***********************************************
Following is the full text of the speech (English only) delivered by the Acting Financial Secretary, Miss Denise Yue, at a cocktail reception to mark the 10th Anniversary of the Office of the Commissioner of Insurance tonight (June 8):
Mr Tang, distinguished guests, ladies and gentlemen,
I am delighted to be here tonight for the celebration which marks the 10th Anniversary of the Office of the Commissioner of Insurance, the OCI.
Occasions such as these are meant to be happy occasions, so I would like to share with you a little story that I heard about an actuary who worked for one of the big insurance firms around town. One day at work he felt a sharp pain in his chest so he quickly ran to the stairwell and threw himself down the stairs. Later that night, his best friend visited him in hospital. His friend was quite concerned about what had happened to him and thus asked: "Why did you throw yourself down the stairs like that. What were you thinking?" The actuary was smiling and he said: "Well, it's quite simple really. The chances of falling down the stairs AND having a heart attack at the same time are far less than simply falling down the stairs. With such odds, I chose to jump off the stairwell. You see, it works. Despite I have a broken leg, I didn't have a heart attack!"
Having said that - and my apologies to any actuaries here tonight - it is obvious that the OCI has left little to chance in helping develop a strong, vibrant and viable insurance industry in Hong Kong. It has gone from strength to strength since its days as a small insurance division within the Registrar General's Department.
In the past decade, Hong Kong's insurance market has flourished to the point where Hong Kong is now a leading insurance centre in the Asia-Pacific region. In 1999, annual gross premiums topped $54 billion and contributed about 4% of our GDP.
The OCI is not only firmly committed to its role as a regulator, but also as a facilitator of the insurance industry. It works closely with The Hong Kong Federation of Insurers to implement the self-regulatory system, promote professionalism of insurance intermediaries, enhance market transparency and develop Hong Kong into an international insurance centre. The Office also plays an important role in educating the public and promoting awareness about the insurance industry.
The excellent track record of the past decade had laid the foundations for the challenges that lie ahead. There is no doubt that the insurance industry in Hong Kong is on the verge of great opportunities spurred by the introduction of the Mandatory Provident Fund System later this year and the gradual opening up of the Mainland's insurance market in the wake of its intending WTO accession. The relatively low penetration rate of insurance products in Hong Kong, and growing public awareness about the insurance industry, will also lead to growth. That is why the OCI is more determined than ever to work even more closely with the insurance industry to maintain and enhance Hong Kong's status as a modern, efficient international insurance centre.
On this happy occasion, I would like to personally express my appreciation for the hard work and effort of all those within the OCI. I have no doubt you will all strive to do even better in the decades to follow.
Finally, I will leave you with the thoughts of a German playwright [Bertolt Brecht] who once said: "When praying does no good, then insurance does help."
Thank you and enjoy the celebration.
End/Thursday, June 8, 2000
NNNN