Mission and Vision of Qatar Insurance Company - Case Study Example

Running Head: QATAR INSURANCE COMPANY Qatar Insurance Company Name Institution Date Qatar Insurance Company Introduction   Qatar insurance company (QIC) has been rewarded by ISO 27001:2005 for providing security within many organizations. It was the first insurance company to have received the certificate of existence. Qatar insurance company is the largest company in the country. International standardization organization’s major aim is to create appropriate system for controlling information security through formulating terms and condition that has to be approved by the international accepted standards (IAS). Certificate of existence was handed over to Ali al-mannai, Qatar’s chief executive officer. The insurance company has established modern technology on the security service, by doing this, it has helped to boost the IT department (information technology).With the modern technology, it was able to meet the needs of many people at a time. Centrally IT located in Doha was purposely used by most business entities (insurance company) in Qatar. Over a number of years, it was able to earn a profit of over 532.8 million in the year 2009 compared to last year but one profit of 510.8 million. Mission and vision There are several missions and vision instituted by Qatar insurance company. Qatar insurance company’s chief vision and mission is to position itself on the stability and expectations of the company through the following; Mission 1. To diversify its income by the year 2006 within Gulf Company together with its subsidiary company located in different places 2. To ensure profits do not deteriorate in the company. Where income of subsidiary company weakens, it will have a negative impact to the entire company at large. The company does this through keeping proper books of account. It has also to ensure that, reinsurance utilization will stay put substantially but steadily decrease; this was achieved through appointment of management expertise responsible for evaluating risks in an organization. This risk might be as a result of the high level economy. Its objective is to ensure it has focused its investment on marginally so as to improve each year. Objectives 1. To ensure financial statement shows a true and fair view. This is an important aspect since the information provided will allow the company to make decisions on whether or not to purchase a proper insurance product. This is why it is very important to confirm the insurer financial strength /weakness. 2. To define customer’s scope of work and responsibilities, benefits of the coverage and price. 3. To ensure a strong and viable position in Qatar This is where it is the leading insurance company in the country, to have a permit that will give the company the right to be quoted in Qatar stock exchange market for each governmental sponsored risk. As a result of this, it has led to development of liquid natural gas and improvement of infrastructure. 4. To capitalization and ensure capital adequacy is very strong. Capital adequacy must remain strong for a number of years. More so, capital adequacy is considered to have the potential of absorbing the risks in an economy. The force of reinsurance company relationships and sanctity has to detect the strength of reinsurance used to settle risks. Financial stability is considered strong, when it demonstrates itself through right issue in its first quarter. 5. To View risks in particular record and management standard to ensure it gives or show positive results at the end of the financial period. It is very important for the company to show positive results since a negative results means that the internal control system of the company is weak. Weakness in the internal control system means that the entire organization is not working according to the stated function and purpose for which it was formed. Establishing AML/CFT procedure and plans This involves supervisory actions and training. This is done t ensure all worker are competent in their dealings so as to be able to serve the customers in an appropriate manner. The last objective is to identify any doubtful transactions (STR) to the flu. However, MEC cannot issue a warrant where an insurance company has violated any terms and condition of the operation. Qatar insurance company has helped most organizations not only to prosper in terms of business but it has also helped major organizations to engage in risky business. Where an organization engages in certain risk without any fear, it tends to motive and guide the business together with its employees on what step to take. Alternative risk shift are conjure starting with an alternative technique of solving the insurance risks management, of which they are countless. Strategies There are varieties of strategy which Qatar insurance company can incorporate. To be able to fully understand why art strategies are common, it is important to understand the facts about premium. Typical strategies of ART features include; 1. Multi-year, multi-line treatment 2. Exposure tailored to special requirement of insured 3. Provides reporting not available in the bazaar 4. Risk withholding by insured There are diverse trade off flanked by risk withholding, difficulty and expenses among different strategies. It is important to note that, this risk varies from one aspect to the other. A risk that is preserved, tend to have high greatest risks which can be avoided. The following are the ART strategies. Guaranteed cost plan This is a tradition insurance coverage. It does not incorporate any modernized aspect. A group of several managers from non -profit making cooperation or conviction should appoint professional to control it. These business entities then procure to buy. However, a loss insurance plan is an insurance coverage where certain risks indemnified and ultimate premiums are based on. If an accident occurs, it very important for an organization to return the indignant into his/her financial position he was before the risk occurred. This clause however, does not aim at profiting an individual. Risk purchasing is a type of risk that was established under the Liability of risk retention act of 1996.The main aim of these risks is to break even between the chargeable prices thus making it a little bit easier for certain group to acquire the liability insurance. The act allows several groups to acquire/ purchase this liability together. Thus, avoid any sort of discriminating against them. Self retention plan; the major difference between self retention and deductible is that, deductable is that which its amount add up to total limits. A Protected cell captives (PCC) is done to ensure on certain domicile. Domicile may be defined as a place where one wishes to have a permanent home. There are three types f domicile; domicile of choice, origin and dependency. Therefore according to the specified domicile under law, PCC generally warrants a total severance of each cell of assets. Since, it is easy to achieve the economics of scale within the insurance. A captive insurance firm is a company that its major activities are controlled by insured’s. CICA provides that, the first captive to be formed ever was in 1800s.captive earned its popularity in the late 1980s as a consequences of US liability disaster. High-quality procedures and policies used by Qatar insurance companies is an essential element of internal control. The policies that are stipulated should be according to General Accepted Accounting principle (GAAP). The CEO of the insurance company provides a manual explaining the insurance policies and procedures within the organization. This policy varies from one organization to the other. Good policies will automatically lead to good performance of the business. Policies 1. To ensure the customer’s risks are promptly executed: This is an important policy within the insurance company. 2. To ensure that all relevant claims, in terms of risks are covered by the company. Injuries covered, by the insurance company varies from one risk that an individual or an organization may suffer in the course of its work. Qatar Insurance Company issues a notice for the risk covered by the insured. After a notice has been issued, a proper mechanism is then put in place to calculate the possible premiums payable. The issuing is important since it guarantees both the organization and the client that the risk has actually been covered. It is however; very important for the client to disclose any relevant information that will allow the company to carry its work effective, this information may include status, health conditions of an individual. An organization Premiums differs from one risk to another. The insurance company later on, signs a contract which must be evidenced in writing. A contract may be defined under law as an agreement between two people that is legally binding to the parties. A proper mechanism is however, be put in place to ensure no party under the construct shall breach his obligation. A penalty is then installed by the CEO of the insurance company to ensure any breach of the contract shall terminate the terms and condition of the agreed contract. This means under no circumstance will Qatar insurance company compensate anyone who breaches or gives fault information about the risk covered. Qatar insurance company ensures all risks covered are invoiced in the relevant books. It does this to ensure that there are no risks that are pending. All risks that are meant to be covered are fully covered under the insurance cover. Conclusion In conclusion, it is important to note that Qatar has played its major role in improving the living standard of people, providing employment and off course it has led to the development of the country in terms of economy. It is therefore crucial for the government of Qatar to provide the necessary support required to ensure that the company prospers. . Read More