CARD MBA leads ASEAN corporate governance scorecard in PHL Microinsurance MBA

CARD Mutual Benefit Association, Inc. (CARD MBA) leads the Philippine Microinsurance Mutual Benefit Associations (MI-MBAs) as it tops the sector in the 2016 ASEAN Corporate Governance Scorecard (ACGS).

CARD MBA earned 75.23 points in their corporate governance score, a 101.91% increase from its previous score in 2015.

In its report card, the Association got 9.13 out of 10 in protecting and facilitating the exercise of all shareholders’ rights; 11.79 out of 15 points in equal treatment of shareholders especially in the protection of minority shareholders; a significant increase of 273.13% from its previous score in disclosure and transparency of the association; 149.65% increase in the role of stakeholders in corporate governance; 26.67 out of 40 points in the responsibilities of the board; and three bonus points for having more than two female independent directors and releasing its notice on Annual General Meeting (AGM) on time.

“The Association’s scorecard has improved a lot but we are constantly challenging ourselves to elevate the game of our corporate governance,” May Dawat, the General Manager of CARD MBA, said. “We take the areas for improvement as our motivation. We listen to their recommendations to better our services for our members,” Dawat added.

Meanwhile, the average corporate governance of the insurance companies and MI-MBAs in the country is 38.53 points, which is 19% higher compared in 2015.

In the report of the Institute of Corporate Directors (ICD), it is said that CARD MBA performed better than the insurance industry average and MI-MBA sector average across all areas. ICD is also positive that if CARD MBA implements its recommendations to “make all information available and easily accessible on the Associations’ website, it will have strong chance of performing better in the next ACGS assessment.”

Though the insurance companies and MI-MBAs improved their systems of rules and practices throughout the years, the Insurance Commission (IC) continues to challenge the industry “to raise the bar of corporate governance in the insurance industry by adopting ASEAN regions’ best practices in corporate governance.”

CARD MBA is the micro insurance arm of CARD Mutually Reinforcing Institutions (CARD MRI). One hundred percent owned by CARD MRI members, CARD MBA provides micro insurance products like basic life insurance, retirement savings fund, credit life, and golden life insurance program to the financial institutions of CARD MRI. To date, CARD MBA insures more than 12.5 million individuals across the country.