GENERAL ACCIDENT ANNUAL REPORT | 2019 | 1
TABLE OF CONTENTS
GENERAL ACCIDENT AT A GLANCE
CORPORATE SOCIAL RESPONSIBILITY
6
7
8
10
11
12
15
16
Our Purpose
Our Vision
Corporate Structure
Key Financial Highlights
• Earnings per share
• Consistent Shareholder Dividend
• Stock Prices
Who Are We
We are Strong
10 - Year Statistical Review
Our Strategic Focus
Our Brand Promise
NOTICE OF ANNUAL GENERAL MEETING
18
Notice of Annual General Meeting
GOVERNANCE
23
25
26
30
Chairman’s Report
Directors’ Report
Directors’ Profiles
Corporate Governance Report
LEADERSHIP AND OPERATIONS
32
34
36
38
43
44
Senior Leadership Team
Management Team
Agent Network
Management Discussion
and Analysis
Risk Management
Risk Committee
45
49
Corporate Social Responsibility
Employee Engagement
DISCLOSURE OF SHAREHOLDINGS
51
53
54
Top 10 Shareholders
Directors’ Shareholdings
Senior Leadership and Management
Shareholdings
CORPORATE DATA
57
58
Company Profile
Contact Information
• Jamaica
- Kingston
- Montego Bay
• Trinidad
• Barbados
FINANCIAL STATEMENTS
68
69
70
71
73
74
75
76
78
Consolidated Statement of
Comprehensive Income
Consolidated Statement of
Financial Position
Consolidated Statement of
Changes in Equity
Consolidated Statement of Cash Flows
Company Statement of
Comprehensive Income
Company Statement of Financial Position
Company Statement of Changes in Equity
Company Statement of Cash Flows
Notes of the Financial Statements
PROXY FORM
GENERAL ACCIDENT
AT A GLANCE
OUR
PURPOSE
General Accident offers a wide range of
innovative, affordable general
insurance
products to deliver financial protection
and peace of mind to individuals, families
and businesses, while building a trained and
well-compensated staff complement and
delivering a fair return on investment to our
shareholders.
OUR
VISION
General Accident Insurance Company (GenAc)
is a regional market leader in the general
insurance sector contributing to Caribbean
development through sound risk transfer
mechanisms and excellent customer service.
We build robust and long-term financial
through profitable, sustainable
health
growth, supported by state-of-the-art digital
technology and innovative corporate social
responsibility programmes.
6 | GENERAL ACCIDENT ANNUAL REPORT | 2020
CORPORATE
STRUCTURE
General Accident
Insurance Group
Jamaica Revenue
J$ 11.592B
Barbados Revenue
J$ 59.59M
Trinidad Revenue
J$ 393.09M
149
Employees
3
Employees
53
Employees
Net Assets
J$ 2.573B
Net Assets
J$ 180.22M
Net Assets
J$ 783.52M
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 7
KEY FINANCIAL
HIGHLIGHTS
EARNINGS PER SHARE
EARNINGS PER SHARE
.60
.50
.40
.30
.20
.10
0
0.38
0.21
0.28
0.24
0.54
27%
11%
-1%
6%
1%
30
25
20
15
10
5
0
2016
2017
2018
2019
2020
2016
2017
2018
2019
2020
CONSISTENT SHAREHOLDER DIVIDEND
$0.25
62%
54%
57%
52%
68%
80%
$0.22
70%
$0.20
48%
$0.20
$0.19
50%
$0.17
$0.17
$0.15
$0.14
34%
$0.14
$0.15
$0.10
$0.05
$0.00
60%
50%
40%
30%
20%
10%
0%
2013
2014
2015
2016
2017
2018
2019
2020
8 | GENERAL ACCIDENT ANNUAL REPORT | 2020
Divdend per Share
Dividend as percentage of profit
8
7
6
5
4
3
2
1
0
KEY FINANCIAL
HIGHLIGHTS
STOCK PRICE AT YEAR END
$7.10
$6.19
$2.50
$1.76
$1.63
$1.75
$2.05
$3.54
$2.99
$2.80
DEC 2011
DEC 2012
DEC 2013
DEC 2014
DEC 2015
DEC 2016
DEC 2017
DEC 2018
DEC 2019
DEC 2020
STOCK PRICES – 2020
$6.07
$6.36
$6.19
$5.01
MAR 2020
JUN 2020
SEP 2020
DEC 2020
8
7
6
5
4
3
2
1
0
8 | GENERAL ACCIDENT ANNUAL REPORT | 2020
9 | GENERAL ACCIDENT ANNUAL REPORT | 2020
WHO WE ARE
19
MARKET SHARE
60,812
POLICIES IN FORCE
205
EMPLOYED
COUNTRIES3
54,000
POLICYHOLDERS
1,390
SHAREHOLDERS
10 | GENERAL ACCIDENT ANNUAL REPORT | 2020
WE ARE STRONG
11.1 Billion
in TOTAL ASSETS
12.0
Billion
in GROSS
WRITTEN PREMIUM
260 Million
in PROFIT BEFORE TAX
194 Million
in NET PROFIT
1.445 Million
in UNDERWRITING PROFIT
294
in INVESTMENT
INCOME
Million
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 11
10 - YEAR
STATISTICAL REVIEW
Employees
2020
$'000
205
2019
$'000
132
Gross Written Premiums
12,044,990
10,727,828
1,816,926
1,205,328
1,445
259,536
193,812
222,668
442,136
770,154
651,558
142,684
2018
$'000
131
8,735,797
1,023,022
174,768
352,569
285,370
150,047
2017
$'000
111
7,106,254
1,087,590
-35,532
236,077
221,236
200,001
5,649,097
6,112,355
5,072,375
4,479,755
3,788,969
3,626,395
2,203,074
2016
$'000
91
746,073
45,609
404,243
386,879
175,003
66%
11%
22%
9%
11%
54%
8
2.99
57%
2015
$'000
90
696,480
114,656
303,448
304,418
172,219
62%
8%
19%
10%
12%
27%
6.8
2.05
54%
2014
$'000
78
678,558
101,941
319,965
320,078
203,878
63%
10%
22%
13%
8%
8%
5.6
1.75
62%
2013
$'000
83
646,791
58,503
323,702
327,914
140,025
65%
14%
25%
10%
13%
10%
5.6
1.8
48%
2012
$'000
77
540,775
117,362
285,269
290,537
100,031
58%
11%
25%
8%
13%
-26%
6.3
1.76
35%
2011
$'000
44
420,142
161,589
1,341,478
1,284,816
90,925
51%
61%
101%
8%
-10%
1.7
2.5
0%
2010
$'000
69
426,624
68,862
244,775
213,944
95,000
62%
13%
21%
8%
23%
-
-
-
-
2,974,866
3,003,565
2,056,612
1,937,771
1,964,420
1,775,297
1,579,382
1,456,944
1,288,850
1,140,743
1,270,502
66%
6%
6%
7%
-1%
-10%
25.8
6.19
34%
54%
6%
32%
6%
27%
104%
13.1
7.1
50%
63%
5%
15%
8%
6%
32%
12.6
3.54
68%
82%
11%
11%
10%
-1%
0%
13.3
2.8
52%
6,383,438
7,321,875
3,650,625
2,887,500
3,083,438
2,114,063
1,804,688
1,856,250
1,815,000
2,578,125
Claims Incurred
Underwriting Profit/(Loss)
Profit Before Tax
Profit After Tax
Cash Dividends
Shareholder’s Equity
Loss Ratio
Investment Return
Return On Equity
Dividend Yield On Average Equity
Net Worth Movement
Total Return To Shareholders
P/E Ratio
Closing Stock Price
Dividend Payout Ratio
Market Capitalization
12 | GENERAL ACCIDENT ANNUAL REPORT | 2020
Employees
Claims Incurred
Underwriting Profit/(Loss)
Profit Before Tax
Profit After Tax
Cash Dividends
Shareholder’s Equity
Loss Ratio
Investment Return
Return On Equity
Dividend Yield On Average Equity
Net Worth Movement
Total Return To Shareholders
P/E Ratio
Closing Stock Price
Dividend Payout Ratio
Market Capitalization
1,816,926
1,205,328
2020
$'000
205
1,445
259,536
193,812
222,668
66%
6%
6%
7%
-1%
-10%
25.8
6.19
34%
2019
$'000
132
442,136
770,154
651,558
142,684
54%
6%
32%
6%
27%
104%
13.1
7.1
50%
2018
$'000
131
8,735,797
1,023,022
174,768
352,569
285,370
150,047
2017
$'000
111
7,106,254
1,087,590
-35,532
236,077
221,236
200,001
63%
5%
15%
8%
6%
32%
12.6
3.54
68%
82%
11%
11%
10%
-1%
0%
13.3
2.8
52%
Gross Written Premiums
12,044,990
10,727,828
5,649,097
6,112,355
5,072,375
4,479,755
3,788,969
3,626,395
2,203,074
2016
$'000
91
2015
$'000
90
2014
$'000
78
2013
$'000
83
2012
$'000
77
2011
$'000
44
2010
$'000
69
2,974,866
3,003,565
2,056,612
1,937,771
1,964,420
1,775,297
1,579,382
1,456,944
1,288,850
1,140,743
1,270,502
746,073
45,609
404,243
386,879
175,003
696,480
114,656
303,448
304,418
172,219
678,558
101,941
319,965
320,078
203,878
646,791
58,503
323,702
327,914
140,025
540,775
117,362
285,269
290,537
100,031
420,142
161,589
1,341,478
1,284,816
90,925
426,624
68,862
244,775
213,944
95,000
66%
11%
22%
9%
11%
54%
8
2.99
57%
62%
8%
19%
10%
12%
27%
6.8
2.05
54%
63%
10%
22%
13%
8%
8%
5.6
1.75
62%
65%
14%
25%
10%
13%
10%
5.6
1.8
48%
58%
11%
25%
8%
13%
-26%
6.3
1.76
35%
51%
61%
101%
8%
-10%
1.7
2.5
0%
6,383,438
7,321,875
3,650,625
2,887,500
3,083,438
2,114,063
1,804,688
1,856,250
1,815,000
2,578,125
62%
13%
21%
8%
23%
-
-
-
-
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 13
14 | GENERAL ACCIDENT ANNUAL REPORT | 2020
OUR STRATEGIC FOCUS
VALUE CREATION AND LONG-TERM SUSTAINABILITY
GenAc provides risk transfer mechanisms to our customers, guided by 39 years of expertise and experience. We
facilitate and support commerce by protecting the assets of people and businesses. Using sound investment decisions
and a strategy of managed growth, we have built a strong balance sheet to ensure financial stability and strength. We
create value for our shareholders, policyholders and employees while meeting all regulatory requirements.
DISTRIBUTION CHANNELS
Our head office is located in Kingston, Jamaica, and we
write business through a network of valued insurance
professionals islandwide. We have also embarked on
a regional expansion programme and now offer our
insurance products in Trinidad & Tobago and Barbados.
We continue to look at other expansion opportunities
within the Caribbean.
FAST, FAIR CLAIMS SETTLEMENT
We are committed to fast, fair claims settlement as a key
element of efficient insurance services. We believe that
the importance of insurance cover is tested at the time of
a claim, and we seek to demonstrate to our clients that
we are worthy of their trust and confidence.
ROBUST RISK MANAGEMENT
We have developed a comprehensive risk management
framework to ensure risk tolerance limits are assessed
and adhered to, particularly with regard to the acquisition
of critical reinsurance support.
UTILIZING INFORMATION TECHNOLOGY
We have invested in continuous improvement of information
technology to deliver simple, accessible online processes
to our customers. We understand that ease of doing
business brings a competitive advantage and we seek to
ensure our customers receive the same superior level of
service whether they contact us in person, by telephone
or online. We place high priority on secure systems to
handle payments, claims, new business and renewals. We
believe our growing facility with data analytics allows us
to respond quickly to changing markets for the benefit
of our customers.
DEVELOPING THE GENAC TEAM
Insurance is a technical discipline and GenAc has a long
history of recruiting, training and retaining expertise,
providing all our employees with a culture of excellence
and opportunity. We invest in the development of our staff
members at every level by providing frequent training and
mentorship programmes.
MAXIMIZING OPERATIONAL EARNINGS
Our growth and profitability initiatives remain:
• Growth in value-priced and profitable product lines.
• Payment of dividends to shareholders.
• Steady strengthening of our balance sheet, liquidity
base and capital to provide the essential foundation
for growth.
• Constant improvements in operational efficiencies
to deliver excellent service to our policyholders.
EMBRACING CORPORATE SOCIAL RESPONSIBILITY
GenAc ensures its business model complies with the
principles of good corporate citizenship. We are conscious
of our impact on all aspects of society and we self-regulate
our operations to make certain they benefit the economy,
society and the environment.
With the consistent guidance and expertise of our Board
of Directors, we seek to:
• Provide a productive, well-compensated and incentive-
driven work environment for our employees.
• Involve our staff in outreach efforts to support
education, under-served children and the natural
environment.
• Ensure all we do is grounded in high standards of
integrity and ethical conduct.
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 15
BRAND PROMISE
Our values are at the heart of
how we do business. They
guide us in everything we do -
from performing our regular
daily responsibilities to making
important decisions.
PERFORMANCE
We strive for service that exceeds
customer expectations.
INTEGRITY
We are honest and
fair in all our actions.
RESPONSIBILITY
We have a strong sense of
responsibility towards our
customers, society, the
environment and each other.
SOLID FOUNDATION
We maintain financial strength
to ensure consistent
profitable growth.
INNOVATION
We are creative, willing to
make bold decisions and
challenge the status quo.
16 | GENERAL ACCIDENT ANNUAL REPORT | 2020
NOTICE OF
ANNUAL GENERAL MEETING
NOTICE OF
ANNUAL GENERAL MEETING
General Accident Insurance Company (Jamaica) Limited
NOTICE IS HEREBY GIVEN THAT the Annual General Meeting of General Accident Insurance Company (Jamaica) Limited
(the “Company”) will be held at 9:00 am on September 15, 2021 at Liguanea Club, 5 Knutsford Blvd, Kingston 5, for
shareholders to consider and, if thought fit, to pass the following resolutions:
ORDINARY RESOLUTIONS
1. To receive the report of the Board of Directors and the Audited Financial Statements for the financial year
ended December 31, 2020.
2. To authorize the Board of Directors to reappoint PricewaterhouseCoopers as the auditors of the Company
and to fix their remuneration.
3. To re-appoint the following Directors of the Board who have resigned by rotation in accordance with the Article of
Incorporation of the Company and, being eligible, have consented to act on reappointment:
(a) To reappoint Gregory Foster Director of the Board of the Company.
(b) To reappoint Matthew Lyn Director of the Board of the Company.
(c) To reappoint Duncan Stewart Director of the Board of the Company.
4. To authorize the Board of Directors to fix the remuneration of the Directors.
5. To approve the aggregate amount of interim dividends declared by the Board during the financial year ended
December 31, 2020 being $222,670,500.03 or 21.592 cents per ordinary share, as the final dividend for
that year.
Dated this the 16th day of June, 2021 by Order of the Board
Geoffrey Messado
DIRECTOR
18 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GOVERNANCE
Paul B. Scott
CHAIRMAN
22 | GENERAL ACCIDENT ANNUAL REPORT | 2020
General Accident navigated the impact of the Covid 19 pandemic in 2020 while continuing to
execute our strategy of building a leading regional general insurance company.
Our brand, our people and our relationships allowed General Accident to deliver outstanding,
uninterrupted service to our broker partners, reinsurers and policyholders despite one of the
most uncertain operating environments on record.
In fact, General Accident grew gross written premiums by 12%, produced a 15% return on
equity and distributed over $220 million of dividends to our shareholders. More importantly,
we cemented our position as the largest underwriter of general insurance risks in Jamaica while
building our emerging operations in Trinidad and Barbados.
In 2020 our Jamaican property and motor insurance operations had another year of strong
premium growth and profitability. The decline in General Accident’s consolidated profits reflects
our decision to invest in the organic growth of our newer regional subsidiaries. While these
investments may have a short-term impact on our financial results, they create considerable value
and are in the long-term best interest of General Accident. Moreover, they involve considerably
less risk than growing our General Accident through large acquisitions.
The accelerated adoption of technology in our region triggered by the pandemic has validated
our commitment to a regional strategy. Our presence in all three of the Caribbean’s largest
insurance markets diversifies our underwriting risk and creates economies of scale. However,
it also better enables General Accident to invest, develop and deploy digital insurance solutions.
As we look forward our focus is on solidifying our market leadership in Jamaica, expanding our
operations in Trinidad and Barbados and placing technology at the center of our operations.
Sincerely,
Paul B. Scott
CHAIRMAN
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 23
CHAIRMAN’S REPORT 24 | GENERAL ACCIDENT ANNUAL REPORT | 2020
DIRECTORS’ REPORT
The Directors are pleased to present their report for
General Accident Insurance Company (Jamaica) Limited
for the financial year ended December 31, 2020.
The Directors to retire by rotation in accordance with
the Articles of Incorporation are: Gregory Foster,
Matthew Lyn and Duncan Stewart but being eligible, will
offer themselves for re-election.
FINANCIAL RESULTS
The Statement of Comprehensive Income for the Group
shows pre-tax profits for the year of $259.5 million,
taxation of $65.7 million and a net profit after tax of
$193.8 million. Details of these results, along with
a comparison with the previous year’s performance
and the state of affairs of the Group are set out in the
Management Discussion and Analysis and the Financial
Statements which are included as part of this Annual
Report.
DIRECTORS
The Directors of the Company as at December 31,
2020 are: P.B. Scott, Melanie Subratie, Sharon Donaldson,
Gregory Foster, Geoffrey Messado, Christopher Nakash,
Jennifer Scott, Nicholas Scott, Duncan Stewart, Matthew Lyn
and Brian Jardim.
AUDITORS
The auditors of the company, PricewaterhouseCoopers
of Scotiabank Centre, Duke Street, Kingston, Jamaica
have expressed their willingness to continue in office.
The Directors recommend their re-appointment.
DIVIDEND
A dividend of 21.592 cents per share paid on December
14, 2020, is proposed to be the final dividend in respect
of the financial year ended December 31, 2020.
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 25
DIRECTORS’ PROFILES
PAUL B. SCOTT
(appointed November 1998)
PB Scott is the Chairman, CEO and principal shareholder of the Musson Group.
He joined the group in 1994, became CEO in 2004, and in 2009 was appointed
Chairman of the Board. He is responsible for the strategic direction, performance
and overall operations of the Musson Group and all of its subsidiaries, including
the Facey Group, PBS Group, Seprod, T. Geddes Grant Distributors Ltd. and
General Accident Insurance Company Ltd. among others.
In addition to his responsibilities at Musson he serves on many public boards and
commissions. He is a trustee of the American International School of Jamaica
and currently is Chairman of the Development Bank of Jamaica. He is a past
President of the Private Sector Organization of Jamaica.
SHARON DONALDSON
(appointed March 2008)
Sharon Donaldson has been the Managing Director of the Company since 2008.
She holds a Bachelor of Laws (LL.B.) from the University of London and an MBA
from the University of Wales. She is a Chartered Accountant; a fellow member
of the Institute of Chartered Accountants of Jamaica and an Attorney-at-Law.
Ms. Donaldson represents the local general insurance industry in discussions
with the Financial Services Commission, is treasurer for the Council of the
Institute of Chartered Accountants of Jamaica and heads the committee of
Professional Accountants in Business.
Ms. Donaldson is also a Director of Musson (Jamaica) Limited, the parent company
to General Accident and Eppley Limited. She serves as a Director and mentor
of 138 Student Living Limited and Paramount Trading Jamaica Limited. She is
also a member of the Jamaica Anti-Doping Commission.
CHA IR MAN
MANAGING DIRECTOR
26 | GENERAL ACCIDENT ANNUAL REPORT | 2020
DIRECTORS’ PROFILES
MELANIE SUBRATIE
(appointed March 2002)
Melanie Subratie is a non-executive Director of the Company and holds a B.Sc.
(Hons)from the London School of Economics. She is Chairperson of the Investment
Committee of the Board.
Mrs. Subratie is Chairperson and CEO of Stanley Motta Ltd. and Vice Chairman of
Musson (Ja.) Ltd. She is also the Vice Chair of Eppley Ltd. and sits on the Executive
Board of the Seprod Group of Companies and all its subsidiary boards. She chairs
the Audit Committee for both Productive Business Solutions Ltd and Seprod Ltd.
She is Chairperson of Seprod Foundation, Musson Foundation, Jamaica Girls Coding
and RISE Life Management. Mrs. Subratie is an Angel investor and sits on the Boards
of LoanCirrus, Bookfusion, and First Angels. She is fourth Vice President of the
Jamaica Chamber of Commerce.
GEOFFREY MESSADO
(appointed May 2001)
Geoffrey Messado is a non-executive Director of the Company and is Chairman of
the Audit Committee of the Board.
Mr. Messado is also the Company Secretary of the Musson Group, and he serves
as a Director of certain subsidiaries and affiliated companies. He also serves as
Chairman of Mapco Printers Limited and Devon House Development and as a
Director of Edgechem (Jamaica) Limited, Spirits Pool Association, KRB Lea Jamaica
Rums Limited, Ciboney Group Limited and the Jamaica Agricultural Development
Foundation.
DEPUTY CHAIRMAN
Mr. Messado is a Chartered Accountant, FCA, FCAA, ATII and a Justice of the Peace
for St. Andrew.
NON EXECUTIVE DIRECTOR
JENNIFER SCOTT
(appointed December 2009)
Jennifer Scott is a non-executive Director of the Company. Mrs. Scott holds
a B.Sc.(Hons) in Psychology from Newcastle University, United Kingdom, a
Graduate Diploma in Legal Studies from Keele University, UK, and Certificate
of Legal Practice from the College of Law, London. She was admitted as a
Solicitor of Supreme Court of England and Wales.
She attended Norman Manley Law School, and was admitted as an Attorney-
at-Law of the Supreme Court of Jamaica in 2014. She is a consultant at Clinton
Hart & Co., Attorneys-at-Law, specialising in financial securities and corporate law.
NON EXECUTIVE DIRECTOR
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 27
DIRECTORS’ PROFILES
NON EXECUTIVE DIRECTOR
INDEPENDENT NON
EXECUTIVE DIRECTOR
NICHOLAS A. SCOTT
(appointed July 2011)
Nicholas Scott is a non-executive Director of the Company and the Chief
Investment Officer for the Musson Group. He also serves as the Managing
Director of Eppley Ltd. and as a Director of many of the Musson subsidiaries
and affiliates including Seprod.
He returned to Jamaica in 2009 after working as a private equity investor and
investment banker at the Blackstone Group in New York and Brazil.
Mr. Scott holds a BSc. in Economics (Magna Cum Laude) from the Wharton School
at the University of Pennsylvania, an MBA (Beta Gamma Sigma) from Columbia
Business School and a MPA from the Harvard Kennedy School of Government.
DUNCAN STEWART
(appointed August 2011)
Duncan Stewart is an independent, non-executive Director of the Company.
He is one of the family leaders of Stewart’s Auto Sales Ltd. and its affiliated
companies, Stewart’s Auto Paints Ltd., Tropic Island Trading Co. Ltd. and Silver
Star Motors Ltd.
He joined his family’s business as a 3rd generation member in 1985 after
graduating with a B. Eng (Mech) degree from McGill University. He learned
the business by working his way through the ranks, learning and following the
family’s culture of service.
CHRISTOPHER NAKASH
(appointed December 2006)
Christopher Nakash is an independent non-executive Director of the Company. Mr.
Nakash brings to the Board his management experience, gained as Chief Executive
Officer of Nakash Construction & Equipment Limited.
In the past, Mr. Nakash also served as General Manager of Netstream Global
(2003 to 2008), and he was also a founding member and Director of the
Riverton Improvement Association and Intelligent Multimedia Limited. Mr.
Nakash holds a BBA from University of New Brunswick, Canada.
INDEPENDENT NON
EXECUTIVE DIRECTOR
28 | GENERAL ACCIDENT ANNUAL REPORT | 2020
DIRECTORS’ PROFILES
GREGORY ST. HUGH FOSTER
(appointed April 2018)
Gregory Foster is an executive Director of the Company and a member of the
Audit Committee of the Board. He serves as the Group’s Chief Operating Officer.
He obtained his Association of Chartered Certified Accountant (Glasgow, UK)
professional qualification in 2006, and is also a member of Institute of Chartered
Accountants of Jamaica.
BRIAN JARDIM
(appointed August 2017)
Brian Jardim is an independent non-executive Director of the Company. He is the
founder and CEO of Rainforest Seafoods Ltd., the leading seafood harvester,
processor and distributor in the Caribbean.
Mr. Jardim currently serves as a director on the Board of the Jamaica Observer,
We Care for Cornwall Regional Hospital, and Industrial Chemical Company
among others.
He is a Certified Public Accountant (CPA), a graduate of the University of
Florida where he obtained a MSc. in Financial Accounting and a BSc. in Business
Administration. He also holds a Diploma in Business Administration from
Ryerson University.
MATTHEW LYN
(appointed July 2015)
Matthew Lyn is an independent non-executive Director of the Company.
Mr. Lyn is the Chief Operating Officer of the CB Group and its related companies,
including CB Foods Ltd., Newport Mills Ltd. and Imagination Farms Ltd.
He holds a B.B.A from the Goizuetta Business School at Emory University.
EXECUTIVE DIRECTOR
INDEPENDENT NON
EXECUTIVE DIRECTOR
INDEPENDENT NON
EXECUTIVE DIRECTOR
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 29
CORPORATE GOVERNANCE
REPORT
CORPORATE GOVERNANCE
The Group’s Corporate Governance structure is designed
to support the transparency and accountability of the
people and processes in the Group as it expands its reach
in the region. We believe that Corporate Governance in the
Group is purpose focused and executed at a high stan-
dard, considering both local corporate governance prac-
tices and key aspects of global best practices.
The Group’s corporate governance standards reflect
the key tenets of responsibility, integrity, prudence,
transparency and fair and equitable decision making. The
members of the Board of Directors and those entrusted
with administering our Corporate Governance embody
diversity, experience, and proven excellence in their fields.
Our Directors and Committees are aligned behind the
strategic and corporate objectives set by management and
are tasked with monitoring and ensuring that the efforts
of all stakeholders support those objectives.
The Board is composed to promote independence. The
Board is comprised of eleven (11) members, a non-executive
Chairman, eight (8) non-executive directors and two (2)
executive directors.
that the company conducts its affairs responsibly and in
keeping with our values and the broad requirements of
the Regulators. The Conduct Review Committee compris-
es of three (3) directors.
The committee meets at least three (3) times a year.
THE AUDIT COMMITTEE
The committee is responsible for providing oversight and
advice to the Board on all matters relating to financial
reporting, internal controls, and approval of financial
reports to be circulated to all regulatory bodies.
The Audit Committee Comprises of three (3) non-
executive directors and one (1) executive director.
The Audit Committee meets at least five (5) times for the
year.
INVESTMENT AND LOAN COMMITTEE
The Committee is responsible for driving the Group’s
investment strategy and ensuring that the strategy
meets all compliance requirements, inter alia, liquidity,
quality, and term of investments. The committee also
ensures that any material financial arrangement meets
regulatory standards and fits the credit risk appetite of
the Company.
In 2020 Board meetings were held both virtually and in
person throughout the year.
The Investment and Loan Committee comprises of (3)
non-executive directors and one (1) executive director.
THE COMPENSATION COMMITTEE
The Compensation Committee is responsible for oversight
of executive remuneration packages. These packages are
designed to reward performance and incentivize growth
and are driven by the core organization objectives and in
alignment with necessary risk considerations.
The committee meets at least four (4) times for the year.
BOARD AND COMMITTEE MEETINGS
In 2020 Board and Committee meetings were held virtually
as much as possible. The committees and members
continued to fulfill their mandate to the Group.
THE CONDUCT REVIEW COMMITTEE
The committee has responsibility for oversight of, and ad-
vice to the Board on, policies and procedures to ensure
Committee meetings are held at least four (4) times each
year and more often if warranted.
30 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2019 | 31
LEADERSHIP
AND OPERATIONS
SENIOR LEADERSHIP TEAM
CEO & MANAGING DIRECTOR
SHARON DONALDSON
Sharon Donaldson has been with the company for over 30 years, first joining
as the Financial Controller in 1989 before becoming the Managing Director and
CEO in 2008.
Sharon’s primary responsibilities include making major corporate decisions,
managing the overall operations and resources of the Group and acting as the
main point of communication between the Board of Directors and corporate
operations.
CHIEF OPERATING OFFICER
GREGORY FOSTER
Gregory Foster is GenAc’s Chief Operating Officer with responsibility for the
underwriting, claims and AutoSmart divisions. Mr. Foster joined GenAc in 2014
with a strong background as an audit manager and has held his current position
since January 2019.
He has accumulated over seven years of experience in providing audit services
to a wide spectrum of clients, including government/public sector, financial
services, and manufacturing and distribution.
CEO - TRINIDAD & TOBAGO
NATASHA PETTIER
Natasha Pettier is the Chief Executive Officer of General Accident Insurance
Company Trinidad and Tobago Limited. She joined the Company in October 2019
as head of underwriting and insurance operations.
She holds a Bachelor of Laws (LL.B.), an MBA from the Heriot-Watt University,
UK, is a Fellow of the Chartered Insurance Institute of London, a qualified
Member of the Institute of Risk Management and a Health Insurance Associate.
She has over 20 years’ experience in the insurance industry and is involved with
various committees of both the Association of the Trinidad and Tobago Insurance
Companies and the Trinidad and Tobago Insurance Institute.
32 | GENERAL ACCIDENT ANNUAL REPORT | 2020
WANDA MAYERS
GENERAL MANAGER
- BARBADOS
Wanda Mayers is the General Manager of General Accident Insurance Company
(Barbados) Limited. Her experience in general insurance includes customer
service, marketing, reinsurance underwriting and claims. After becoming the
Associate of the Chartered Insurance Institute (ACII) in the United Kingdom,
she rose in the ranks at the Insurance Corporation of Barbados Limited, from
Supervisor of the Reinsurance Department in 1993 to Assistant Vice President
of Direct Underwriting and Customer Experience in 2015.
Her managerial experience was strengthened at Sagicor General Insurance
Inc., as Vice-President for Underwriting in Barbados, ending in 2018. Myers has
tutored various subjects at the Insurance Institute of Barbados and has served
as Director of several companies in the public and private sector.
LESLEY MILLER
CHIEF INFORMATION
OFFICER
Lesley Miller joined GenAc as Chief Information Officer in January 2018 with
responsibility for technology, business intelligence and digital marketing, bringing
over 15 years’ experience in the insurance and telecommunications industries
to the Company.
Mrs. Miller holds a Bachelor of Science degree in Computing & Information
Technology from the University of Technology (Jamaica) and an MBA in Banking
and Finance from the University of the West Indies. She is a certified Project
Management Professional and is a member of the Doctor Bird Chapter of the
Project Management Institute.
LINDSAY GONSALVES
CHIEF FINANCIAL OFFICER
- TRINIDAD & TOBAGO
Lindsay Gonsalves has long experience in the fields of auditing, insurance and
management consulting. He joined the Company in September 2018 as Chief
Financial Officer and a Director of the GenacTT Insurance Board.
Mr. Gonsalves holds an ACCA degree and is a fellow member of the ACCA of
England and Wales. He is a member in practice of the Institute of Chartered
Accountants of Trinidad & Tobago, holds a Practicing Certificate and became a
Fellow of the Association in 1992.
JAMALDA
STANFORD-BROWN
BUSINESS DEVELOPMENT
OFFICER
Jamalda Stanford-Brown joined GenAc as Business Development Officer in
January 2018. She has a wealth of experience in auditing, risk assessment and
reinsurance.
Mrs. Stanford-Brown holds a Bachelor of Science degree in Economics and
Accounting from the University of the West Indies. She is a Certified Public
Accountant, a Chartered Property and Casualty Underwriter and holds an
Associate Degree in Reinsurance.
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 33
MANAGEMENT TEAM
CAREEN NOLAN
Head of Property
& Casualty Division
ANGELLA REYNOLDS
Underwriting Consultant
TRACEY-ANN THOMPSON
Underwriting Manager
(Property & Casualty Division)
PETAGAYE MCCOOK
Legal Services Manager
CAROL BARNETT
Claims Manager
JANILLE JARRETT
Underwriting Manager
(Motor Division)
34 | GENERAL ACCIDENT ANNUAL REPORT | 2020
MANAGEMENT TEAM
JOAN MCLEGGON
Chief Human
Resource Officer
CHERYLL HENRY
Operations & Facilities
Manager
DOUGLAS HAYDEN
Information Technology
Manager
TANYA OAKLEY
Business Intelligence
Manager
JANETTE COLE-SMITH
Finance & Compliance
Manager
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 35
AGENT NETWORK
BARBARA SAMUELS
Kingston
CADDINE WILLIAMSON
Mandeville , Manchester
MARLENE DUFFUS
Kingston
DEBRA REID-GIBBS
Portmore, St. Catherine
ORAL MYLES
Sav-la-mar, Westmoreland
CHERRICE BROWN
Ocho Rios, St. Ann
ROCHELLE CLARKE
Sav-la-mar, Westmoreland
MARLON CREARY
Kingston
36 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 37
MANAGEMENT DISCUSSION
AND ANALYSIS
38 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 38
PROFITABILITY
The COVID-19 pandemic had a devastating economic and
social impact on the entire Caribbean region, beginning in
first quarter 2020 and continuing for the entire year. The
insurance industry was not immune to this unprecedented
threat and saw significant deterioration in market vibrancy,
especially in those islands heavily dependent on tourism.
The region was also affected by low vaccine availability
and relatively high levels of vaccine hesitancy. All three
islands have had to grapple with business lockdowns,
layoffs, curfews, work from home orders leading to a
significant economic contraction. This in turn required
unplanned expenditure in extending digital networks,
renovating new office space to accommodate distancing
requirements and facilities for remote working.
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 39
MANAGEMENT DISCUSSION
AND ANALYSIS CON’T
by the uptick in new business revenue. During the year
we successfully navigated, the installation of a new CEO,
a name change, a rebranding exercise, and the major
milestone of expanding our range of insurance products
beyond the traditional motor class of business. We
received approval from the Central Bank of Trinidad and
Tobago to write seventeen (17) new lines of business and
with support from our panel of reinsurers, we welcome
the opportunity to become a major general insurance
provider in the region.
Genac Barbados was granted an operating licence in
April 2020 and commenced operations in May 2020. The
formal launch and marketing plans for the company’s first
year had to be postponed due to the pandemic, and the
focus shifted to building a stable and balanced portfolio
through broker relationships. Initial results were buoyed
by group businesses along with a growing portfolio of
direct personal lines business, but the sluggishness of
the economy and COVID-19 operating restrictions made
brand penetration difficult.
The financial year closed with revenue of $60.0 million
for the eight (8) months of operation. This was well below
budgeted expectations and significant start-up costs led
to a loss of $34.0 million for 2020.
As a new entrant in two islands, part of our competitive
advantage is the streamlined business processes resulting
from the investment in digitization made in 2020. This
positions us comfortably for a more efficient and cost
effective 2021. We will leverage our market reach,
digital capabilities, and financial strength to capitalize on
opportunities to provide a full suite of insurance products
to the Caribbean.
The year under review was the first year the consolidated
results for the entire group included the 12-month
operations of GenAcTT and the 9-month operations of
GenAc Barbados. The pandemic retarded the projected
progress of both companies, including the curtailment of
marketing initiatives and the physical upgrade of several
of our primary location which had been planned for early
2020. Despite adherence to disciplined underwriting and
robust claims processing, the failure to make premium
budgets, increased motor losses in Jamaica and pandemic-
related expenses in all territories produced a below
budget performance for the group in 2020.
The General Accident Group produced a consolidated
profit before tax of $259.5 million, 34% lower than 2019.
Despite the extremely challenging economic environment,
the group did produce an underwriting profit of $1.4
million, compared to $442.1 million in 2019 and a net
profit of $194.0 million compared to $652.0 million in
the prior year, a significant reduction in profitability. It
is worth noting, however, that 2019’s results included
one off gains on acquisition amounting to $130.0 million.
Notwithstanding COVID-19’s devasting impact on regional
economies, we maintained a high level of flexible customer
service, expanded digital competence and avenues, and
provided effective communication for customers and
stakeholders.
General Accident Jamaica produced revenue of $11.6
billion, up on prior year of $10.6 billion; underwriting
profit of $175.6 million down on prior year of $377.0
million; net profit of $393.4 million also fell below prior
year of $445.0 million.
GenacTT produced revenue of $393.0 million and a net
loss of $125.7 million in its first full year of operation.
Although performance fell below budget, we are encouraged
40 | GENERAL ACCIDENT ANNUAL REPORT | 2020
NET PROFIT OVER
FIVE YEARS $’000
651,558
387,879
221,236
285,370
193,812
2016
2017
2018
2019
2020
UNDERWRITTEN PROFIT/(LOSS)
OVER FIVE YEARS $’000
442,136
174,768
45,609
2016
2017
2018
2019
2020
1,445
FINANCIAL PERFORMANCE HIGHLIGHTS
Genac Group
• Nineteen years of consistent premium growth
• Profit for the year of $194.0 million
• Earnings per share of $0.24
• Book value of $2.97 billion
• Annualized return on equity of 6.5%
Genac Jamaica
• 19 years of premium growth
• Profit for the year of $393.4 million
• Earnings per share of $0.38
• Book value of $2.57 billion
• Annualized return of 8.0%
Profit attributable to shareholders was $193.8 million in
2020. We paid dividends amounting to $222.7 million in
the year under review.
(35,532)
INVESTMENT INCOME
In contrast to the technical income, investment income
increased by 28% to $294.0 million, up from $230.0
million. We are pleased that we were able to produce a
return on investment (ROI) of 5.0%. During the year, the
investment portfolio generated total recognized gains of
$266,737 million with a loss of $27.5 million reported
in Other Comprehensive Income.
FINANCIAL STRENGTH
We continue to enjoy investor confidence as although the
company’s market capitalization dipped below prior year
market cap of $7.3 billion, nevertheless remains fairly
strong at $6.46 billion. The General Accident Group is
well capitalized with an equity book value of $3.0 billion,
which remains reasonably stable despite the negative
headwinds of 2020.
Total assets of $11.2 billion saw a marginal increase of
2%, up from $11.0 billion and Cash and Cash Equivalent
were $756.5 million compared to $642.3 million in 2019.
NET PROFIT OVER
FIVE YEARS $’000
651,558
387,879
221,236
285,370
193,812
2016
2017
2018
2019
2020
UNDERWRITTEN PROFIT/(LOSS)
OVER FIVE YEARS $’000
442,136
174,768
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 41
45,609
1,445
2016
2017
2018
2019
2020
(35,532)
MANAGEMENT DISCUSSION
AND ANALYSIS CON’T
CAPITAL MANAGEMENT
The company manages its capital to maximize long term
shareholder value while maintaining financial strength. We
aim to meet regulatory and solvency ratios consistently.
Our policy is to allocate capital to investment opportunities
earning the highest risk adjusted returns, as we seek
to maintain a balance between higher returns and the
security of a sound capital position.
We are pleased to report that we met the regulatory
capital and liquidity requirements for all entities for 2020.
Description
Benchmark
Actual
Jamaica MCT
200.80%
240.40%
Trinidad & Tobago
Solvency Margin
Barbados Solvency
Margin
250,000 TTD
34.1M TTD
500,000 BBD
2.03M BBD
LOOKING AHEAD
For the entire year and throughout the region, coun-
try-specific COVID-19 containment measures resulted
in reduced operating hours for most companies, closure
of schools, which in turn caused childcare difficulties for
employees, internet access limitations and other chal-
lenges that negatively impacted our performance. Inter-
national travel restrictions adversely affected tourism
and other businesses, which led to reduced demand for
insurance products.
At the start of 2021, we have seen a gradual recovery
of Caribbean economies and we anticipate that this will
lead to increased demand of our products. We remain
committed to delivering our strategic objectives. We look
ahead with confidence and enthusiasm as we believe we
have the right approach, culture, and products to compete
in a new digitized, customer-focused marketplace.
We believe we will be able to achieve robust financial
performance and satisfied policyholders by completing
the digital transformation that is already well underway.
I would personally like to extend sincere thanks to the Board
of Directors for providing insight, guidance and support
to the management and staff. To the hardworking staff
members in all three islands, my heartfelt gratitude and
appreciation to you for your commitment to the success
of the company. To our brokers and insureds, thank you
for the confidence you have placed in us.
We take our brand promise of excellence seriously and will
continue to deliver value to our customers, employees,
business partners and shareholders.
Sharon Donaldson
MANAGING DIRECTOR
42 | GENERAL ACCIDENT ANNUAL REPORT | 2020
RISK MANAGEMENT
We are subject to extensive and increasing regulation
under the Insurance Act that imposes limits on the types
of investment that we can hold, prescribes solvency and
The Company has a Board approved Risk Management
Framework, which identifies risk appetite and the major
accounting and internal controls standards, and requires
risk outcomes that pose a threat to the achievement of
us to hold adequate reserves.
GenAc’s strategic objectives. Risk governance is supported
General Accident has, a governance system designed to
satisfy all insurance regulation. The significant elements
Risks are monitored monthly and reported under a number
include risk management, compliance, audit and actuarial
of headings along with our mitigation approach.
functions. At the group level risk management is a part
of our integrated Risk Management Policy.
These are set out below:
by an internal Risk Committee.
TYPE OF RISK
RISK DETAIL
APPROACH
UNDERWRITING RISK
Adverse claims development.
• The Company adopts prudent reserve practices as we
maintain reserves equal to our estimated ultimate
liability losses and loss adjustment expenses.
Inadequate premiums.
• We ensure risks are priced appropriately by regular
review of underwriting results.
• We practice effective diversification of risks.
LIQUIDITY RISK
The risk of insufficient cash flows
to meet settlement obligations as
they fall due.
• We use cash flow forecasting.
• We maintain sufficient liquid assets at required levels
to meet our obligations at all times.
OPERATIONAL RISK
The risk of failure of
internal
processes and systems and loss of
or inadequate human resources.
• We carry out frequent review of internal processes to
identify vulnerabilities.
• We have in place a structured programme for building
our staff members capacity.
REGULATORY CAPITAL
The risk of not meeting regulatory
benchmarks.
• We carry out frequent modelling of the company’s
capital components to ensure transaction decisions
are made in such a way to avoid a drag on capital ratio.
MARKET RISK
The risk of economic losses on our
investment portfolio resulting from
price changes in capital markets.
• A diversified portfolio lies at the heart of our strategy.
Investment duration and currency are managed
to avoid any mismatch of assets and liabilities, whilst
earning the maximum return at an acceptable level
of risk.
• We use appropriate limits and early warning ratios in
our asset liability management to manage market risk.
CREDIT RISK
The risk arising from the
likely
default as a result of changes in the
financial position of a counterparty.
• We manage credit risk by reviewing the balance sheet
of counter parties in addition to using available market
data to determine default probabilities.
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 43
THE RISK
COMMITTEE
The Risk Committee is responsible
for examining major risks faced
by the Company for both assets
and liabilities, reviewing tools
for monitoring and controlling
such risks by using outside risk
experts when necessary. The
Committee examines the main
technical and financial underwriting
commitments, claims reserving,
risk concentration, counterparty
limits, liquidity and operational
risks, as well as relevant changes
in the regulatory environment.
The Risk Committee is comprised
of seven members and is chaired
by a member of the senior
management team. It meets
at least four times a year.
CORPORATE SOCIAL
RESPONSIBILITY
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 45
CORPORATE SOCIAL
RESPONSIBILITY
The COVID-19 pandemic reached Jamaica’s shores in
March 2020, and in GenAc’s 10th year as a publicly-traded
company, ushering in a year of unprecedented hardship
for everyone. Despite the business challenges, GenAc
looked for opportunities to continue our commitment
to national development through sports, education and
protection of the environment, with the full support of
our staff, management and Board of Directors.
Here are the highlights:
PSOJ COVID RELIEF
As part of the Musson Group of Companies, GenAc
contributed to the Private Sector Organisation of
Jamaica’s (PSOJ) COVID-19 Relief Effort.
GenAc, through the Musson Group Foundation donated
$1,250,000 towards the purchase of vitally needed
ventilators deployed throughout the public health system.
JAMAICA CANCER SOCIETY DONATION
The GenAc staff made a sizable contribution to Jamaica
Cancer Society in October 2020 from the sale of masks
and other donations.
The handover of $95,000 was in support of prostate and
breast cancers awareness programmes, promoting health
and wellness for Jamaicans.
Jamaica Cancer Society’s (JCS) Acting Executive Director Michael
Leslie receives the donation from Colesha Mahoney.
46 | GENERAL ACCIDENT ANNUAL REPORT | 2020
Colesha Mahoney presents a donation to the Jamaica Cancer Society’s
(JCS) Fundraising and Public Relations Officer Shullian Brown.
MAISIE GREEN LEARNING CENTRE
DONATION
GenAc continued its support of the Maisie Green Learning
Centre on Grants Pen Road during the year under review.
GenAc provided the early childhood development centre
with a desktop computer, hand sanitiser and a refillable
dispenser, thermometers, masks, reusable cups and
cutlery among other items.
The GenAc team toured the facilities and inspected
previous renovations including the painted classrooms,
the kitchen facilities, and the newly introduced isolation
room as the school seeks to comply with Ministry of
Education, Youth and Information COVID-19 Safety
protocols.
GenAc donated supplies of hand sanitiser, a refillable dispenser,
thermometer, masks, reusable cups, and flatware to the Maisie
Green Learning Centre on Grants Pen Road on October 1, 2020.
GenAc’s Colesha Mahoney (left) and Kerry-Ann Turnbull (centre)
present Maisie Green Learning Centre Principal Charmaine Ben-
nett with the computer and other items donated to the school on
October 1, 2020.
READ ACROSS JAMAICA DAY
TIn observance of the National Read Across Jamaica Day
2020, GenAc staff participated in virtual reading sessions
with children.
During Education Week, held under the theme “Promoting
Digital Transformation and Positive Values & Attitudes —
Imperatives for Redefining 21st Century Education”, there
were virtually readings of various Jamaican authored
children’s books by GenAc staff members and shared
with students of the Drews Avenue Primary school.
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 47
Maisie Green Learning Centre Principal Charmaine Bennett
gratefully holds the advanced desktop computer donated by
GenAc on October 1, 2020.
The readings were also streamed live on GenAc’s Instagram
and Facebook pages.
This collection of carefully selected Caribbean stories and
beautiful work highlighted local artists and illustrators
for their appeal to young boys and girls.
GenAC also partnered with the Early Childhood Commission
on two major reading initiatives: ‘Read Across the Parish’
and ‘Read Pon Di Cawna’.
It is important that communities we support not only
benefit from the financial support of General Accident
but also from the skills, teamwork and dedication of
our staff.
Human resources officer Kerry-Ann Turnbull shows off
Boonoonoonous Hair written by Olive Senior and illustrated
by Laura James.
48 | GENERAL ACCIDENT ANNUAL REPORT | 2020
Broker Services Representative, Chris-Ann Nunes reads
Bolo the Moneky written by Jonathan Burke and illustrated
by Nicholas Martin.
JAMAICA ENVIRONMENT TRUST
DONATION
GenAc donated $500,000 towards the operations of
the Jamaica Environment Trust (JET) on Earth Day in
April 2020.
In recent years, the company has challenged its staff
members to reduce their environmental impact by
utilising reusable water bottles and washable lunch boxes
instead of single-use plastics and Styrofoam containers,
minimising office waste, and limiting the use of printers.
These strategies continued in 2020 and were not only
environmentally friendly but also resulted in the company
reaping savings.
HONOURABLE MENTIONS
GenAc also supports the following organisations and
activities:
•
•
•
•
•
University of Technology Jamaica
Jamaica Stock Exchange
Institute of Chartered Accountants (ICAJ)
Rotary Club of Liguanea Plains
Insurance Association of Jamaica
EMPLOYEE ENGAGEMENT
INTERNATIONAL WOMEN’S DAY
International Women’s Day (IWD) provides GenAc with
an opportunity to empower one another and recognise
the hard work and accomplishments of women in the
workplace. In honour of IWD female team members
were serenaded and treated by our male team members.
The effects of the 2020 global pandemic did not dampen
the enthusiasm and morale of our dedicated staff.
In the absence of physical awards and team building, the
company transitioned to online lymes, virtual rewards and
recognition fora, and online team challenges to ensure
that this critical component of staff engagement was not
lost. Team building activities were scheduled virtually to
maintain social cohesion across the organization.
GenAc firmly believes that employee recognition helps to
create a positive workforce culture and employee experience.
SIGMA CORPORATE RUN
Our staff were able to contribute to the Sigma Corporate
Run in February 2020 through their participation. This is our
sixth year supporting the Run which raised $52 million for
the Savanna-La-Mar Public General Hospital, Bustamante
Hospital for Children and the Clifton Boys’ Home.
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 49
MOTHER’S DAY
We highlighted our team members’ recollections of the
life-changing role as ‘mother’. The enduring, and critical
role of motherhood (biological and adoptive) was shared
to the GenAc team for Mother’s Day.
PINKTOBER
During Breast Cancer Awareness month, GenAc’s social
media pages highlighted the importance of self-checks as
part of early detection of breast cancer.
GRAND MARKET
Our multi-talented employees were able to showcase their
goods at a Grand Market held during the Christmas season.
The display at our Kingston location featured their goods
of farm produce, soaps, juices, baked goods, accessories,
make-up and designer bags for sale.
The company continues to encourage work life balance.
To close the curtains on the Christmas season, the staff
celebrated with a day of giving by donating non-perishable
items, to be given to the Mustard Seed Communities.
REMOTE WORKING AND TRAINING
The COVID-19 pandemic encouraged the implementation
of flexible work arrangements for all staff members
including a shift system to ensure that social distancing was
maintained. To facilitate the transition to remote working,
GenAc provided customised training on maintaining work
life balance, health and wellness.
With the implementation of flexible work arrangements
GenAC also contributed to our sustainability efforts by
reducing carbon emissions.
50 | GENERAL ACCIDENT ANNUAL REPORT | 2020
DISCLOSURE OF
SHAREHOLDINGS
TOP 10 SHAREHOLDERS
AS AT DECEMBER 31, 2020
NAME
NO. OF UNITS
PERCENTAGE
Musson Jamaica Ltd.
824,999,989
80.00
Mayberry Jamaican Equities Ltd.
19,642,677
Mayberry Managed Clients Account
15,032,119
Apex Pharmacy
QWI Investments Ltd.
Lancedale Farquharson
PAM – Pooled Equity Fund
10,000,000
9,343,293
7,836,138
7,550,000
JCSD Trustee Services – Barita Unit Trust
5,434,786
Sagicor Select Funds Ltd
K. Chandiram Ltd.
5,066,798
4,331,450
1.90
1.46
0.97
0.91
0.76
0.73
0.53
0.49
0.42
52 | GENERAL ACCIDENT ANNUAL REPORT | 2020
DIRECTORS’ SHAREHOLDINGS
AS AT DECEMBER 31, 2020
NAME
Musson Jamaica Ltd.
Paul B. Scott
Melanie Subratie
Sharon Donaldson
Junior Levine
Gregory Foster
Geoffrey Messado
Duncan Stewart
Deborah Stewart
Diane Stewart
Christopher Nakash
Nicholas Scott
Matthew Lyn
Jodi Lyn
COMBINED
HOLDINGS
PERCENTAGE
824,999,989
80.000
3,748,700
0.3635
350,000
1,000,000
2,475,190
1,698,020
1,980,198
96,500
0.0340
0.0970
0.2400
0.1647
0.1920
0.0094
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 53
SENIOR LEADERSHIP AND
MANAGEMENT TEAM SHAREHOLDINGS
AS AT DECEMBER 31, 2020
NAME
Cheryll Henry
Lesley Miller
Martin Miller
Leslie Daley
Jamalda Stanford
Janille Jarrett
Tracey-Ann Thompson
COMBINED
HOLDINGS
159,445
307,233
92,857
25,000
50,000
PERCENTAGE
0.0155
0.0294
0.0090
0.0024
0.0048
54 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 55
CORPORATE DATA
COMPANY
PROFILE
DIRECTORS:
• P.B. Scott, Chairman
• Melanie Subratie, Deputy Chairman
• Sharon Donaldson, Managing Director
• Geoffrey Messado
• Jennifer Scott
• Nicholas Scott
• Duncan Stewart
• Christopher Nakash
• Matthew Lyn
• Brian Jardim
• Gregory Foster
CORPORATE SECRETARY:
• Geoffrey Messado
APPOINTED ACTUARY:
• Josh Worsham, FRAS, MAAA
AUDITORS:
• PricewaterhouseCoopers
BANKERS:
• CIBC First Caribbean International Bank
• First Global Bank
• Bank of Nova Scotia Jamaica Ltd .
• National Commercial Bank
ATTORNEYS:
• Nunes Scholefield & DeLeon & Co:
6A Holborn Road
Kingston
• DunnCox
48 Duke Street,
Kingston
REGISTERED OFFICE:
• 58 Half Way Tree Road, Kingston
Telephone No: (876) 929-8451
Fax No: (876) 929-1074
Email: info@genac.com
Website: www.genac.com
CORPORATE DATA
CONTACT
INFORMATION
JAMAICA
• Kingston & St. Andrew
58 Half Way Tree Road, Kingston
Telephone : (876) 929-8451
• Montego Bay
Unit 8, Summit Business Center
Fairview, Montego Bay,
St. James
TRINIDAD
• General Accident Insurance Company Trinidad and Tobago Limited
Cor. French Street & Ariapita Avenue,
Woodbrook, Port of Spain
Trinidad, W.I.
Telephone: (868) 622-7292
(868) 622 -5614
(868) 622-8500
BARBADOS
• General Accident Insurance Company Barbados Limited
Suite 8, Dome Mall,
Warrens,
St. Michael BB22026
Telephone: (246) 257-3392
GENERAL ACCIDENT INSURANCE COMPANY JAMAICA LIMITED
31 December 2020
FINANCIAL STATEMENTS
Actuary’s Report
Independent Auditor’s Report to the Members
Financial Statements
68
69
70
Consolidated statement of comprehensive income
Consolidated statement of financial position
Consolidated statement of changes in equity
71 - 72
Consolidated statement of cash flows
73
74
75
Company statement of comprehensive income
Company statement of financial position
Company statement of changes in equity
76 - 77
Company statement of cash flows
78 - 158
Notes to the financial statements
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 59
60 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 61
62 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 63
64 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 65
66 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 67
68 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 69
70 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 71
72 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 73
74 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 75
76 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 77
78 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 79
80 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 81
82 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 83
84 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 85
86 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 87
88 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 89
90 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 91
92 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 93
94 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 95
96 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 97
98 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 99
100 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 101
102 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 103
104 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 105
106 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 107
108 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 109
110 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 111
112 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 113
114 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 115
116 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 117
118 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 119
120 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 121
122 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 123
124 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 125
126 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 127
128 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 129
130 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 131
132 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 133
134 | GENERAL ACCIDENT ANNUAL REPORT | 2020
General Accident Insurance Company Jamaica Limited
Notes to the Financial Statements
31 December 2020
(expressed in Jamaican dollars unless otherwise indicated)
15. Taxation
(a) The Group’s shares were listed on the Junior Market of the Jamaica Stock Exchange, effective
21 September 2012. Consequently, the Group is entitled to a remission of tax for ten (10) years in the
proportions set out below, provided the shares remain listed for at least 15 years:
Years 1 to 5 100%
Years 6 to 10 50%
The financial statements have been prepared on the basis that the Group will have the full benefit of the tax
remissions. Subject to agreement with the Minister of Finance and Planning, the income tax payable for
which remission has been granted is $66,441,000 (2019 - $83,364,000).
(b) Taxation is based on the profit for the year adjusted for taxation purposes and represents income tax at
25% - 33 ⅓%:
Deferred income tax (Note 29)
(6,883)
37,789
(5,357)
65,724
118,596
61,083
(c) The tax charge on the Group’s profit differs from the theoretical amount that would arise using the statutory
Current income tax
Prior year over accrual
tax rate as follows:
Profit before tax
Tax calculated at applicable tax rate
Adjusted for the effects of:
Income tax remission
Income not subject to tax
Expenses not deductible for tax
Unutilised tax losses
Prior year under accrual
Adjustment to prior year deferred tax
The Group
The Company
2020
$'000
2019
$'000
2020
$'000
2019
$'000
72,607
85,606
66,440
83,364
-
(4,799)
-
-
7,131
90,495
The Group
The Company
2020
$'000
2019
$'000
2020
$'000
2019
$'000
259,536
770,154
454,487
535,836
The Group
The Company
2020
$’000
114,575
2019
$’000
256,718
2020
$’000
151,492
2019
$’000
178,612
(66,441)
(54,551)
19,075
43,499
-
-
(83,364)
(66,441)
(83,364)
(44,296)
(41,193)
3,763
12,295
-
(4,799)
2,134
-
-
-
(4,930)
61,083
(1,032)
3,763
-
-
2,134
(9,618)
90,495
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 135
Net effect of other charges and allowances
9,567
(11,560)
65,724
118,596
136 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 137
138 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 139
140 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 141
142 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 143
144 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 145
146 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 147
148 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 149
150 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 151
152 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 153
154 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 155
156 | GENERAL ACCIDENT ANNUAL REPORT | 2020
GENERAL ACCIDENT ANNUAL REPORT | 2020 | 157
FORM OF PROXY
“I/We __________________________________________(insert name)of ____________________________________
________________________________(address) being a shareholder(s) of the above-named Company,
hereby
appoint: ________________________________________________(proxy name) of ___________________________
____________________________(address) or failing him, ________________________________________________.
__________________________(alternate proxy) of ______________________________________________________
_______________________________________________________________________________(address)
as my/our proxy to vote for me/us on my/our behalf at the Annual General Meeting of the Company to be
held at 9 am on September 15, 2021, at Liguanea Club, 5 Knutsford Blvd, Kingston 5 and at any adjournment
thereof. I desire this form to be used for/against the resolutions as follows (unless directed the proxy will vote
as he sees fit):
No. Resolution details
Vote for or against
(tick as appropriate)
ORDINARY RESOLUTIONS
1. To receive the report of the Board of Directors and the audited accounts of
For Against
the Company for the year ended December 31, 2020.
2. To authorize the Board of Directors to re-appoint PwC as the Auditors of the
For Against
Company and to fix their remuneration.
To re-appoint the following Directors of the Board, who have resigned by
rotation in accordance with the Articles of Incorporation of the Company and,
being eligible, have consented to act on re-appointment.
3. (a) To re-appoint Gregory Foster as a Director of the Board of the Company.
3. (b) To re-appoint Matthew Lyn as a Director of the Board of the Company.
For Against
3. (c) To re-appoint Duncan Stewart as a Director of the Board of the company.
For Against
4.(a) To Authorise the Board of Directors to fix the remuneration of the Directors.
For Against
5. To approve the aggregated amount of interim dividends declared by the
For Against
Board during the financial year ended 31st December 2020, being
$222,670,500.03 or 21.592 cents per ordinary share, as the final dividend for the
year.
Signed this day of 2021:
Signed: _____________________________________ (signature of primary shareholder)
Signed: _____________________________________ (signature of joint shareholder, if any)
Name: _____________________________________ (print name of primary shareholder)
Name: _____________________________________ (print name of joint shareholder, if any)
158 | GENERAL ACCIDENT ANNUAL REPORT | 2020
FORM OF PROXY
“I/We __________________________________________(insert name)of ____________________________________
________________________________(address) being a shareholder(s) of the above-named Company,
hereby
appoint: ________________________________________________(proxy name) of ___________________________
____________________________(address) or failing him, ________________________________________________.
__________________________(alternate proxy) of ______________________________________________________
_______________________________________________________________________________(address)
as my/our proxy to vote for me/us on my/our behalf at the Annual General Meeting of the Company to be
held at 9 am on September 15, 2021, at Liguanea Club, 5 Knutsford Blvd, Kingston 5 and at any adjournment
thereof. I desire this form to be used for/against the resolutions as follows (unless directed the proxy will vote
as he sees fit):
No. Resolution details
Vote for or against
(tick as appropriate)
ORDINARY RESOLUTIONS
1. To receive the report of the Board of Directors and the audited accounts of
the Company for the year ended December 31, 2020.
2. To authorize the Board of Directors to re-appoint PwC as the Auditors of the
Company and to fix their remuneration.
For Against
For Against
To re-appoint the following Directors of the Board, who have resigned by
rotation in accordance with the Articles of Incorporation of the Company and,
being eligible, have consented to act on re-appointment.
3. (a) To re-appoint Gregory Foster as a Director of the Board of the Company.
3. (b) To re-appoint Matthew Lyn as a Director of the Board of the Company.
For Against
3. (c) To re-appoint Duncan Stewart as a Director of the Board of the company.
For Against
4.(a) To Authorise the Board of Directors to fix the remuneration of the Directors.
For Against
5. To approve the aggregated amount of interim dividends declared by the
For Against
Board during the financial year ended 31st December 2020, being
$222,670,500.03 or 21.592 cents per ordinary share, as the final dividend for the
year.
Signed this day of 2021:
Signed: _____________________________________ (signature of primary shareholder)
Signed: _____________________________________ (signature of joint shareholder, if any)
Name: _____________________________________ (print name of primary shareholder)
Name: _____________________________________ (print name of joint shareholder, if any)