HISTORICAL BACKGROUND
Ethiopian Insurance Corporation (EIC) was established in 1976 by proclamation No.68/1975. The Corporation came into existence by taking over all the assets and liabilities of the thirteen nationalized private insurance companies, with Birr 11 million (USD 1.29 million) paid up capital aiming the following objectives.
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Engage in all classes of insurance business in Ethiopia;
Ensure the insurance services reach the broad mass of the people;
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Subject to the provision of Article 18 of the Housing and Saving Bank establishment proclamation No. 60/1975, promote efficient utilization of both material and financial resources.
EIC was operating the business for about nineteen years under protected monopolistic system as state owned-sole insurer. After the demise of the Marxist regime in mid-1991 a fundamental change has taken place and there was a shift in political, economic and social orientation from totalitarianism to that of liberalism. Therefore, EIC was re-established as public enterprise under proclamation number 201/94 with Birr 61 million (USD 7.13 million) paid up capital.
Upon re-establishment of the Corporation in 1994 as state owned enterprise, the law covers the following new objectives to the Corporation:
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Engage in the business of rendering insurance services;
Engage in any other related activities conducive to the attainment of its purposes. |
ORGANIZATIONAL STRUCTURE AND STAFFING
EIC is administered by the Board of Management, which reports to Public Financial Enterprises Agency, which is accountable to the Prime Minister's Office.
The top management team comprises the Chief Executive Officer, plus five Deputy Chief Executive Officers respectively responsible for:- General Insurance; Long Term Insurance; Resource Management; Finance & Investment; an Business Development & Risk Management and three Directorates.
The Senior management is supported by six directors of District A's and eight directors of district B's and network of 34 local branches plus four satellite offices all under the suppervision of their respective districts.
TOP MANAGEMENT
Staff Development
As of March 2009, EIC has 1172 employees with different educational background. Both the management and staff of EIC are highly skilled professionals with outstanding academic achievements as well as professional insurance qualifications and many years of practical experience in the insurance industry.
In order to upgrade the educational qualification of its employees, EIC proved its outstanding commitment in providing its staff with training programs both in the country and overseas.
VISION AND MISSION
Vision
The vision of the Ethiopian Insurance Corporation is to be a world class insurer.
Mission
Mission of the Ethiopian Insurance Corporation is to provide its customers an efficient & reliable insurance services which cover life, property and liability risks. EIC provides its service by giving a paramount importance to its customers safety and satisfaction; by making use of the right mix of expertise, the most up to date ICT and cost effective strategies.
Values
Ethiopian Insurance Corporation believes that:-
- The very existence of the Corporation is based on the satisfaction of its customers;
- A motivated and capable human resource is its main asset;
- It must be a user of up to date ICT;
- It must be a learning organization;
- It must be a partner for development;
- It must develop transparency and accountability;
- It must provide professional advice to its customers on loss prevention; and
- It must play a pivotal role in developing higher professional ethics in the insurance industry.
INVESTMENT AND INTERNATIONAL AFFILIATION
Investment
EIC is a share-holder in the following firms:
- African Import & Export Bank
- African Reinsurance Corporation
- Motor Engineering Company of Ethiopia(MoENCO) and
- Universal Investors Share Company
It also participates in co-financing of different projects in collaboration with Banks.
International Affiliation
EIC has a long standing and strong relation with many international Insurance Organizations and associations such as
- Federation of Afro Asian Insurers and Reinsurers (FAIR)
- African Insurance Organization (AIO) and
- Organization of Eastern and Southern African Insurers (OEASI)
REINSURANCE AND BROKERS
Reinsurance
EIC maintains a comprehensive range of outward reinsurance agreements with a selection of the leading international reinsurance companies representing first class security in the world reinsurance market, to spread its risks and provide greater security for its clients.
Some of EIC renisurers are:
Munich Re
- web site addresses
www.munichre.com
Swiss Re
- web site addresses www.swissre.com
Africa Re
- web site addresses www.africa-re.com
Moreover, EIC accepts inward reinsurance business from a variety of foreign insurance companies throughout Africa and Asia. It also participates in regional market pooling arrangements.
Note: There should be a link to the web site of those reinsuresrs. The website addresses are munichre.com, swissre.com and africa-re.com respectively.
Brokers
Some of the reinsurance Brokers are:
JB Boda - web site addresses www.jbboda.net
AON of London - web site addresses www.aon.net
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