already geared up

on the establishment of its first branch in Mindanao. In the middle of

2017, it is of fervent hoped that CISP will start operating as

composite insurance. CISP will also provide its members a variety of

affordable bundled products which consist of life, non-life and health

insurance. In 2018, CISP will open three more branches in Luzon,

Visayas and Mindanao. CISP might also enter the possibility of

acquiring an insurance company. In years 2020 and 2021, we CISP

will emerge a stronghold in the ASEAN market.

With the strong support of member-patrons, the

CISP believes that we will achieve these goals and make CISP a

profitable, bigger, and stronger insurance cooperative that the

cooperatives could rely on.

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Top 10 causes of deaths in CISP insurance plans

5-Year Strategic Plan (2017-2021)

The uncertainty of life created the concept of insurance. Life

is short and that death is inevitable and will eventually happen to

all of us. Or, you’ll never know when will be the last time you

might see your friends, your officemates and your loved ones. To

give us an overview of the common causes of deaths of our

policyholders, it is essential to know what is causing the high

mortality and what can be done towards a healthy life.

In 2016, CISP received at least 1,038 insurance claims for the

10 common causes of deaths. The data of the CISP Claims

department showed that heart disease is the common cause of

death with 291 claims filed paid amounting to P15.59 million. The

different types of heart problem include angina, arrhythmias, and

heart failure. Experts say that healthy lifestyle and dietary

modification can reduce the risk of heart disease.

On the other hand, cancer topped at no. 2. The Claims

department has received 188 cancer-related claims and paid

P8.94 million to the beneficiaries. According to study, anyone can

develop cancer, but the risk of the most types of cancer increases

with age, and some individuals have higher or lower risk due to

differences in exposure to carcinogens and as a result of genetic

factors. It is advised to get regular check-ups, including screening

test, that help detect cancer before it worsen.

The third most number of paid claims is Cerebrovascular

Disease in which CISP paid 150 claims amounting to P8.08

million. Stroke is the most common type of CVD. Major risk

factors of stroke are high blood pressure, high cholesterol and

smoking. Some preventive measures for strokes are eating a

healthy diet, not smoking and managing blood pressure. Fourth on

the list with 137 claims amounting to P6.68 million is the

Pulmonary Disease. A good health habits like healthy diet, rest and

regular exercise helps prevent viruses and respiratory illness.

Fifth is kidney disease in which CISP paid 79 claims

amounting to P4.54 million. Kidney disease can be prevented by

avoiding excessive intake of alcohol and proper use of OTC

medications, especially pain relievers. Vehicular accidents landed

at no. 6 with 56 claims amounting to P3.40 million policy benefits.

The most common causes of road accidents are driving while

intoxicated or over speeding.

Seventh, with 41 claims paid amounting to P4.09 million, is

gunshot wound. Eight on the list is Liver Diseases with 38 paid

claims amounting to P1.20 million. Liver disease can be acquired

through several mechanisms such as viruses and alcohol abuse.

Ninth, is Diabetes Mellitus with 31 paid claims amounting to

P1.68 million. It is a disease in which our body no longer able to

carefully control blood glucose, leading to abnormally high levels

of blood glucose. Diabetes can cause severe complications such as

heart disease, kidney failure, blindness and amputation of the

limbs. A healthy lifestyle like weight reduction and observing a

healthy diet can reduce risk of developing diabetes. Lastly, the

tenth cause of death is accidental death like fall, poisoning,

drowning or suffocation which CISP paid 27 claims amounting to

P1.60 million.

CISP continues to soar high with the great opportunities

coming its way. Five-year major strategic goals have been in

placed to meet the demands of the market and its member-

cooperatives. 2017 marks the year as the “Consolidation Mode” which

focuses on the following: aggressive Human Resource and IT

development; operationalization of composite insurance system;

manualization of business processes; establishment of first branch

in Mindanao and implementation of Koop Insurance Network

(KIN).

By 2018, CISP will focus on its next target – the “Expansion

Mode” which will highlight the establishment of 2 major branches

in Luzon & Visayas; explore acquisition of other insurance

companies; forge partnerships with different distribution

channels; continuous strengthening of the organization; ISO

certification and improve rating in ASEAN Corporate Governance

Scorecard (ACGS).

By 2019, CISP believes that “Size Matters” with the

following main goals: establishment of one cooperative insurance;

acquire other insurance company/ies; strengthening of the merger

set-up (Human Resource/IT/Operations & Marketing) and ISO

Certification (IT/Underwriting/Claims).

By 2020, CISP envisions to “Go International” with the

establishment of foothold in the ASEAN Market; acquisition of

other insurance company and ISO Certification (all Departments).

And by 2021, CISP will fly high as it celebrates “Our Proud

Moment”, which will highlight the establishment of one

international branch (ASEAN) and membership in International

Association of Insurance.

Top 10 causes of death

Causes of death Count Total Claims Paid

Heart disease 291 P15.59 million

Cancer 188 P8.94 million

Cerebrovascular 150 P8.08 million

Respiratory Diseases 137 P6.68 million

Kidney Diseases 79 P4.54 million

Vehicular Accidents 56 P3.40 million

Gunshot 41 P4.09 million

Liver Diseases 38 P1.20 million

Diabetes Mellitus 31 P1.68 million

Accidental Deaths (i.e. fall,

poisoning, drowning or

suffocation)

27 P1.60 million

1038 P55.80 million

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Editorial Board

Chairman: BGen. Teodoro P. Evangelista AFP (Ret)

Members:

Roy S. Miclat Anna Marin Crisolo Gelizabeth Cabuhat

Harold Kim Maggay Joanna Mae Cruz Rochelle Encio

Sarah Mae Buksh Wendy Nual Hanny Rabino

Kristine Torres Ma. Regel Agoot

For comments and suggestions, you may write us at 80 Malakas St., Brgy.

Pinyahan, Quezon City or send email at cispcorporateplanning@gmail.com

or call us at (02) 9230739.

We are inviting our member-cooperatives

to share with us their writing talent by

contributing any inspirational story or

coop topic with CISP Onsight.

Credit assistance for coop members In line with the basic principle of cooperatives to serve their

members most effectively and strengthen the cooperative

movement, the CISP is committed to extend support to its

members through a financial assistance program to help them

build their capital and expand their operations. In this way, they

will become financially viable and will be able to continuously

provide a wide-range of services to their members and help them

improve their economic well-being.

The idea of this service was initiated by CISP in 2016 to

assist the member-cooperatives in financing their operations and

ensuring their stability. This program also aimed to help the micro

and small-sized cooperatives to transform themselves into large

cooperatives in the near future.

Today, this idea came into flesh as CISP offers this new

service to its valued member-coops especially those who are

victims of calamities.

CISP introduces new project As part of its market expansion, CISP will introduce to the

members its newest project — the Koop Insurance Network (KIN)

which is aimed at bringing together various cooperatives all over

the country in establishing a risk protection and mitigation

products and services center through partnership-building.

The KINs will serve as marketing arms of CISP in providing

the risk mitigation and health protection needs of its member-

cooperatives in the community where they operate. The KIN

centers will be located principally at the head office and/or area

offices of the partner cooperatives.

The purpose of the KIN program is to combine the

cooperative products and services with the use of life, non-life and

health insurance as a financial planning structure to achieve fiscal

advantages and security for members of the cooperatives.

KIN will enable CISP to distribute its products and services

in a most efficient manner. It will also provide financial literacy to

the members thereby increasing the value of its services and

enhancing risk mitigation. Because of KINs, CISP’s member-

cooperatives will earn more from patronage refunds and

dividends.

Today’s 43rd General Assembly will also be the venue to

recognize CISP’s KIN partner-coops.

Owners Fora continue … (from page 1) The following owners’ forums were successfully conducted

in 2016. Quezon City (July 21) participated by 50 member-coops,

CISP officers and marketing personnel; Davao City (Aug. 12)

participated by 56 member-coops with 81 representatives; Legazpi

City (Sept. 9) participated by 22 member-coops with 30

representatives; Cebu City (Sept. 23) where 43 member-coops

with 55 representatives actively participated; Cagayan de Oro

(Oct. 28) participated by 64 member-coops with 98

representatives; Iloilo City (Nov. 25) participated by 37 member-

coops; and Baguio City (Dec. 12) where 42 member-coops with

44 representatives participated.

For this year, CISP has already conducted a forum at Big

Daddy's Hotel and Convention Center in Butuan City attended by

45 member-coop representatives. On February 24, 2017, 35

member-coops attended the owners' forum at Eurotel, Naga City.

The members who participated in said forums were treated

with whole day activities which include updates on CISP

operations; present and future plans and programs; re-orientation

of products and services and orientation on Financial Inclusion

and Disaster Preparedness and Risk Management for 2016; Credit

Information System Act and Solid Waste Management for this

year.

The remaining forums for the year will be held in Romblon

(April 22), Palawan (April 24), Tuguegarao (May 12), Leyte (June

2), Bulacan (September 1), General Santos (August 4), Subic

(October 6) and Batangas City (to be announced).

CISP awards top 30 premium

contributors for 2016 The CISP’s top 30 patronizing cooperative members will be

awarded as top net premium contributors for business year 2016.

The top 30 premium awardees will be named during the 43rd

Annual General Assembly today.

The top premium award that will be given to CISP patronizing

members are based on their gross premium paid less claims and

service fees.

CISP posted a net income of P 116 million and declared a

14% dividend. This is in comparison with 2015’s net income of P

88.81 million with 13.75% dividend and year 2014 net income of

P 62.02 million and with 13% dividend.

These figures prove that CISP succeeded in regaining itself

and recover from financial loss and retrieved its financial stability.

The success that CISP is attaining now will not be possible without

the continuous patronage of its member cooperatives. The award

is a recognition to patronizing cooperatives that continuously

support and trust CISP as their insurance provider.

CISP will continuously provide its member cooperatives

better services and improve its existing products to deliver better

results to its clients.

Who can apply for Credit Assistance in CISP?

CISP Member for at least one (1) year

With a minimum capital share of at least P100,000.00

Patronizing two CISP products.

APPLY NOW!