Year 2007

CONTENTS
FINANCIAL HIGHLIGHTS
MESSAGE FROM THE CHAIRMAN OF THE ADVISORY BOARD
MESSAGE FROM THE CHAIRMAN
THE THAI NON-LIFE INSURANCE INDUSTRY IN 2007 AND OUTLOOK FOR 2008
RISK FACTORS
MAJOR PROGRESS IN 2007
REPORT OF THE COMPANY’S OPERATIONS
INVESTMENT INCOME
INVESTMENTS IN SECURITIES
SUMMARY OF QUARTERLY FINANCIAL RESULTS
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THREE YEARS REVIEW 31
ADVISORY BOARD
BOARD OF DIRECTORS AND BOARD OF DIRECTORS PROFILE
MANAGEMENT COMMITTEE AND MANAGEMENT COMMITTEE PROFILE
SOCIAL ACTIVITIES IN 2007
REPORT OF THE AUDIT COMMITTEE
REPORT ON THE BOARD OF DIRECTOR’S RESPONSIBILITY FOR FINANCIAL STATEMENTS
REPORT OF INDEPENDENT AUDITOR
BALANCE SHEETS
INCOME STATEMENTS
STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY
STATEMENTS OF CASH FLOWS
NOTES TO FINANCIAL STATEMENTS
THE COMPANY’S FINANCIAL STATUS
FINANCIAL RATIO
RELATED PARTIES TRANSACTIONS
SHAREHOLDING IN OTHER COMPANIES
ORGANIZATION STRUCTURE
THE MANAGEMENT
SHAREHOLDINGS STRUCTURE
PRINCIPLES OF GOOD CORPORATE GOVERNANCE
GENERAL INFORMATION
LINES OF BUSINESS
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FINANCIAL HIGHLIGHTS

2007 2006 Change 2007
For The Year (Baht’000) (Baht’000) % (USD’000)
Premium Written 7,656,311 7,427,527 .1 227,066
Income on Underwriting 646,157 660,267 (2.1) 19,163
Operating Expenses 564,172 474,308 18.9 16,732
Net Underwriting Profit 81,985 185,959 (55.9) 2,431
Net Investment Income 589,155 499,256 18.0 17,473
Gain (Loss) on Sale of Securities and Assets 186,791 119,997 55.7 5,540
Share of Profit from Associated Companies
Accounted for under the Equity Method 20,120 5,101 294.4 597
Income before Income Tax 878,051 810,313 8.4 26,041
Income Tax 170,302 217,025 (21.5) 5,051
Net Income 707,749 593,288 19.3 20,990
At Year - end
Unearned Premium Reserve 2,453,829 2,275,965 7.8 63,141
Shareholders’ Equity 13,673,817 12,796,775 6.9 55,017
Per Share
(Baht)
Basic Earnings Per Share 13.96 11.70 19.3 -
Ordinary Share (Shares) 50.7 Million 50.7 Million - -
Dividends 12.00 12.00 - -
Book Value 269.70 252.40 6.9 -
Market Price (High-Low) 292-216 04-206 - -
Market Price at Year-end 274 224 22.3 -
USD 1 = Baht 33.7185
GBP 1 = Baht 67.3189
EUR 1 = Baht 49.2604
YEN 100 = Baht 29.6982

MESSAGE FROM THE CHAIRMAN OF THE ADVISORY BOARD
In 2007, global economic growth slowed down, compared to the previous year, though there were such positive factors
as the newly emerging countries’ growing economies, like that of China, which grew by over 11.0 percent. However, the
impediments to global economic growth, including continuous increases in global oil prices, a weaker US dollar, and the US
inferior property credit crisis, called sub-prime credit, all combined to have a tremendous impact on the US financial sector and
the global money market, including the diminishing purchasing power in the US. The IMF expected these problems to continue
through 2008, hurting those countries that rely on exports to the US and continuously slowing down the global economy.
For Thailand, the local economy was also affected by the above-mentioned situations, whether they were a strong Thai
Baht, rising inflation and increasing commodity costs, all making it necessary to augment commodity prices. In addition, Thailand
has still been faced with such problems as political instability and the violence in the South, a long-standing dilemma, which
contribute to a lack of confidence among consumers and domestic and foreign investors, who, respectively, slowed down
spending and postponed further investment. Considering the Thai economic outlook for 2008, many economic agencies have
projected growth of 4.5 to 5.0 percent, a rate approximate to that of 2007. In this regard, domestic demand will be a significant
driving force to boost the economy in conformity with the private sector’s consumption and investment recovery, along with the
elected government’s economy-stimulating policies.

The year 2008, therefore, is another challenging year for Bangkok Insurance Public Company Limited, which will perform
under such economic fluctuations and be prepared for risks that may be incurred by its underwritings and investments, as well as
seek cooperation with its partners in order to expand business to target customers, including maintaining the Company’s principle
on good corporate governance and responsibility for society.
On behalf of the Advisory Board, I would like to take this opportunity to express my utmost gratitude to our shareholders,
customers, business partners and business allies for their support throughout. I would also like to thank the Company’s
management team and all our employees, who perform their work eagerly, resulting in the Company’s steady financial growth and
success.
(Mr. Chatri Sophonpanich)

MESSAGE FROM THE CHAIRMAN
In 2007, Thailand encountered economic volatility both inside and outside the country, including the lack of a clear
economy-driving factor, which contributed to the private sector’s lack of confidence in their investment, and a slowdown in
peoples’ spending. This, of course, had an impact on the overall expansion of the non-life insurance industry. For the non-life
insurance industry’s performance over the first nine months of 2007, the direct premium written rose by 7.4 percent, compared to
the same period in 2006. Nonetheless, it was projected that at 2007 year-end, the non-life insurance industry’s total direct premium
would be approximate to that of the previous year, giving a one-digit growth rate for two consecutive years and possibly
continuing through 2008 as well. This was due to the government policy on economic recovery stimulation, which began to bear
fruit noticeably in the second half of 2008. In addition, a reduction of the compulsory motor insurance premium for three categories
of cars, totaling Baht 100 each and with policies starting their coverage from March 1, 2008, onwards, caused a loss of around
Baht 1,500 million for total motor insurance premium, directly affecting non-life insurance companies that focus mainly on an
expansion of compulsory motor insurance business.
In 2007, the non-life insurance industry faced fierce competition, particularly for motor insurance, which witnessed
severe pricing competition, causing the industry to be unable to make a profit and forcing many companies to adjust their
premium rates for some customers who had contributed to a loss. Nonetheless, personal accident and health insurance achieved
a high growth rate since insurance companies still concentrated on extending their personal line business, a continuity from the
previous year, as well as putting an emphasis on direct sales via such channels as Telemarketing, Bancassurance and service
points in department stores, which were expected to be channels facing strong competition in the following year.
A merger of insurance companies and foreign takeovers can be constantly seen, with an aim to expand business and
generate financial stability, including preparing to be in compliance with the criterion of the insurance capital or Risk Based Capital
(RBC), in accordance with the new law, which took effect on February 5, 2008. This may not immediately impact non-life insurance
companies since the law gives the business a period of time to adapt itself.
Bangkok Insurance’s total written premium for 2007 stood at Baht 7,656.3 million, an increase of 3.1 percent over 2006.
Our net income amounted to Baht 707.7 million representing a 19.3 percent rise compared to the previous year. The amount
consisted of 9.3 percent earnings from underwriting and 90.7 percent earnings from investment. In sum, the Company’s earnings per
share were Baht 13.96, an increase from Baht 11.70 in 2006.

In 2007, the Company developed a number of products for personal customers, for instance, motor insurance policy
“1 st Care & Save” and the policy for personal accident and health insurance, to be distributed through various channels and
alliances of different businesses, such as Tsutaya’s branches across the country. Additionally, three more BKI Care Stations were
opened in department stores to provide convenience to customers in purchasing insurance policies.
Besides, the Company was ranked for its financial reliability by the Standard and Poors (S&P) Institution with a score of A-,
which is considered a good level and indicative of stable credit ratings (the best for Thai companies). This reflects a leading
company in the non-life insurance industry, with high competitiveness, good returns, as well as stable capital base and assets.
For 2007, it was an extraordinary year for Bangkok Insurance Public Company Limited because it was the 60 th Anniversary
of the Company’s establishment. The Company was determined to proceed with its social activities benefiting society and resolved
to campaign for and maintain virtue for Thai society under the “Continuing Our 60 Years’ Legacy of Good Deeds” project, which
has been ongoing since 2006.
Finally, on behalf of the Chairman of the Board of Director, I would like to take this opportunity to thank all of our
shareholders, customers, agents, brokers and all parties concerned for their trust and support. I would also like to thank the
Company’s Management and employees for their determination to provide good services and pay close attention to all needs of
customers, agents, brokers and all parties concerned, as well as their collaboration in overcoming various difficulties and
hindrances, resulting in the Company’s considerable success throughout.
(Mr. Chai Sophonpanich)

THE THAI NON-LIFE INSURANCE INDUSTRY IN 2007 AND OUTLOOK FOR 2008
In 2007, the Thai non-life insurance industry experienced certain growth corresponding to the country’s expanding
economy, but with a conspicuous slowdown compared to the previous year. The total direct premium for the entire industry over
the first nine months rose by 7.4 percent to Baht 74,266 million. Most non-life insurance companies have adjusted their strategies
to give more importance to an expansion of personal line business via Bancassurance and Telemarketing channels, resulting in an
increasing premium rate of 25.8 percent for personal accident insurance and health insurance over the first nine months of 2007.
Motor insurance, having a high premium proportion of 60.0 percent of all types of premiums in 2007, rose by 10.0 percent over the
first nine months of 2007, compared to 5.6 percent in the same period of 2006. The growth was contrary to total motor car sales,
with an annual negative growth rate of 7.5 percent. Meanwhile, engineering insurance experienced rather slow and decreasing
growth, corresponding to the slowdown in the country’s economy and investments.
The estimated direct premium for 2007, as reinsured by Thai Reinsurance Public Company Limited, rose by 5.9 percent,
a slight decrease over 2006. The outlook for premium written in 2008 anticipates growth of 5.9 through 8.5 percent, with increasing
premiums of between Baht 5,900 and 8,500 million. Furthermore, personal accident, health and miscellaneous insurance will
achieve the highest growth rate due to a distinct government formation and the government’s economy-stimulating policies,
such as investments in mega-projects. This, of course, will benefit the non-life insurance industry, which underwrites risks that may
be incurred in different government projects, apart from helping generate employment and distribute income to the public, giving
people a higher purchasing power. Besides, the growth of Thai economy will be spurred by the abolition of the 30 percent reserve
requirement for short-term inflow, which has a certain impact on the money and capital markets, including the income tax reduction
measures aimed at augmenting the people’s income and supporting business people. Similarly, the government’s other economic
measures will be issued as a significant driving force for economic recovery. On the other hand, the negative factors influencing an
expansion of the non-life insurance industry will be a reduction of Baht 100 in compulsory motor vehicle insurance premium for
three categories of car, which becomes effective on March 1, 2008. This will likely result in a loss of about Baht 1,500 million in the
Company’s business due to a decrease in premiums for compulsory motor vehicle insurance.
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Marketing and Competition in 2007
For the Thai economy in 2007, the Bank of Thailand had estimated a growth rate of 4.5 percent, a slowdown compared to
2006, when the figure was 5.1 percent. This stemmed from a number of problems continuing on from 2006; for instance, highly
fluctuating global oil prices, a stronger Thai Baht, domestic inflation, political uncertainties, natural disasters such as floods, as well
as the impact of the sub-prime mortgage crisis. These all resulted in a slowdown in investments and domestic consumption,
including the people’s higher caution in their spending. Such situations inevitably affected an expansion of the non-life insurance
industry.
Nonetheless, the slowdown in investment in the government and private sectors made personal line business a target
market for all companies. This could be seen in the increase in advertising and public relations campaigns via myriad media
designed to give people more insurance information and raise their awareness of the significance of insurance. Likewise, more
new products were constantly developed for the market, while channels for access to customers and the public were increased. In
particular, non-life insurance companies selling their products via the Bancassurance and Telemarketing channels would have a
rapidly rising direct premium written.
Moreover, the heath insurance market also expanded tremendously due to buying power of middle-income people and a
growing awareness of increasing medical expenses, especially for malignant diseases that are expensive to treat, which lead to
the buying a policy to relieve the burden that could be incurred. For motor insurance, various companies had issued the motor
insurance policy “3 Plus”, with more comprehensive coverage but a lower premium rate, to give customers’ more choice and so
capture more of the market share. Largely, this was carried out when the repair costs were still high, resulting in a rising loss rate
and the inability of several companies to make profit, forcing them to adjust their premium rates, particularly for customers with a
high loss rate. Regarding industrial all risks insurance, there was still high pricing competition in the market due to a slowdown in
investment, resulting in a slight increase in all types of premiums.
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With such competitive situations, non-life insurance companies had to adjust their operational strategies. Thus, business
cooperation among business partners of different types was typically seen as a channel for insurance sales. In addition, insurance
sale points were opened in different department stores to provide convenience to people in purchasing insurance policies or
reporting on losses, in addition to building confidence among people who want to buy a policy.
Bangkok Insurance Public Company Limited has continuously given importance to and formulated proactive strategies for
personal line business through advertising and public relations campaigns via various media. This has given the Company the
ranking of Most Admired Brand of BrandAge Magazine for 2007 in the insurance business category. Over the past two years,
the Company, in cooperation with Bangkok Bank Public Company Limited, has been able to extend a significant number of personal
customer bases via Bancassurance. Besides, it has collaborated with its business partners both inside and outside Thailand,
for instance, Bangkok Bank and brokers, in expanding the market through Telemarketing. Similarly, since 2007, the Company has
joined hands with Tsutaya (Thailand)’s 230 branches throughout the country to sell personal accident insurance via these
branches. In 2007, the Company opened three more BKI Care Stations, bringing the total to 6 stations, in leading department
stores both in Bangkok and regional provinces. The majority of insurance products the Company distributed through different
channels was those of personal accident and health insurance, comprehensive travel accident insurance and motor insurance.
Typically, the policies were issued on a package basis for the sake of distribution convenience, with different levels of the sum
insured. In addition, the Company has introduced a new motor insurance product called, “1 st Care & Save” as an option for
customers wanting to be economical on their expenses while still having comprehensive coverage. Likewise, the Company has
also offered the “BKI’s Recommended Garage” project to recommend a garage, identified in the contract, of standard quality to
customers and the general public.
Industry Outlook and Future Competition
For 2008, it is anticipated that a number of problems impacting the Thai economy will be resolved as a consequence of
political stability and the government’s economy-stimulating policies, particularly the government’s investment budget plan of over
Baht 1.59 trillion, which will have a positive impact on propelling the country’s economy and generating a favourable investment
atmosphere for the private sector, which has long been in the doldrums. Investment based on the current National Plan
(2007 - 2011) will be distributed to four main areas, namely: mass transport systems, housing, water resources and the other
areas consisting of communications, energy and tourism. This will likely have direct benefit for the people and institutions
concerned, for example, construction materials, commercial banks, food, hotels, hospitals, etc.
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Nevertheless, there are still many factors adversely affecting the economy, such as oil price volatility, which has an impact
on a global scale, and consumer goods prices, including agricultural produce prices as more agricultural produce are used to
generate alternative energy. Additionally, the sub-prime mortgage crisis in the US has contributed to the slowdown in the US
economy, resulting in a weaker US dollar and a stronger Thai Baht, so slowing down Thai export growth since Thailand exports
more to the US as compared to other countries. In contrast, this is also a good opportunity for the country to import machinery and
other equipment to be used for production and the construction of mega-projects. Based on factors boosting the Thai economy,
together with the problems the country is facing, the Bank of Thailand projects Thai economic growth of 4.5 to 6.0 percent in 2008.
For the outlook of the non-life insurance industry, it will benefit from the economic recovery that is expected to be evident
by the second half of 2008. This includes mega-project investments, enlargement of housing along electric train construction lines,
total sales of new brands of eco-cars, and increasing purchasing power brought about by tax adjustment measures. The negative
factor is that the Baht is likely to continue to appreciate, contributing to a decrease in premium written for aviation insurance.
By and large, personal line business is still able to expand significantly and is a major target business of non-life insurance
companies having a network and partners attracting personal customers. For high-risk insurance, like motor insurance, the
premium rates are enhanced for some customer groups with a great loss, to be in accordance with rising business costs.
Moreover, a reduction in compulsory motor insurance premium will cause small non-life insurance companies with a high
proportion of compulsory motor insurance to promptly adapt themselves in order to secure sufficient income for augmenting risks
and expenses. Meanwhile, for the underwriting of mega-projects, more cooperation can be expected among non-life insurance
companies.
It is also worth noting that so far the Office of Insurance Commission has drawn up a more stringent criterion for the insurance
capital, which is based on risk (RBC), corresponding with the Insurance Act (Volume 2) of 2008 and becoming effective as of
February 5, 2008. Though the criterion will not have an immediate impact since the law allows non-life insurance companies some
time to adapt before it takes effect. However, since companies with a problem of capital will have to increase their capital to meet
the requirement before the Act takes effect, we may see them resort to mergers in order to enhance their financial business and
competitiveness in the future.
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RISK FACTORS
Currently, the global economy and finance are strongly interrelated. Thailand has liberalized its financial market, trading
and investments, significantly contributing to the nation’s economic growth and sound development in fund markets. Meanwhile,
the Thai economic system has encountered fluctuations and risks stemming from a more liberalized movement of investment
capital. The Company has been fully aware of these risks and thus has given importance to them, as well as implemented a risk
management policy to reduce the chance of risks, or diminish their severity and any impact that may occur. The following are risk
factors that can have an impact on the Company’s performance.
1. Strategic Risks
Strategies are significant for any organization’s success. They range from direction determination to strategy implementation
and transformation, from the organizational level to departmental level. In addition, the Company has also established a mechanism
for all departments to comply with the strategies formulated, while there is a strict audit and follow-up of the Company’s performance
based on its strategies. Nevertheless, risks incurred by thinking and analysis are usually found to be in an old framework and lack
sufficient supporting data, causing the implemented strategies to be incongruous and inappropriate to business transaction
environments. Similarly, when there are such situational changes as politics and government economic policy, they may make the
strategies mapped out unsuitable to the situations. To manage such risks, the Company gives importance to its strategies and has
the Corporate Strategy Division directly responsible for auditing. The division follows up and assesses all departments’ plans,
resulting from turning strategies into action plans, compared to the target objectives, including summarizing the status of the
Company’s performance based on its strategic plans. Additionally, the division will, at an appropriate time, display the status of the
plans and give a warning signal for those plans that have to be adjusted so that a risk that may be rapidly incurred can be
revealed and preventive measures can be established, so turning the risk into a business opportunity instead.
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2. Underwriting Risks
Thailand has confronted a number of economic risks such as a slowdown of the US economy, continuous oil price
rises and appreciation of the Baht. These risk factors have had a tremendous impact on all types of industries. The Company itself
also encounters economic risks; for instance, a decrease in the export sector, a reduction in industrial and business productivity,
an increase in the cost of goods and services resulting in inflation, as well as the people’s decreased purchasing power
contributing to a diminution in policy purchasing and renewal, or more selectiveness in buying insurance.
To minimize these risks, The Company has developed new products to meet the demands of its customers. For
example, the “1 st Care & Save” motor insurance policy, which provides coverage for the damage to a car stemming from a
collision with a land vehicle, with a cheaper premium. The Company also focuses on augmenting its personal customers through
Telemarketing and Bancassurance projects in order to retain its customer base. It will emphasize the provision of an excellent
service and the development of an IT system so as to increase underwriting efficiency, as well as an altered phone system to IP
Telephony aimed at giving greater convenience to the Company’s customers when purchasing a policy or notifying for a claim.
3. Reinsurance Risks
For the non-life insurance industry, there are inward reinsurance and outward reinsurance with insurance companies
both inside and outside the country. In regard to this fact, the Company is exposed to risk incurred by reinsurance companies’
financial status, or the underwriting of high risks. To minimize such risks, the Company has analyzed the financial status and
considered the credit rating of all reinsurance companies. In addition, the Company also purchases excess of loss cover in order
to manage its risk in the event of a tremendous calamity.
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4. Difficulties in Premium Collection
The Company’s outstanding premium at 2007 year-end amounted to Baht 1,508.1 million. Of that amount, a premium
outstanding for three months or less totaled Baht 1,200.6 million or 79.6 percent of all premium receivables.
To minimize the risk of being unable to collect premiums, the Company requires the agent and broker to make a
contractual guarantee within the specified credit limit allowed by the Company. As a consequence of strict implementation based
on the Office of Insurance Commission regulations, the Company’s premium outstanding over twelve months equals Baht 69.1 million
or 4.6 percent of all premium receivables. Additionally, the Company has set aside Baht 39.3 million under allowance for a
doubtful account of premium debtors.
5. Operational Risks
These refer to risks that may arise from human error, failure of a work system or an information technology system, or
an insufficient internal control system that may result in corruption. Such risks can usually be estimated in terms of money,
although they cannot be monetarily measured in certain cases, such as damage caused to the Company’s good image and
reputation.
To minimize this risk, the Company has assigned the Internal Audit Department to identify, assess, follow up and
control the risk and continuously report to the Audit Committee in order to find out the level of risk and minimize operational risks at
an acceptable level. Apart from this, all levels of the Company’s sections regard it as a significant mission to follow up, control and
assess operational consequences so that operational risks are controllable.
6. Investment Risks
Incomes derived from investments may be regarded as a major income of the non-life insurance industry. Accordingly,
one of the significant policies that the Company has always adhered to is a secure investment and diversification of investment
capital. Nevertheless, investments still face the following risks.
6.1 Price Volatility Risk
As at December 31, 2007, the Company’s investments in marketable securities totaled Baht 3,260.4 million, with
the fair value of Baht 10,832.7 million, while its investments in non-listed securities equaled Baht 563.7 million, the amount of which
the Company recorded the allowance for loss on impairment of Baht 103.1 million.
Typically, marketable securities’ fair value will fluctuate corresponding with socio-economic and political factors,
both inside and outside Thailand. Moreover, a movement of capital into and out of the country can be made abruptly, particularly
the movement of capital for a rest in the fund market, causing a higher value of securities. On the contrary, when there arises a
move back of capital, securities value will decrease rapidly. These factors all contribute to risks incurred by the fluctuation of the
value of securities in which the Company has invested.
To avoid risks stemming from price volatility, the Company has diversified its investments in various categories of
industries, besides concentrating on long-term investment. Furthermore, the Company has also analyzed and selected securities
for investment by scrutinizing the fundamental factors of these securities – price to earnings per share, price to book value per
share, debt to equity ratio, dividend pay-out ratio, profitability, and the executive competency. Similarly, the Company also
considers investing in stocks with a high market value, resulting in high liquidity. Of no less importance, the Company follows up
closely the securities issuers’ performance and financial status.
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6.2 Interest Rate Risk
As at December 31, 2007, the Company has invested in financial instruments that yield a return in the form of
interest such as deposits at commercial banks to the amount of Baht 536.7 million. Promissory notes amounted to Baht 478.2
million, bonds amounted to Baht 272.7 million, which has a fair value of Baht 269.9 million, and debentures amounted to Baht 31.3
million, with a fair value of Baht 21.2 million. If there is a change in the interest rate, there will be a risk for reinvestment and
instrument price volatility.
To minimize the risks, the Company has closely followed up and reviewed an alteration of the money market, and
determined the average period of investment in debt instruments in keeping with the direction of change in interest rates.
Meanwhile, the Company will occupy debt instruments until they are due so as to avoid a loss incurred by the fluctuation of debt
instruments price owing to, in turn, a change in interest rates.
6.3 Risk Associated with Providing Loans
As at December 31, 2007, the Company had residential loans of Baht 129.8 million to lend to outsiders, and
another Baht 2,277.1 million for loans for commercial purposes and real estate project development. Thus, both types of loans for
outsiders totaled Baht 2,406.9 million. Borrowers had to take a mortgaged loan to ensure repayment. Nevertheless, risks might
occur when there are violations of loan contracts on the part of debtors. This may be due to debtors’ financial crisis, making them
unable to repay their debts. Or they may violate the contract on purpose. Both cases inevitably cause damage to the Company as
a creditor. Another risk stems from a fluctuation of the property market affecting the Company’s collateral security.
To minimize such a risk, the Company has defined the scope of responsibility, loan regulations and a legal
procedure, apart from encouraging good morals and ethics in dealing with loan affairs. This aims to have the people concerned
strictly comply with the defined measures.
With regard to personal customers taking residential loans, the Company has an analytical procedure for all
debtors based on a sound standard of loan provision. For instance, it examines the completeness, accuracy and conformity of
each debtor’s income and credit data, based on the Company’s data sources or evidence presented by the customers, including
their credit data derived from the National Credit Bureau. Of course, this is carried out through a compact and efficient procedure,
which can respond to the customers’ demand in a short time.
For debtors with various projects, the analytical procedure begins with the analysis of the project feasibility,
previous record and performance of the project manager, and the company’s financial status. In addition, the Company has also
determined debt payment conditions and interest rates corresponding with each customer’s cash flow and risk. It also consistently
follows up and audits debtors’ status, for example, an annual financial review and the analysis of data on debt period
arrangement. For the property used as debtors’ collateral security, the Company rigorously requires that of good quality and
sufficient for debt payment.
Finally, the Company has developed the loan management system to enhance efficiency in the management of
debtors. The system not only provides swift services and fits well with customers, but also efficiently supports the Company’s
performance concerning credit services.
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MAJOR PROGRESS IN 2007
Sent SMS to Customers Provide Drinking Water at the Scene BKI’s Recommended Garage Project
Receive Reliability Rating A-
Bangkok Insurance Public Company Limited derives Financial Reliability ratings of A- from The Standard & Poors (S&P)
Institution, one of the world’s leading financial ratings institutions, which is regarded as a good level, with the tendency of a stable
credit ranking (the best ranking of Thai companies). This reflects the Company as a leading company in the non-life insurance
industry, with high competitiveness and return, in addition to having robust and secure funds assets, including satisfactory fund
management.
Sent SMS to Customers
The Company’s has increase its closed communication services to customers through a Short Message Service via mobile
phones in order to make known the Company’s new policies, inform of policy renewal, and send greetings on customers’
birthdays, as well as informing customers of the Company’s activities. This aims to enhance the speed and convenience of
communication, and to avoid losing contact with customers.
Provide Drinking Water to Customers at the Scene of an Accident
To emphasize its “Your Caring Partner” image, the Company has produced “Bangkok Insurance” drinking water to be
provided to its customers who have an accident and make a call for a claim service, at anytime, anywhere. The water will be given
free of charge to customers at the scene of an accident to help refresh them and relieve their anxiety.
Increase BKI Care Station Service Coverage
The Company’s BKI Care Station has been operating its insurance service in full circle in selected department stores since
2006 so as to expedite its close communication with and provision of underwriting services to its customers. In 2007, the Company
opened three more BKI Care Stations, after having opened three in the previous year. The six stations are located at Central Town
(Ratanathibet branch), Central (Pinklao branch), the Mall (Bangkapi branch), Central (Rama II branch), Silom Complex Trading
Center and Central Festival in Phuket. In 2008, the Company opened one more BKI Care Station at Fashion Island and will
continue to open more stations in the future.
BKI’s Recommended Garage Project
The Company has developed all aspects of its service quality in order to increase confidence and satisfaction among
customers. Recently, it has developed its motor insurance service through the establishment of a “BKI’s Recommended Garage”
project, which introduces to the Company’s customers garages, identified in their contracts, which are of good quality and obtain
high satisfaction among their customers. The garages selected for the project will receive a certificate and a sign “BKI’s
Recommended Garage” to demonstrate that they meet the Company’s standards and so ensure customer confidence in their service.
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Active Care Uniform
Care Service Uniform
Fine Day Care Uniform
Bangkok Insurance’s 60 th Anniversary : Make 4 – Styles Uniform
On the occasion of the Company’s 60 th operation anniversary in 2007, staff uniforms were made to promote a good image of
the Company and build up the Company’s brand identity under the concept “Happy Everyday”, which parallels customer service and
corresponds to the slogan “Your Caring Partner”. The uniforms have four styles, reflecting the staff’s confidence, flexibility,
enthusiasm and modernity, including preparedness for: 1. Active Care 2. Care Service 3. Fine Day Care and 4. Smart Care.
Enhance Personal Potential
The Company is determined to develop itself to become a learning organization through the encouragement of
self-development among staff, including potential development with “On-the-Job Training”, “Coaching”, “Consulting” and
“Job Rotation”, all of which aim to develop multi-skills among staff and give them an opportunity to transfer their knowledge to
other colleagues. Additionally, there is a plan to develop individual staff based on his/her competency in order that he/she may
gain potential appropriate for his/her position and so advance in his/her career in the future.
In 2007, the Company provided 327 training courses both inside and outside the Company to its staff, with an average of
5.7 training days per staff per year. In addition, scholarships were awarded to 3 staff members for training overseas.
Create Policies for You
To support current daily living and respond to the needs of customers, the Company has developed innovative products to
keep up with current situations. In 2007, the Company issued “Smile Life”, a personal accident insurance policy, to offer more
convenience for its customers. The policy provides coverage for loss of life or total dismemberment incurred by an accident,
including loss of life stemming from homicide or ambush. The policy coverage amounts to Baht 200,000 with a premium of only
Baht 199 per year. It can be purchased at Tsutaya across the counter.
Additionally, the Company has also issued a new motor insurance, “1 st Care & Save”, to give more options to its
customers, with worthy protection. The policy provides coverage for damage to a car incurred by collision, loss, fire and terrorism,
with the sum insured totaling 80 percent of the car value, or a maximum of Baht 5,000,000. The premium also transfers a
good-record discount of 30 percent to another person, while customers are provided with convenience since their cars can be
insured without an inspection of their condition.
19

REPORT OF THE COMPANY’S OPERATIONS
(Baht : million)
2007 2006 Change 2007
Premium Written % Distribution %
Types of Insurance
Fire 1,314.3 1,278.6 2.8 17.16
Hull 78.4 80.3 (2.4) 1.02
Cargo 16.7 80.9 (16.9) 4.14
Motor ,295.0 ,275.8 0.6 43.04
Miscellaneous 2,651.9 2,411.9 10.0 4.64
Total 7,656.3 7,427.5 .1 100.00
Income on Underwriting
Types of Insurance
Fire 121.6 123.1 (1.2) 18.82
Hull (0.1) 19.6 (100.0) -
Cargo 85.4 100.3 (14.9) 13.21
Motor 291.8 41.2 (14.5) 45.15
Miscellaneous 147.5 76.0 94.0 22.82
Total 646.2 660.2 (2.1) 100.00
Operating Expenses 564.2 474.3 18.9 87.31
Net Underwriting Profit 82.0 185.9 (55.9) 12.69
20

(Baht : million)
2007 2006 Change
Net Investment Income %
Interest 181.0 166.1 9.0
Dividends 80.5 4.6 13.7
Gain (Loss) on Sale of Securities and Assets 186.8 119.9 55.7
Rental and Other Income 102.8 101.5 1.3
Share of Profit from Associated Companies
Accounted for under the Equity Method 20.1 5.1 294.4
871.2 727.2 19.8
Investment Expenses 75.2 102.8 (26.8)
Net Investment Income 796.0 624.4 27.5
Operating Results
Net Underwriting Profit 82.0 185.9 (55.9)
Net Investment Income 796.0 624.4 27.5
Income before Income Tax 878.0 810.3 8.4
Income Tax 170.3 217.0 (21.5)
Net Income 707.7 593.3 19.3
Basic Earnings Per Share (Baht) 13.96 11.70 19.3
Ordinary Share (Shares) 50.7 Million 50.7 Million -
Par (Baht) 10.00 10.00 -
21

REPORT OF THE COMPANY’S OPERATIONS
Type of Business
Bangkok Insurance Public Company Limited has been engaged in the non-life insurance business since 1947. The Company
was listed on the Stock Exchange of Thailand in 1978, and was transformed into a public company under the Public Company Act on
July 1, 1993, with a paid-up capital of Baht 200 million. Subsequently, the Company increased its paid-up capital three times in 2002,
2004 and 2006, to total Baht 507 million, consisting of stocks of 50.7 million shares valued at Baht 10 per share.
Summary of Operating Performance for the Year 2007:
Operation and Financial Status of the Company
Based on the financial statements as at December 31, 2007, the total assets of the Company amounted to Baht 19,466.7
million, an increase of 7.0 percent over the Baht 18,193.6 million of the previous year. This was accompanied by a significant increase
in assets, particularly investment capital in securities, of Baht 971.0 million in stock investment, and Baht 385.0 million in notes.
Liabilities at 2007 year-end totaled Baht 5,792.9 million, a rise of Baht 396.1 million, or 7.3 percent, over 2006. A significant
augmentation was the total unearned premium reserve of Baht 177.9 million or 7.8 percent, due to the higher premium written in
2007, compared to 2006. Similarly, loss reserves and outstanding claims increased by Baht 116.2 million or 11.8 percent, owing to
increased motor claims, compared to 2006.
Shareholders’ equity on December 31, 2007, equaled Baht 13,673.8 million, an increase from Baht 12,796.8 million, or 6.9
percent, in 2006. The rise was due mainly to the surplus on revaluation of investments of Baht 777.7 million, or 11.4 percent.
For the year 2007, the premium written income for all classes of insurance increased by 3.1 percent to Baht 7,656.3 million.
Miscellaneous insurance achieved the highest growth rate of 10.0 percent, compared to 2006.
In 2007, the net underwriting profit, after deducting operating expenses, amounted to Baht 82.0 million, a decrease of
Baht 104.0 million, or 55.9 percent, due to a rise in motor claims, compared to 2006.
22

The net investment income in 2007 was Baht 796.0 million, an increase of 27.5 percent compared to 2006. The Company’s
total income before income tax deduction was Baht 878.0 million, a rise of 8.4 percent compared to 2006. After income tax
deduction, the net income totaled Baht 707.7 million, an increase of 19.3 percent compared to 2006, or Baht 13.96 per share,
compared to Baht 11.70 per share in 2006.
The Board of Directors has approved a final dividend payment of Baht 3.75 per share for the year 2007. Nevertheless,
during the past three quarters, the Company has already made three interim dividend payments of Baht 2.75 per share. Therefore,
the total dividend payment for the year 2007 was Baht 12 per share, as compared to Baht 12 per share in 2006.
Operating Performance by Classes of Business for the Year 2007
Fire Insurance
In 2007, the Company registered Baht 1,314.3 million in written fire insurance premium, an increase of 2.8 percent as
compared to 0.5 percent in the previous year. The negative factor impacting the slow rise in fire insurance was a highly
competitive market, a replacement by customers of fire insurance policies with all risks policies, and a decrease in premium
written from the inward treaty as the reinsurance companies had increased their capacity for retention. On the other hand, the
positive factor that enabled written fire insurance premium to grow was a rise in premium written from personal customers, who
achieved a rather high growth rate, particularly in the provincial areas, due mainly to a rise in housing credits of financial
institutions, which assigned the insurance affair to the Company.
The net premium written amounted to Baht 985.5 million, an increase of 2.9 percent, since the Company took more
retention, compared to 2006. The loss ratio in 2007 was 46.4 percent, compared to 40.0 percent the year before. This was due to
losses brought about by a number of fire incidents, each with high-loss amounts. The Company’s underwriting profit thus
decreased by 1.3 percent to Baht 121.6 million, compared to 2006.
23

Marine Insurance
- Hull In 2007, the Company registered a total of Baht 78.4 million in written marine hull insurance premium,
a decrease of 2.4 percent over 2006. This was partly due to some customers’ reduction in the sum insured and sale of their ships,
to a highly competitive market, and to the Baht appreciation, resulting in the premium diminution though the Company gained new
customers.
The net premium written amounted to Baht 11.3 million, a decrease of 6.7 percent over the previous year. This was due
to the Company’s retention of 14.5 percent in 2007, compared to 15.1 percent in 2006. The loss incurred in 2007 increased by
Baht 16.6 million to Baht 16.6 million, compared to the year before. As a consequence of the Company’s underwriting in 2007, the
loss ratio was 159.3 percent, resulting in a loss of Baht 0.01 million and a decrease in underwriting profit of Baht 19.6 million,
compared to 2006.
- Cargo In 2007, the Company registered Baht 316.7 million in written marine cargo insurance premium, a decrease of
16.9 percent over 2006. This was mainly due to the fact that the Company’s large customers did not renew their policies.
The net premium written totaled Baht 209.4 million, a decrease of 12.1 percent, due to the Company’s retention
augmentation from 62.6 percent in 2006 to 66.1 percent in 2007. The loss ratio in 2007 diminished by 1.3 percent to 30.5 percent,
compared to the year before. In 2007, the Company gained an underwriting profit of Baht 85.4 million, a decrease of 14.9 percent
from the previous year.
Motor Insurance
In 2007, the Company registered Baht 3,295.0 million in written motor insurance premium, an increase of only 0.6 percent,
compared to 2006. This was due mainly to the fact that large broker companies greatly reduced insurance work for the Company
as a consequence of the Company’s adjustment of its premium rates in line with the damage incurred, which was in accordance
with the Company’s underwriting policies based on risks rather than pricing strategies. Besides, a slight increase in the written
premium over the previous year resulted from the motor companies’, which are the Company’s business partners, cancellation of
giving the comprehensive motor insurance to their customers, and from some large customers are not renewing the policies.
Nonetheless, the underwriting through an agent still attained a high growth rate via various sale promotion activities. In addition, a
number of large agents increased submitting work to the Company.
The net premium written amounted to Baht 3,159.9 million, a rise of 2.8 percent over the previous year. In 2007, the
Company’s retention was 95.9 percent, a slight increase from 2006, which was 93.8 percent. The loss ratio increased from 61.4
percent in 2006 to 63.1 percent in 2007 due to high loss frequency, apart from increasing repair costs. The company thus gained
an underwriting profit of Baht 291.8 million, a decrease of 14.5 percent, compared to 2006.
Miscellaneous Insurance
Miscellaneous insurance consists of five major categories: General Accident, Engineering, Personal Insurance, Aviation,
and Industrial All Risks. In 2007, the Company registered a total of Baht 2,652.0 million in written miscellaneous insurance
premium, a rise of 10.0 percent over 2006.This was attributed to an increase of 16.0 percent in the direct premium of industrial
all risks insurance, which had a ratio of about 40.0 percent of all miscellaneous premiums. This was in part due to large
customers’ expanded businesses and higher proportion in their underwriting, including some customers’ shift from fire insurance
24

to industrial all risks insurance. Additionally, personal accident insurance and health insurance also played a significant part since
they recorded rapid growth owing to the expansion of the personal line business through both Telemarketing and Bancassurance
projects. Similarly, the premiums gained from facultative reinsurance also increased. With respect to negative factors, the Baht’s
appreciation contributed to a tremendous reduction in the growth rate of aviation insurance premiums, compared to 2006.
The net premium written for all categories totaled Baht 713.0 million, a rise of 54.6 percent over 2006. The Company’s
retention rose to 26.9 percent in 2007, compared to 19.1 percent in 2006. The loss ratio dropped from 67.7 percent in 2006 to 51.5
percent in 2007. There were great losses in 2007 and losses incurred by a professional indemnity insurance policy. As a
consequence, the Company’s underwriting profit increased by 94.0 percent to Baht 147.5 million, compared to 2006.
Underwriting Expenses The Company’s underwriting expenses totaled Baht 4,255.1 million, representing an increase of 9.5
percent over 2006. The claims incurred during 2007 rose by 10.8 percent over the previous year, while other expenses increased
by 7.1 percent over the year before.
Operating Expenses In 2007, the Company’s operating expenses amounted to Baht 564.2 million, a rise of 19.0 percent over
2006. Basically, the expenses on personnel, advertising and sales promotion had a higher proportion, compared to 2006.
Future Projects
The Company has continuously developed its Information Technology (IT) and network system that will enhance the
efficiency and quality of its services, as well as operational management, so that they meet international standards. In 2007,
the Company had modified its telephone system towards the internet protocol telephony system in order to develop
communication potential and upgrade the service speed. In 2008, the Company will improve its data processing center and
increase the IT and network system control center, to support technological advancement in the next five years. Essentially, the
Company’s IT personnel will be able to manage and follow up overall operation from its control center, both at the Head Quarter
and branches, thus enhancing the stability of the Company’s performance through a network. Furthermore, the Company will
install a call center system to support the work of the car accident report reception center, and personal customer services. This
aims to augment service standards and convenience for customers via a quick and updated system of communication and
service quality control.
Goals of Business Transactions
For 2008, the Company has targeted a growth rate of 11.0 percent in direct premium written. It has planned to open at
least four more BKI Care Stations and two micro branches in the areas with a potential for service expansion, as well as seeking
more business partners so as to facilitate and increase the Company’s customer service network. For the underwriting, the
Company will not focus on price competition and will determine its premium rates based on operational costs and tendency of loss
incurred. The Company has a plan to make a survey of its customers with high risks in order to propose how to minimize those
risks. Concerning product development, the Company will introduce new products for the customers’ option. Besides, the
Company has assigned all sections to have a work plan to upgrade their service standard corresponding with the slogan
“Your Caring Partner”, as a continuation from the previous year.
25

INVESTMENT INCOME
The Company’s investment portfolio at 2007 year-end had increased by Baht 484.4 million, or 6.1 percent, to Baht 8,483.9
million. The Baht 3,757.2 million fixed income investment accounted for 44.3 percent of the total investment portfolio, while the
remaining Baht 4,726.7 million, or 55.7 percent, was invested in both listed and unlisted common stocks.
Fixed income investments consisted of deposits with commercial banks, promissory notes, government bonds and
monetary notes, and debentures. Deposits with commercial banks had decreased by 9.2 percent from the previous year to
Baht 536.7 million, or 6.3 percent of the total investment portfolio. Promissory notes of Baht 478.2 million, representing 5.7 percent
of the total investment portfolio, rose by 413.1 percent. Government bonds and monetary notes increased by 233.4 percent from
the previous year to Baht 272.7 million, or 3.2 percent of the total investment portfolio. Finally, debentures of Baht 31.3 million,
representing 0.4 percent of the total investment portfolio, had decreased by 70.8 percent. The Company’s policy was to diminish
the proportion of direct investment in debt securities and invest in funds that invested in good-quality debt securities and
constantly paid a dividend.
Mortgaged loans decreased by 9.9 percent to Baht 2,435.4 million, or 28.7 percent of the total investment portfolio. This
was because, in 2007, the real estate projects that the Company had subsidized were able to pay their debts to the Company,
reflecting their capability to generate incomes, including a sound financial discipline.
During 2007, the Company’s investments in listed securities rose by Baht 171.3 million, or 5.5 percent, to Baht 3,260.4
million, representing 38.4 percent of the total investment portfolio. The Company chose to invest in fundamentally sound stocks
and focused on long-term investments to avoid price fluctuation.
26

Investments in non-listed securities increased by 4.6 percent to Baht 563.7 million, or 6.6 percent of the total investment
portfolio. Part of this was strategic investment in order to generate business relationships with others and support the Company’s
business transactions.
The investment capital in joint companies diminished by 33.1 percent to Baht 118.1 million, or 1.4 percent of the total
investment portfolio. It was shareholding that ranged from 20.0 percent and over, and comprised overseas investments. This was
aimed at distributing investments to outside the Kingdom, apart from enhancing an opportunity of making business transactions
with foreign companies that had a high rate of turnover and were able to pay a dividend.
Additionally, investments in listed real estate funds and ETF funds rose to Baht 253.2 million, representing 3.0 percent of
the total investment portfolio, an increase of 22.1 percent over 2006. Similarly, investments in funds investing in debt securities, as
well as in unlisted real estate funds, increased by 29.4 percent to Baht 531.2 million, or 6.3 percent of the total investment portfolio.
Net investment incomes in 2007 rose by Baht 171.6 million, or 27.5 percent, to Baht 796.0 million. They comprised
Baht 181.0 million from the interest (an increase of 9.0 percent), Baht 380.5 million from dividends (an increase of 13.7 percent),
Baht 186.8 million from stocks and assets sale (a rise of 55.7 percent), Baht 102.8 million from rents and other incomes (a rise of
1.3 percent), and Baht 20.1 million of profit share from joint companies (an increase of 294.4 percent). In 2007, the Company’s
investment expenses decreased by 26.8 percent to Baht 75.2 million.
The SET index at year-end closed at 858.1, an increase of 178.3, or 26.2 percent, from 2006, which closed at 679.8. This
caused the Company to have a surplus on revaluation of investments in the SET totaling Baht 7,572.3 million a rise of Baht 771.4
million, or 11.3 percent, over 2006.
27

INVESTMENT
(Baht : million)
Year end Year end Change Distribution %
2007 2006 % 2007
Composition of Investment Portfolio
Fixed Interest Bearing Securities
Fixed Deposits at Banks 536.7 590.9 (9.2) 6.3
Short - term Promissory Notes 478.2 93.2 413.1 5.7
Mortgage Loans 2,435.4 2,702.5 (9.9) 28.7
Bonds* 272.7 81.8 233.4 .2
Investment and Other Loans 4.2 108.8 (68.6) 0.4
Total Fixed Interest Bearing Securities ,757.2 ,577.2 5.0 44.3
Shares Listed on the SET* ,260.4 ,089.1 5.5 8.4
Unlisted Shares 563.7 538.7 4.6 6.6
Investment in Associated Company 118.1 176.6 (33.1) 1.4
Unit of Closed - end Fund Listed on the SET* 253.3 207.3 22.2 .0
Unit of Closed - end Fund 531.2 410.6 29.4 6.3
Total Investment Portfolio 8,483.9 7,999.5 6.1 100.0
* At Cost
28

INVESTMENTS IN SECURITIES
Investments in Listed Securities as at December 31,2007, consist of following:
Name of Company Line of Business Percentage No. of Shares Book Value Market Value
of Hoding (Baht : Million) (Baht : Million)
Bangkok Bank Banking 1.86 35,412,030 1,418.04 4,178.62
Bumrungrad Hospital Health Care Services 13.12 95,816,502 358.41 3,856.61
Charoong Thai Wire & Cable Electrical Products 5.92 23,551,124 158.71 175.46
Thai Reinsurance Reinsurance .93 46,698,540 85.23 284.86
Furukawa Metal (Thailand) Copper Tube 7.31 3,510,600 83.94 75.83
PTT Energy 0.02 427,000 50.91 160.55
Amata Corporation Industrial Estate 1.24 13,264,100 38.21 232.12
Bangkok Aviation Fuel Services Energy 1.23 6,255,000 35.49 68.81
Kasikorn Bank Banking 0.02 432,200 34.32 7.39
The Siam Commercial Bank Banking 0.01 420,200 33.53 6.14
Ratchaburi Electricity Energy 0.05 680,000 27.71 0.94
Union Plastic Plastics 8.32 2,079,060 27.63 5.55
Minor International Food and Beverage 0.43 12,860,184 27.56 231.48
A.J. Plast Packaging 1.21 4,364,400 26.62 11.87
Electricity Generating Energy 0.12 612,300 26.49 67.97
Ramkhamhaeng Hospital Health Care Services 0.50 60,200 23.14 .23
Thai Theparos Food Sauce 1.36 489,600 22.57 58.75
MCOT Media & Publishing 0.60 730,000 20.86 18.62
I.C.C. International Fashion 0.63 1,844,370 20.20 72.85
Rojana Industrial Park Industrial Estate 0.25 1,625,300 19.52 27.96
ACL Bank Banking 0.22 3,500,000 19.45 16.73
Chumporn Palm Oil Industry Palm Oil 5.18 14,508,910 18.78 53.10
Bangkok Expressway Transportation & Logistics 0.17 1,323,600 18.41 1.37
Nonthavej Hospital Health Care Services 4.12 659,800 18.41 77.20
Saha-Union Fashion 0.46 1,377,600 17.92 24.93
Total 25 Listed Companies 2,632.06 9,898.94
Other 70 Listed Companies 628.31 933.73
Unit trust 784.50 826.90
Total 4,044.87 11,659.57
29

SUMMARY OF QUARTERLY FINANCIAL RESULTS
(Baht’000)
2007 2006
๖(Restated)
(Restated)
Quarterly Results of Operations Q 1 Q 2 Q 3 Q 4 Q 1 Q 2 Q 3 Q 4
Premium Written 2,194,953 1,813,177 1,741,119 1,907,062 2,058,414 1,763,093 1,725,266 1,880,754
Income on Underwriting 120,207 49,089 173,288 303,573 173,601 94,641 204,110 187,915
Operating Expenses 136,402 135,461 146,088 146,221 101,527 123,211 127,455 122,115
Net Underwriting Profit (16,195) (86,372) 27,200 157,352 72,074 (28,570) 76,655 65,800
Net Investment Income 152,806 193,029 175,523 67,797 91,740 174,599 145,185 87,731
Gain (Loss) on Sale of Securities and Assets 107,378 25,156 44,809 9,448 106,182 25,073 (496) (10,761)
Share of Profit from Associated Companies
Accounted for under the Equity Method 6,118 2,271 2,456 9,275 - - - 5,101
Profit before Income Tax 250,107 134,084 249,988 243,872 269,996 171,102 221,344 147,871
Income Tax 91,059 27,045 17,037 35,161 119,643 10,982 31,317 55,083
Net Income 159,048 107,039 232,951 208,711 150,353 160,120 190,027 92,788
Per Share
(Baht)
Basic Earnings Per Share .14 2.11 4.59 4.12 2.97 3.16 3.74 1.83
Ordinary Share (Shares) 50.7 Million 50.7 Million 50.7 Million 50.7 Million 50.7 Million 50.7 Million 50.7 Million 50.7 Million
Dividends 2.75 2.75 2.75 3.75 2.75 2.75 2.75 3.75
Market Price
High 230 250 290 292 304 234 218 226
Low 216 224 250 272 224 208 206 206
Par Value 10.00 10.00 10.00 10.00 10.00 10.00 10.00 10.00
30

THREE YEARS REVIEW
(Baht’000)
2007 2006 2005
For the Year
(Restated)
Premium Written 7,656,311 7,427,527 6,939,322
Income on Underwriting 646,157 660,267 722,097
Operating Expenses 564,172 474,308 467,302
Net Underwriting Profit 81,985 185,959 254,795
Net Investment Income 589,155 499,256 446,444
Gain (Loss) on Sale of Securities and Assets 186,791 119,997 119,348
Share of Profit from Associated Companies
Accounted for under the Equity Method 20,120 5,101 -
Profit before Income Tax 878,051 810,313 820,587
Income Tax of 2004 - - 52,902
Income Tax 170,302 217,025 205,013
Net Income 707,749 593,288 562,672
At Year - end
Unearned Premium Reserve 2,453,829 2,275,965 2,081,021
Shareholders’ Equity 13,673,817 12,796,775 11,794,770
Per Share
(Baht)
Basic Earnings Per Share* 13.96 11.70 11.10
Ordinary Share (Shares) 50.7 Million 50.7 Million 50.7 Million
Dividends 12.00 12.00 12.00
Stock Dividends - - .00
Book Value 269.70 252.40 232.64
Market Price
High 292.00 04.00 264.00
Low 216.00 206.00 210.00
Market Price at Year-end 274.00 224.00 262.00
Par Value 10.00 10.00 10.00
Number of Employees 1,079 1,057 1,036
* Remarks : Basic earnings per share is determined by dividing net earnings for the period by the number of ordinary shares after the issue of stock
dividends in 2005. (50.7 million shares)
31

ADVISORY BOARD
Mr. Chatri Sophonpanich
Chairman
Mrs. Boonsri Sophonpanich
Adviser
Mr. Damrong Krishnamara
Adviser
Mr. Piti Sithi – amnuai
Adviser
Mr. Vira Ramyarupa
Adviser
33

BOARD OF DIRECTORS AND BOARD OF DIRECTORS PROFILE
Mr. Chai Sophonpanich
Chairman
Education
- B.Sc., University of Colorado, U.S.A.
- Advanced Management Program,
the Wharton School, 1984
- The Joint State - Private Sectors Class 6,
The National Defence College of Thailand
- Directors Certifcation Program (DCP)
Class 16/2002, Thai Institute of Directors
Association
- Chairman 2000 Class 10/2004,
Thai Institute of Directors Association
Work Experiences
- President, Bangkok Insurance Public
Co., Ltd. (1976 - present)
- Chairman, Bangkok Insurance Public
Co., Ltd. (1978 - present)
- Chairman, Bumrungrad Hospital Public
Co., Ltd. (1979 - present)
- Chairman, Charoong Thai Wire & Cable
Public Co., Ltd. (1986 - present)
- Chairman, Furukawa Metal (Thailand)
Public Co., Ltd. (1988 - present)
- Vice Chairman, Thai Reinsurance Public
Co., Ltd. (1978 - present)
- Director, Bangkok Life Assurance Co., Ltd.
(1968 - present)
- Director, The General Insurance
Association (1972 - present)
- President, The General Insurance
Association (1984, 1985, 1989, 1990,
1997 - 2000, 2005 - 2006)
- Chairman, The Federation of Thai Insurance
Organization (2006 - present)
- President, The East Asian Insurance
Congress (1985, 1986, 2005, 2006)
- Chairman, Asean Insurance Council,
Jakarta (1987, 1988)
- Chairman, Asean Reinsurance Corp., Ltd.,
Singapore (1988 - 1992)
Mr. Plengsakdi Prakaspesat
Independent Director and Chairman
of the Audit Committee
Education
- Graduate in Commerce from Ross College
(Dublin), Ireland
- Ph.D. (Honoraris Causa)
on Mass Communication,
Ramkhamhaeng University
- Ph.D. (Honoraris Causa) on Arts,
Rajabhat Institute Lampang
- Certificate of the Course for Top
Executives, The Association for Overseas
Technical Scholarship (AOTS), Japan
- The Joint State - Private Sectors Class 1,
The National Defence College of Thailand
- Directors Accreditation Program (DAP)
Class 27/2003, Thai Institute of Directors
Association
- The Characteristics of Effective Directors
Class 1/2006, Thai Institute of Directors
Association
- Certificate of Attendance Audit Committee
Program (ACP) Class 17/2007,
Thai Institute of Directors Association
Work Experiences
- Honorary Chairman, Asia Pacific Potash
Corporation Ltd. (1984 - 2006)
- Corporate Chairman, MC. Industrial
Chemical Co., Ltd. (1997 - 2005)
- Adviser, MC. Industrial Chemical Co., Ltd.
(2005 - present)
- Vice Chairman, United Flour Mill Public
Co., Ltd. (1980 - 2001)
- Adviser, United Flour Mill Public Co., Ltd.
(2001 - present)
- Senior Adviser, Thai Central Chemical
Public Co., Ltd. (1997 - present)
- Independent Director and Member of the
Audit Committee, ACL Bank Public
Co., Ltd. (2005 - present)
- Member of the Corporate Governance
Committee, ACL Bank Public Co., Ltd.
(2007 - present)
- Audit Committee, Bangkok Insurance
Public Co., Ltd. (1999 - 2005)
- Independent Director, Bangkok Insurance
Public Co., Ltd. (1999 - present)
- Director of Remuneration & Nomination
Committee, Bangkok Insurance Public
Co., Ltd. (2004 - 2005)
- Chairman of the Audit 34 Committee,
Bangkok Insurance Public Co., Ltd.
(2005 - present)
Mr. Singh Tangtaswas
Independent Director and Chairman
of Remuneration & Nomination Committee
Education
- B.A. (Economics), Thammasat University
- M.B.A. (Finance), Wharton School of
Finance and Commerce, University of
Pennsylvania
- Certificate of Management Development
Program, Wharton School
- Certificate of Executive Development
Program, Harvard Business School
- Directors Certification Program (DCP)
Class 0/2000, Thai Institute of Directors
Association
Work Experiences
- President, Krung Thai Bank Public
Co., Ltd. (1999 - 2001)
- Adviser, Corporate Governance Center,
The Stock Exchange of Thailand
(2002 - present)
- Director and Chairman of the Audit
Committee, Thai Optical Group Public
Co., Ltd. (2004 - present)
- Director, TWZ Corporation Public Co., Ltd.
(2005 - present)
- Executive Director, Bangkok Bank Public
Co., Ltd. (2005 - present)
- Managing Director, Bangkok Bank Public
Co., Ltd. (2006 - present)
- Independent Director and Chairman
of Remuneration & Nomination Committee,
Bangkok Insurance Public Co., Ltd.
(2004 - present)

Miss Potjanee Thanavaranit
Independent Director and Audit Committee
Education
- B.B.A. (Accounting), Chulalongkorn University
- M.B.A., Syracuse University, U.S.A.
- Advanced Course in General Insurance,
Swiss Insurance Training Center, Switzerland
- Advanced Management Program,
Australian Management College, Australia
- Executive Development Program,
Office of the Civil Service Commission
- National Defence College, Class 42
- Directors Certification Program (DCP) Class
17/2002, Thai Institute of Directors Association
- The Role of The Chairman Program (RCP)
Class 13/2006, Thai Institute of Directors
Association
Work Experiences
- Deputy Director General, Department of
Insurance, Ministry of Commerce (1994 - 1999)
- Inspector - General, Ministry of Commerce
(1999 - 2001)
- Director - General, Department of Insurance,
Ministry of Commerce (2001 - 2006)
- Second Vice - President of the National
Legislative Assembly (October 2006 -
March 2008)
- Council of State (Group 3 - Monetary Laws)
(present)
- Economic Adviser, Council for National
Security (September 2006 - January 2008)
- Adviser, Ministry of Commerce
(October 2006 - January 2008)
- Member of the Monetary Policy Board,
The Bank of Thailand (present)
- Chairperson, Thailand Insurance Institute
(2002 - 2007)
- Qualified Committee, The Federation of
Thai Insurance Organization (present)
- Sub - Commissioner, the Sub - Commission
on the Development and Promotion of Public
Organization and other Organizations under
Governmental Supervision, the Public Sector
Development Commission (present)
- Director, Thai Reinsurance Public Co., Ltd.
(present)
- Chairperson (Independent Director), Audit
Committee and Chairperson Compensation
& Nominating Sub - Committee, Univentures
Public Co., Ltd. (present)
- Independent Director and Audit Committee,
Bangkok Insurance Public Co., Ltd.
(2007 - present)
Dr. Areepong Bhoocha-oom
Independent Director and Audit Committee
Education
- Ph.D. Finance, University of Mississippi,
U.S.A.
- M.B.A. Finance, Marshall University, U.S.A.
- B.S. International Management, Boston
University, U.S.A.
- Directors Certification Program (DCP)
Class 3/2000, Thai Institute of Directors
Association
- Government Debt Monitoring System,
World Bank
- Global Trend and Public Enterprise
Reform, Harvard University, U.S.A.
- Awareness, Vision, Imagination,
Responsibility, Action (AVIRA), INSEAD
Work Experiences
- Director - General, Bureau of State
Enterprises and Government Securities,
Ministry of Finance (2001 - 2002)
- Deputy Director - General, State
Enterprises Policy Office, Ministry of
Finance (2002 - 2007)
- Director, State Enterprises Policy Office,
Ministry of Finance (2007 - present)
- Director, Airport of Thailand Public
Co., Ltd. (2002 - 2007)
- Director, Ratchaburi Electricity Generating
Co., Ltd. (2000 - 2007)
- Director, Ratchaburi Electricity Generating
Holding Public Co., Ltd. (2000 - present)
- Independent Director and Audit Committee,
Bangkok Insurance Public Co., Ltd.
(November 2007 - present)
35
Mr. Thira Wongjirachai
Independent Director and Director
of Remuneration & Nomination Committee
Education
- B. Eng., Linnan University
- Directors Accreditation Program (DAP)
Class 51/2006, Thai Institute of Directors
Association
Work Experiences
- Director, Micro Fiber Industry Co., Ltd.
(present)
- Independent Director, Bangkok Insurance
Public Co., Ltd. (1993 - present)
- Director of Remuneration & Nomination
Committee, Bangkok Insurance Public
Co., Ltd. (2004 - present)

Mr. Suvarn Thansathit
Independent Director and Director
of Remuneration & Nomination Committee
Education
- M.Sc. in Commerce, University of
Santo Tomas, Philippines
- Directors Certification Program (DCP)
Class 63/2005, Thai Institute of Directors
Association
Work Experiences
- Senior Executive Vice President &
Director - Metropolitan Banking Group,
Bangkok Bank Public Co., Ltd.
(1996 - 1998)
- Senior Executive Vice President &
Head - Special Asset Management,
Bangkok Bank Public Co., Ltd.
(1998 - 2005)
- Senior Executive Vice President & Head -
Chief Credit Officer, Bangkok Bank
Public Co., Ltd. (2005 - 2006)
- Senior Executive Vice President & Chief,
Bangkok Bank Public Co., Ltd.
(2006 - present)
- Independent Director and Chairman of
the Audit Committee, Lalin Property
Public Co., Ltd. (2002 - present)
- Independent Director and Director of
Remuneration & Nomination
Committee, Bangkok Insurance Public
Co., Ltd. (2005 - present)
Mr. Chor.nun Petpaisit
Independent Director
Education
- B.B.A. (Accounting), Thammasat
University
- Directors Accreditation Program (DAP)
Class 28/2004, Thai Institute of Directors
Association
- Directors Certification Program (DCP)
Class 76/2006, Thai Institute of Directors
Association
Work Experiences
- Director, Bureau of Tax Audit
Operation, The Revenue Department,
Ministry of Finance (2000 - 2001)
- Director, Tourism Authority of Thailand
(2005 - 2006)
- Director, National Science Museum
(2005 - 2007)
- Director, Government Housing Bank
(2005 - Present)
- Independent Director, Bangkok Insurance
Public Co., Ltd. (2002 - 2004,
2006 - present)
Mr. Virasak Sutanthavibul
Independent Director
Education
- B.Eng., Chulalongkorn University
- M.Eng. (Industrial Management),
Texas A&M University, Texas, U.S.A.
- The Joint State - Private Sectors Class 18,
The National Defence College of Thailand
- Directors Accreditation Program (DAP)
Class 21/2003, Thai Institute of Directors
Association
- Certificate, Harvard University,
Advanced Management Program, U.S.A.
- Certificate, Harvard University, Financial
Institution for Private Enterprise
Development, U.S.A.
Work Experiences
- Executive Vice President, Head of
Metropolitan Commercial Banking,
Bangkok Bank Public Co., Ltd.
(2002 - present)
- Director, Toyota Leasing (Thailand)
Co., Ltd. (2001 - present)
- Director, Asia Lamp Industry Co., Ltd.
(2001 - present)
- Director, Thai Indo Cordsa Co., Ltd.
(2001 - present)
- Director, Thai Nusa Development
Co., Ltd. (2001 - present)
- Independent Director and Audit
Committee, T.Krungthai Industries
Public Co., Ltd. (2004 - present)
- Director, UB Haworth Co., Ltd. (present)
- Independent Director, Bangkok Insurance
Public Co., Ltd. (2005 - present)
36

Mr. Tori Ueno
Independent Director
Mr. Witcha Damrongsinsak
Director
Mr. Voravit Rojrapitada
Director and Secretary to the Board of Directors
Education
- Graduated from Department of Laws of
Nagoya University, Japan
Work Experiences
- Associate Director, International
Department of Aioi Insurance Co., Ltd.,
Japan (2006)
- Executive Officer, Overseas Business
Operation of Aioi Insurace Co., Ltd., Japan
(2007 - present)
- Independent Director, Bangkok Insurance
Public Co., Ltd. (November 2007 -
present)
Education
- High School, Wat Bovornnives School
- Directors Certification Program (DCP)
Class 45/2004, Thai Institute of Directors
Association
Work Experiences
- General Manager, Miscellaneous
Insurance Department, Bangkok Insurance
Public Co., Ltd. (1983 - 2000)
- Executive Vice President, Bangkok
Insurance Public Co., Ltd. (2000 - 2006)
- Director, Bangkok Insurance Public
Co., Ltd. (1998 - present)
- Insurance Adviser, Bangkok Insurance
Public Co., Ltd. (2007 - present)
- Vice Chairman, Miscellaneous Insurance
Sub-committee, The General Insurance
Association (1984 - 2000)
Education
- Certificate, Assumption Commercial
College
- Mini M.B.A., Thammasat University
- Directors Certification Program (DCP)
Class 27/2003, Thai Institute of Directors
Association
- Certificate, Swiss Insurance Training
Centre, Switzerland
- Skandia Insurance Management,
Philippines
Work Experiences
- Assistant Managing Director,
Bangkok Insurance Public Co., Ltd.
(1982 - 1999)
- Senior Executive Vice President,
Bangkok Insurance Public Co., Ltd.
(2000 - present)
- Director, Bangkok Insurance
Public Co., Ltd. (1981 - present)
- Secretary to the Board of Directors,
Bangkok Insurance Public Co., Ltd.
(1992 - present)
- Chairman of the Audit Committee,
Chumporn Palm Oil Industry
Public Co., Ltd. (2003 - 2005)
- Director and Audit Committee,
Chumporn Palm Oil Industry
Public Co., Ltd. (1999 - present)
37

MANAGEMENT COMMITTEE AND MANAGEMENT COMMITTEE PROFILE
1. Mr. Satit Liptasiri
2. Mr. Chai Sophonpanich
3. Miss Pagamas Charusathien
4. Mr. Aree Vanairlor
5. Mr. Suphat Yookongbandhu
6. Mr. Anon Vangvasu
7. Mr. Panus Thiravanitkul
8. Miss Poonsuk Tevidhaya
9. Mr. Sontaya Chaichomlert
10. Mrs. Srichittra Pramojaney
11. Mr. Boonkird Chirapathama
12. Mr. Sumnao Thienpramuk
13. Mr. Jakkrit Chewanuntapornchai
14. Mr. Apisit Anantanatarat
15. Mr. Voravit Rojrapitada
38

Mr. Chai Sophonpanich
Chairman and President
Mr. Voravit Rojrapitada
Director and Senior Executive Vice President
Mr. Panus Thiravanitkul
Executive Vice President
Commence
- February 1968
Commence
- October 1971
Commence
- May 1973
Education
- B.Sc., University of Colorado, U.S.A.
- Advanced Management Program,
the Wharton School, 1984
- The Joint State - Private Sectors Class 6,
The National Defence College of Thailand
- Directors Certification Program ๗(DCP)
Class 16/2002, Thai Institute of Directors
Association
- Chairman 2000 Class 10/2004,
Thai Institute of Directors Association
Work Experiences
- President, Bangkok Insurance Public
Co., Ltd. (1976 - present)
- Chairman, Bangkok Insurance Public
Co., Ltd. (1978 - present)
- Chairman, Bumrungrad Hospital Public
Co., Ltd. (1979 - present)
- Chairman, Charoong Thai Wire & Cable
Public Co., Ltd. (1986 - present)
- Chairman, Furakawa Metal (Thailand)
Public Co., Ltd. (1988 - present)
- Vice Chairman, Thai Reinsurance Public
Co., Ltd. (1978 - present)
- Director, Bangkok Life Assurance
Co., Ltd. (1968 - present)
- Director, The General Insurance
Association (1972 - present)
- President, The General Insurance
Association (1984, 1985, 1989, 1990,
1997 - 2000, 2005 - 2006)
- Chairman, Federation of Thai Insurance
Organization (2006 - present)
- President, The East Asian Insurance
Congress (1985, 1986, 2005, 2006)
- Chairman, Asean Insurance Council,
Jakarta (1987, 1988)
- Chairman, Asean Reinsurance Corp., Ltd.
Singapore (1988 - 1992)
Education
- Certificate Assumption Commercial
College
- Mini M.B.A., Thammasat University
- Directors Certification Program (DCP)
Class 27/2003, Thai Institute of Directors
Association
Training
- Certificate, Swiss Insurance Training
Centre, Switzerland
- Skandia Insurance Management,
Philippines
Work Experiences
- Assistant Managing Director,
Bangkok Insurance Public Co., Ltd.
(1982 - 1999)
- Senior Executive Vice President,
Bangkok Insurance Public Co., Ltd.
(2000 - present)
- Director, Bangkok Insurance Public
Co., Ltd. (1981 - present)
- Secretary to the Board of Directors,
Bangkok Insurance Public Co., Ltd.
(1992 - present)
- Chairman of the Audit Committee,
Chumporn Palm Oil Industry Public
Co., Ltd. (2003 - 2005)
- Director and Audit Committee,
Chumporn Palm Oil Industry Public
Co., Ltd. (1999 - present)
Education
- B.Sc. (Economics), Thammasat University
- M.B.A., Chulalongkorn University
Training
- Certificate, Swiss Insurance Training
Centre, Switzerland
- Marine Consequential Loss Insurance,
Germany
- Insurance School of Japan
Work Experiences
- Assistant General Manager, Marine
Insurance Department, Bangkok Insurance
Public Co., Ltd. (1993 - 2000)
- General Manager, Marine Insurance
Department, Bangkok Insurance Public
Co., Ltd. (2000 - 2001)
- Senior Vice President, Operations
Department, Bangkok Insurance Public
Co., Ltd. (2001 - 2007)
- Executive Vice President,
Bangkok Insurance Public Co., Ltd.
(present)
- Vice Chairman, Marine and Transport
Insurance Sub - committee, The General
Insurance Association (1994 - 1996,
1999 - 2000)
39

Miss Pagamas Charusathien
Senior Vice President
Miss Poonsuk Tevidhaya
Senior Vice President
Mrs. Srichittra Pramojaney
Senior Vice President
Commence
- December 1967
Commence
- August 1969
Commence
- January 2006
Education
- Certificate of Vocational Education
in Business Administration (Secretary),
Saint John’s Vocational College, Bangkok
- Mini M.B.A., Chulalongkorn University
Training
- Certificate, Swiss Insurance Training
Centre, Switzerland
- Air Carriage - Law & Claims Handling,
England
- Agricultural Insurance, France
Work Experiences
- Assistant General Manager,
Miscellaneous Insurance Department,
Bangkok Insurance Public Co., Ltd.
(1994 - 1999)
- Assistant General Manager, Personal
Insurance and Aviation Department,
Bangkok Insurance Public Co., Ltd.
(1999 - 2000)
- General Manager, Personal Insurance
and Aviation Department, Bangkok
Insurance Public Co., Ltd. (2000 - 2001)
- Senior Vice President, Production
Department, Bangkok Insurance Public
Co., Ltd. (2001 - 2007)
- Senior Vice President, Special Risks
Business Unit, Bangkok Insurance Public
Co., Ltd. (present)
Education
- B.B.A., Bangkok University
Training
- Certificate, Swiss Insurance Training
Centre, Switzerland
- Insurance Management Development
Program (IMDP)
Work Experiences
- Assistant General Manager, Human
Resources Department, Bangkok
Insurance Public Co., Ltd. (1994 - 2000)
- Senior Vice President, Human Resources
Department, Bangkok Insurance Public
Co., Ltd. (2000 - present)
Education
- B.B.A. (Accounting), Thammasat
University
- M.B.A., University of North Texas, U.S.A
Work Experiences
- Corporate General Manager,
Office of Financial Management,
Mitsubishi Motors (Thailand) Ltd.
(1997 - 2002)
- Corporate Financial and Accounting
Controller, Motorola (Thailand) Ltd.
(2002 - 2004)
- Chief Financial Officer,
Henkel Thai (1999) Ltd. (2004 - 2005)
- Senior Vice President, Accounting
and Treasury Department, Bangkok
Insurance Public Co., Ltd.
(2006 - present)
40

Mr. Satit Liptasiri
Senior Vice President
Mr. Anon Vangvasu
Senior Vice President
Mr. Jakkrit Chewanuntapornchai
Senior Vice President
Commence
- October 1977
Commence
- December 1976
Commence
- August 1982
Education
- Diploma (Accounting), Perth Technical
College, Australia
Training
- Certificate, Swiss Insurance Training
Centre, Switzerland
- Risk Assessment Workshop for Asian
Fire Underwriters, Switzerland
- Insurance Management Development
Program (IMDP)
Work Experiences
- Assistant General Manager,
Fire Insurance Department,
Bangkok Insurance Public Co., Ltd.
(1995 - 2000)
- General Manager, Fire Insurance
Department, Bangkok Insurance Public
Co., Ltd. (2000 - 2001)
- Senior Vice President, Branch Operations
Department, Bangkok Insurance Public
Co., Ltd. (2001 - 2005)
- Senior Vice President, Non-Motor Claims
Department, Bangkok Insurance Public
Co., Ltd. (2006 - present)
- Vice Chairman, The Property Insurance
Sub - committee, The General Insurance
Association (1998 - 2002)
Education
- LL.B., Ramkhamhaeng University
Training
- Certificate, Swiss Insurance Training
Centre, Switzerland
- Insurance Management Development
Program (IMDP)
Work Experiences
- Assistant General Manager, Legal
Department, Bangkok Insurance Public
Co., Ltd. (1998 - 2000)
- Senior Vice President, Legal Department,
Bangkok Insurance Public Co., Ltd.
(2000 - present)
- Senior Vice President, Non-Motor Claims
Department, Bangkok Insurance Public
Co., Ltd. (2003 - 2005)
- Senior Vice President, Motor Claims
Department, Bangkok Insurance Public
Co., Ltd. (2006 - present)
- Vice Chairman, Motor Insurance
Sub - committee, The General Insurance
Association (2001 - present)
- Vice Chairman of The Board,
Load Accident Victims Protection
Co., Ltd. (1998 - present)
Education
- B.Sc. (Statistics), Chulalongkorn University
- M.B.A., Chulalongkorn University
Training
- General Insurance & Insurance
Management, IIAP, Philippines
- Alois - Alzheimer Scholarship, Munich Re,
Germany
- MARSH Overseas Clients’ Course 2001,
England
Work Experiences
- Manager, Non-Motor Claims Department,
Bangkok Insurance Public Co., Ltd.
(1998 - 2001)
- Vice President, Direct Customer Division,
Bangkok Insurance Public Co., Ltd.
(2001 - 2007)
- Senior Vice President, Commercial Lines
Business Unit, Bangkok Insurance Public
Co., Ltd. (present)
41

Mr. Boonkird Chirapathama
Senior Vice President
Mr. Sontaya Chaichomlert
Senior Vice President
Mr. Suphat Yookongbandhu
Senior Vice President
Commence
- July 1984
Commence
- February 1996
Commence
- August 1980
Education
- LL.B., Thammasat University
- B.B.A. (General Management),
Sukhothai Thammathirat University
- M.A. (Social Development), National
Institution of Development Administration
Training
- General Insurance Session (International),
College of Insurance, India
- Insurance Professional Programme -
(Fit for Management), SITC, Switzerland
Education
- B.B.A. (Accounting), Thammasat
University
- Mini M.B.A., Chulalongkorn University
Training
- Chiyoda Insurance Seminar, Japan
- Insurance Management Development
Program (IMDP)
- Modern Management Program (MMP)
- Developing CG Policy Statement,
Thai Institute of Directors Association
Education
- B.B.A., (Marketing), Assumption University
- Associate of the Insurance Institute of
New Zealand (NZII), New Zealand
Training
- Miscellaneous Casualty Insurance, ISJ,
Japan
- Advanced Course in General (Non-Life)
Insurance, SITC, Switzerland
- Insurance Management Development
Program (IMDP)
Work Experiences
- Vice President, Agent Division
Bangkok Insurance Public Co., Ltd.
(2002 – 2005)
- First Vice President, Agent Division
Bangkok Insurance Public Co., Ltd.
(2005)
- First Vice President, Branch Operations
Department, Bangkok Insurance Public
Co., Ltd. (2006 - 2007)
- Senior Vice President, Branch Operations
Department, Bangkok Insurance Public
Co., Ltd. (present)
Work Experiences
- Vice President, Internal Audit Division,
Bangkok Insurance Public Co., Ltd.
(1996 - 2004)
- Vice President, Internal Audit Office,
Bangkok Insurance Public Co., Ltd.
(2004 - 2005)
- First Vice President, Internal Audit Office,
Bangkok Insurance Public Co., Ltd.
(2005 - 2006)
- Senior Vice President, Internal Audit
Department, Bangkok Insurance Public
Co., Ltd. (2007- present)
Work Experiences
- Manager, Miscellaneous Insurance
Department, Bangkok Insurance Public
Co., Ltd. (1994 - 2001)
- Vice President, Broker Division,
Bangkok Insurance Public Co., Ltd.
(2001 - 2005)
- First Vice President, Broker Division,
Bangkok Insurance Public Co., Ltd.
(2005 - 2007)
- Senior Vice President, Broker
Business Unit, Bangkok Insurance Public
Co., Ltd. (present)
42

Mr. Apisit Anantanatarat
Senior Vice President
Mr. Aree Vanairlor
Senior Vice President
Mr. Sumnao Thienpramuk
First Vice President
Commence
- April 1985
Commence
- August 1989
Commence
- June 1989
Education
- M.A. (Industrial and Organization
Psychology), Thammasat University
- M.S. (Insurance), University of Hartford,
U.S.A.
- Diploma of Financial Service (General
Insurance), ANZIIF (Senior Associate),
Australia
Training
- General Insurance Foundation Course,
National Insurance Academy, India
- Management Development Program
(Fit for Expert Underwriting), SITC,
Switzerland
- Management Development Program
(Fit for Management), SITC, Switzerland
- New Forms of Risk Sharing and Risk
Engineer, SCOR, France
Work Experiences
- Assistant Vice President, Human
Resources Development Division,
Bangkok Insurance Public Co., Ltd.
(2000 - 2002)
- Vice President, Human Resources
Development Division, Bangkok
Insurance Public Co., Ltd. (2002 - 2005)
- First Vice President, Information
Technology Department,
Bangkok Insurance Public Co., Ltd.
(2005 - present)
- First Vice President, Personal Lines
Division, Bangkok Insurance Public
Co., Ltd. (2005 - 2007)
- Senior Vice President, Personal Lines
Business Unit, Bangkok Insurance Public
Co., Ltd. (present)
Education
- B.A. (Political Science) Ramkhamhaeng
University
- Associate of the Insurance Institute of
New Zealand (NZII), New Zealand
Training
- Advanced Engineering Insurance
Seminar, Cologne Re, Germany
- Advanced Non-Life Insurance Course,
SITC, Switzerland
Work Experiences
- Manager, Marketing Department
Bangkok Insurance Public Co., Ltd.
(1995 - 2001)
- Vice President, Financial Institution
Division, Bangkok Insurance Public
Co., Ltd. (2001 - 2005)
- First Vice President, Financial Institution
Division, Bangkok Insurance Public
Co., Ltd. (2005 - 2006)
- First Vice President, Agent Division,
Bangkok Insurance Public Co., Ltd.
(2006 - 2007)
- Senior Vice President, Financial
Institution Business Unit, Bangkok
Insurance Public Co., Ltd. (present)
Education
- M.Sc. (Applied Statistics), National
Institute of Development Administration
Training
- Chiyoda Insurance Seminar, Japan
- Sumitomo Systems Seminar, Japan
Work Experiences
- First Vice President, Information
Technology Department,
Bangkok Insurance Public Co., Ltd.
(1996 - present)
Dr. Wichitra Ngansathil
Senior Vice President
(passed away on January 31, 2008)
43

FIRST VICE PRESIDENT AND VICE PRESIDENT
1. Miss Sujinda Teplertboon
2. Mrs. Sumana Trongtranon
3. Miss Umaporn Hualbuttar
4. Mr. Prasit Wanichodom
5. Mr. Paitoon Chanpanorrak
6. Mr. Anant Pongpoon
7. Mr. Wichai Pongsetpisal
8. Mr. Sorat Vonganankit
(appointed on February 1, 2008)
1. Mr. Somchai Chiaranaiphaisan
2. Miss Yupin Thongsaengbunya
3. Mrs. Ratiporn Wasskul
4. Mrs. Jariya Pattamachaiyant
5. Mr. Vichien Moleewon
6. Mr. Suthi Chathanakul
7. Mr. Athapol Anansajakul
8. Mr. Preecha Sornmanee
9. Miss Sutida Malila
44

1. Miss Anchana Lohchanacharoenporn
2. Miss Saranya Luenglertvorakul
3. Mrs. Vanthana Yoovithaya
4. Mr. Suchai Limpodom
5. Mr. Stephen Crabb
6. Mr. Ekamol Aungkavattana
7. Mr. Prakarn Anantachote
8. Mr. Trirak Krutvecho
9. Mr. Boonthep Wattanarojjananikorn
(resigned on April 1, 2008)
1. Mrs. Supranee Piriyawiboon
2. Miss Pimjai Luemrung
3. Mrs. Vachana Boonritthipong
4. Mr. Werawut Ratananate
5. Mr. Lert Vongchai
6. Mr. Supamongkol Sukakanya
7. Mr. Charun Jongudomporn
8. Mr. Perasak Nakasriarun
9. Mr. Virat Akaraboonlertyot
Remark : 1. Mrs. Surang Punyasith (retired on January 1, 2008)
2. Mr. Wanchai Piti (resigned on February 16, 2008)
45

ASSISTANT VICE PRESIDENT
1. Mr. Chatchai Chitpaiboolrak
2. Miss Rangsimarath Thongdeekam
3. Miss Paveena Juchuan
4. Miss Wilai Lertritpuwadol
5. Mr. Natdanai Pornchaisiriarun
6. Mr. Sarayuth Apaipim
7. Mr. Thitipong Kittiprapas
8. Mr. Teerawat Jaturavit
9. Mr. Kittipong Arunrungsawadi
10. Mr. Mannarong Thititanakul
1. Mr. Anawaj Saibang
2. Mr. Suchai Srirongraungjit
3. Mr. Winai Kunpraserd
4. Mr. Varit Unprasertporn
5. Miss Naranuch Wontanawaikoon
6. Mr. Prayudh Jatarupamaya
7. Mr. Jeravong Thantachote
8. Mrs. Anutra Chanprasartsuk
9. Mrs. Suwannee Kuptitumkul
1. Mr. Mongkol Tongto
2. Mr. Narongrit Udomlapsakul
3. Mr. Wiwat Panyakiattikun
4. Mr. Peerapat Thawornniti
5. Mrs. Charasporn Vipakornvit
6. Mr. Pisit Kidcharoensuk
7. Mr. Wera Virojsirasak
8. Miss Pranee Komonkawin
9. Mrs. Rataya Singh
46

1. Mr. Paisan Vohakiat
2. Mrs. Netnaphit Poolsupya
3. Miss Pisamai Wiphatkrut
4. Mrs. Waraporn Dhanisornkul
5. Mr. Alonggorn Gradtip
6. Mr. Kannasootr Homjan
7. Mr. Songkiat Nualon
8. Mr. Taweechai Wootianusorn
9. Mr. Suthira Patrapanupat
10. Mr. Tawee Kvanthong
1. Mrs. Jurairuch Pipatpongsopon
2. Mr. Danai Rojjintaves
3. Mrs. Suwannee Sithisukh
4. Mrs. Pannee Vongchai
5. Mr. Pairin Chaibenjapol
6. Mr. Anek Keereesathien
7. Mr. Yongyudh Tangtrongpiros
8. Mr. Attapol Rangsiwongs
9. Mr. Songyos Intaladchoom
1. Mr. Werachat Tulapong
2. Mrs. Sirithorn Pongsiripat
3. Mr. Natthajak Santatilokkul
4. Miss Siriraht Ojarutip
5. Mr. Jeravat Payakarasamit
6. Mr. Surasak Xuto
7. Mr. Kriengsak Wongsantimeth
8. Mrs. Sermsuk Kidcharoensuk
9. Miss Sunee Luangpongrat
47

SOCIAL ACTIVITIES IN 2007
Continuing our 60 years’ legacy
of good deeds project
Continuing our 60 years’ legacy
of good deeds project
Continuing our 60 years’ legacy
of good deeds project
Bangkok Insurance Public Company Limited, having realized its responsibilities to society, has continuously supported
both government and private sector activities each year for the benefit and interest of society at large.
The year 2007 was the occasion of the Company’s 60 th operation anniversary. Apart from conducting various activities
for society as it does regularly every year, the Company carried on in 2007 its “Continuing Our 60 Years’ Legacy of Good Deeds”
project through organizing more of the virtuous activities that had been initiated in 2006. Any merit gained from the activities is
dedicated to His Majesty the King on the occasion of the 60 th Anniversary of his accession to the throne as well as his 80 th
Birthday Anniversary. In this connection, the Company’s management, staff, customers and business partners have participated in
such virtuous activities as the following:
Activities in the “Continuing Our 60 years’ Legacy of Good Deeds” Project
Baht 60 Per Policy to Join in the Committing Good Deeds Project
The Company collected a Baht 60 premium from each policy between 2006 and 2007 for contribution to the
Chai Pattana Foundation.
Support Activities of the Princess Sirindhorn Center Foundation for National Medical Rehabilitation
The Company offered a contribution of Baht 6,000,000 in support of the Princess Sirindhorn Center Foundation’s
expenses for mobile medical services, and has provided a 3-year-term motor insurance policy to the mobile medical unit. In
addition, the Company’s management and employees have enthusiastically taken part in the mobile medical activities of the
Princess Sirindhorn Center in different provinces to provide a rehabilitation service to people with disabilities. In 2007, these
activities were carried out 4 times in Chaiyaphum, Chumphon, Nakhon Sawan and Kanchanaburi provinces.
Caravan of Compassion Both in Bangkok and the Provinces
In 2007, the Company established the “Bangkok Caravan of Compassion” activity by providing financial support and
necessities, as well as visiting disabled and underprivileged children at 5 charity homes in Park Kred, namely: Phaya Thai Infant
Home, Srisangvarn School, Nonthaphum Home, Rajavadi Home and the Center for Ability Promotion for the Blind.
48

Continuing our 60 years’ legacy
of good deeds project
Continuing our 60 years’ legacy
of good deeds project
Continuing our 60 years’ legacy
of good deeds project
Additionally, the Company’s management, employees, customers and business partners participated in the “Provincial
Caravan of Compassion” activity in all regions of the country, notably Chiang Mai, Nakhon Ratchasima and Surat Thani, in order to
conduct various activities benefiting local schools. These included the construction of lavatories, the provision of drinking-water
tanks and computers, and the remodeling of the landscape to create a sound environment. Similarly, various forms of
entertainment were offered to children through recreational activities and mini-concerts conducted by favourite singers.
Furthermore, the Company contributed a total of Baht 500,000, including necessities, when visiting aids patients at Wat
Phrabat Namphu in Lop Buri province.
Project to Establish Clean Potable Water and Provide Lavatory Facilities to Schools in Remote Areas
The Company has given financial support totaling over Baht 4,000,000 for the construction of lavatories and the
provision of sufficient clean water at more than 70 schools. The project is aimed at inoculation and raising awareness among the
young of the importance of cleanliness for a good health.
Support for a Large Shadow Puppet Preservation Project by the Department of Fine Arts
Having realized the value of Thailand’s cultural heritage, the Company has offered a contribution of over Baht 5,000,000
in support of the large shadow puppet preservation project. This includes the improvement, repair and conservation of large
shadow puppets in order to preserve and pass on this performing art to a younger generation.
Support for the Project to Develop the Archaeological Site and the Local Community of Wiang Bua,
Phayao Province
The Company has contributed a total of Baht 4,000,000 for the storage and display of excavated historical objects, such
as ancient kilns, potteries, etc. at a museum in Wiang Bua. The development of Wiang Bua community people’s occupations has
also been encouraged, while the locality has been developed for eco-and cultural tourism.
The Promotion of Buddhism by Land and Building Donations
The Company donated land and buildings, amounting to Baht 11,000,000, to Wat Wang Perm Phra Phavana, Nakhon
Ratchasima province, for the construction of a Buddhist assembly hall.
49

Scholarship Grants to Poor Students Mobile Medical Service Blood Donation
The Organization of a Charity Golf Competition
The Company organized a charity golf competition among its management, customers and business partners for a royal
cup of Her Royal Highness Crown Princess Sirindhorn. All the proceeds derived were offered as a contribution to the Chai Pattana
Foundation.
Charity Bowling Contest
The Company held a charity bowling contest among its management, customers and business partners for a royal cup
of Her Royal Highness Crown Princess Sirindhorn. All the proceeds received were offered as a contribution to the Chai Pattana
Foundation.
Based on an implementation of virtuous activities in the “Continuing Our 60 Years’ Legacy of Good Deeds” project, the
Company collected Baht 30 million in 2007 to contribute to the Chai Pattana Foundation for the construction of school buildings,
as well as the development of schools in the Chai Pattana Foundation project. In 2008, another Baht 30 million will be offered as a
contribution for the construction and development of schools in the Royal project. The two contributions amount to
Baht 60 million.
Annual Activities
Contributions to Foundations
On the occasion of His Majesty the King’s Birthday, the Company offered contributions to the following foundations or
projects.
- A contribution of Baht 1.7 million to the Ananda Mahidol Foundation.
- A contribution of Baht 1.7 million to the Chai Pattana Foundation.
- A contribution of Baht 0.8 million to the “Graduates Go Home” project.
Mobile Medical Service
In 2007, the Company’s management, together with a medical team from Bumrungrad Hospital, provided a mobile
medical service and distributed necessities to the rural people of Sakon Nakhon and Mukdahan provinces, with a budget of over
Baht 1.2 million.
50

Remodeled the school’s landscape
to create a sound environment
Concentrate forces to build schools
to be offered to the King
BKI Care Club
Scholarship Grants to Poor Students
The Company has granted scholarships to worthy but poor students for their university education. In 2007,
21 scholarships and payment for continuous study, totaling over Baht 3.8 million, were granted to students and covered tuition
fees as well as expenses for food, accommodation and others. Such scholarships have been granted since 1994.
Blood Donation
More than 200 members of the Company’s management and staff annually donate blood to the Red Cross Society on
the occasion of the Company’s operation anniversary.
Activities for Public Benefit
- Over 100 members of the Company’s management and staff repaired and modified the buildings and classrooms, and
also remodeled the landscape to create a sound environment, at Pathom Vittayakarn School, Phra Nakhon Si Ayuthaya province,
which continually suffers from flooding. The expenses incurred by this work totaled over Baht 380,000.
- The Company has contributed a total of Baht 1.2 million to the “Development of Archaeological Learning Sites of Ban
Promthintai” project in Lop Buri province, for the exploration, excavation and construction of archaeological learning sites at Ban
Promthintai, and also for the revival of the arts, culture and customs of Ban Promthintai’s community.
- The Company has contributed an amount of Baht 300,000 to the “Concentrate Forces to Build Schools to be Offered to the
King” project via JSL Company Limited’s Jor Jai program. The proceeds derived will be spent on equipment for satellite signal reception
to be given to the Long-Distance Education via Satellite Foundation. The education has been granted by His Majesty the King and is
broadcast live from Wang Klaikungvon School, Prachuab Kirikhan province, to schools in remote areas across the country.
- The BKI Care Club, a team of volunteers conducting activities benefiting society, provided supplies and necessities
such as rice, canned food and drinking water to the victims of community fires who had suffered great loss and damage.
Above all, the Company is strongly determined to benefit society by enhancing its development and prosperity in
parallel with business transactions. In this regard, the Thai population’s standard of living will be upgraded in a sustainable way, a
goal to which the Company has always striven and will continue to do so.
51

REPORT OF THE AUDIT COMMITTEE
The Bangkok Insurance Public Company Limited Audit Committee consists of three independent directors, who started
their duty on November 16, 2005, for a three-year term. The Committee comprises Mr. Plengsakdi Prakaspesat (chairman),
Miss Ratana Yingpaiboon (member), and Mrs. Punthip Surathin (member).
The meetings of the Board of Directors (No.1/2007) held on February 27, 2007, and (No.4/2007) held on November 14, 2007,
had appointed Miss Potjanee Thanavaranit and Dr. Areepong Bhoocha-oom, respectively, who have gone through the selective
process and have been considered qualified as independent directors by the Remuneration & Nomination Committee, as the Audit
Committee members to supersede Miss Ratana Yingpaiboon and Mrs. Punthip Surathin, who resigned before their term expired.
Miss Potjanee and Dr. Areepong will hold their positions until November 15, 2008.
In 2007, the Audit Committee convened 4 meetings, attended by the Director & Senior Executive Vice President, Senior
Vice President of Accounting Department and Senior Vice President of Internal Audit Department, as well as another 2 meetings without
the attendance of the Company’s management, to implement duties assigned by the Board of Directors as summarized below:
1. Checking of the Financial Statements. The Audit Committee, along with the Company’s management and
independent auditors, has examined the Company’s quarterly and annual financial statements to ensure that they are accurately
and properly established in accordance with generally accepted accounting standards. Simultaneously, data is sufficiently and
reliably disclosed.
2. Supervising the Company’s Internal Control System and Performance Corresponding to the
Provisions of Law. The Audit Committee has examined and approved the audit plan of the audit department for 2007,
examined the report on audit consequences based on the plan, as well as made suggestions for the efficiency and effectiveness
of the audit department’s performance, in addition to exchanging opinions and providing advice to the Company’s management in
order to follow up with improvement on significant issues according to an audit report. This is to ensure that the Company has a
good internal control system and practices that comply with the relevant laws and regulations.
52

3. Checking to Prevent a Conflict of Interest. The Audit Committee has examined interrelated parties
transactions of companies and persons concerned that may generate a conflict of interest with the Company. This is to ensure
business transparency and actual transactions for normal business practices, which does not significantly affect the Company.
4. Selecting and Proposing an Appointment of Auditor. The Audit Committee has considered and proposed to
the Company’s Board of Directors, for an approval from the shareholders’ meeting, for the appointment of Mr. Sophon Permsiriwallop
and/or Miss Rungnapha Lertsuwannakul and/or Miss Vissuta Jariyathanakorn of Ernst and Young Office Limited as auditors for the
year 2007, with the remuneration of Baht 1,210,000.
5. Performing Other Duties. The Audit Committee has supervised and provided recommendations to the Company’s
management in terms of managerial issues to engender an appropriate inspection and a checks-and-balance mechanism. It also
adheres to the principles of a good corporate governance policy so as to create confidence among shareholders, investors and all
parties concerned.
The Audit Committee has considered and found that the Company implemented a good corporate governance policy and
established a proper and effective internal control system. Similarly, the Company has efficient risk management and interrelated
items which are commercially true ones, as well as normal and reasonable businesses. In addition, the Company has performed
its operations in compliance with the relevant laws and regulations, and established accurate and proper financial statements
while disclosing complete and correct information on par with accounting measures, and having a reliable system of good
corporate governance.
(Mr. Plengsakdi Prakaspesat)
Chairman of the Audit Committee
53

REPORT ON THE BOARD OF DIRECTOR’S RESPONSIBILITY FOR FINANCIAL STATEMENTS
The Bangkok Insurance Public Company Limited Board of Directors is responsible for the Company’s financial
statements, as well as for financial information technology appearing in the annual financial statements. Such statements have
been prepared in accordance with accounting principles and practices generally accepted in Thailand. In this regard, the Board
of Directors has selected an appropriate accounting policy and constantly implemented it with cautious discretion. Furthermore,
significant data is sufficiently disclosed in notes of the financial statements.
The Board of Directors also provides and maintains an efficient internal control system to ensure that the recording of
accounting data is accurate, complete and adequate for the protection of the Company’s assets and the prevention of fraud and
malpractices, while disclosing interrelated items to avoid any conflict of interests, as well as complying with the laws and
regulations concerned. In this connection, the Audit Committee is assigned by the Board of Directors to oversee, take
responsibility for and continuously report the consequences to the Board. The Audit Committee’s opinions on these issues have
already appeared in its report, which is displayed in the Company’s annual report.
The Company’s Board of Directors is of the opinion that an overall internal control system of the Company is satisfactory
and generates justified confidence in the reliability of the Company’s financial statements as at December 31, 2007. The
Company’s independent auditor has also audited in accordance with generally accepted auditing standards and is of the opinion
that the Company’s financial statements referred to above present fairly, in all material respects, its financial position and
operational consequences in accordance with generally accepted accounting principles.
(Mr. Chai Sophonpanich)
Chairman and President
54

REPORT OF INDEPENDENT AUDITOR
To the Shareholders of Bangkok Insurance Public Company Limited
I have audited the accompanying balance sheets, in which the equity method is applied, of Bangkok Insurance Public
Company Limited as at December 31, 2007 and 2006, and the related statements of income, changes in shareholders’ equity and
cash flows for the years then ended, and the separate financial statements, in which the cost method is applied, of Bangkok Insurance
Public Company Limited for the same years. These financial statements are the responsibility of the Company’s management as to
their correctness and the completeness of the presentation. My responsibility is to express an opinion on these financial statements
based on my audits.
I conducted my audits in accordance with generally accepted auditing standards. Those standards require that I plan and
perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also
includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall
financial statements presentation. I believe that my audits provide a reasonable basis for my opinion.
In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of
Bangkok Insurance Public Company Limited as at December 31, 2007 and 2006, the results of its operations and cash flows for the
years then ended, in accordance with generally accepted accounting principles.
Without qualifying my opinion on the above financial statements, I draw attention to the matter as discussed in Note 3
to the financial statements. Separate financial statements as at December 31, 2006 and for the year ended in which the cost
method is applied were prepared for comparative purposes in order to comply with the stipulations in Accounting Standard No. 44
(Revised 2007).
(Mr. Sophon Permsirivallop)
Certified Public Accountant (Thailand)
No. 3182
Ernst & Young Office Limited
Bangkok
February 15, 2008
55

BALANCE SHEETS
As at December 31, 2007 and 2006 ( Baht ‘000)
Financial Statements
in which the equity method is applied
Separate Financial Statements
in which the cost method is applied
Assets 2007 2006 2007 2006
Investments in Securities
Bonds 269,894 77,264 269,894 77,264
Notes 478,225 93,225 478,225 93,225
Stocks 11,293,186 10,322,156 11,293,186 10,322,156
Debentures 21,154 96,714 21,154 96,714
Unit trusts 826,897 648,252 826,897 648,252
Other Securities - 7,776 - 7,776
Total Investments in Securities (Note 5,8) 12,889,356 11,245,387 12,889,356 11,245,387
Loans
Loans Against Securities 2,435,422 2,702,497 2,435,422 2,702,497
Other Loans 2,875 1,712 2,875 1,712
Total Loans (Note 6) 2,438,297 2,704,209 2,438,297 2,704,209
Investments in Associated Companies (Note 7) 118,172 176,572 102,255 171,388
Cash and Deposits at Financial Institutions (Note 8,9) 607,686 633,890 607,686 633,890
Premises and Equipment - Net (Note 10) 1,177,394 1,210,036 1,177,394 1,210,036
Amounts Deposit on Reinsurance Treaties 175,051 177,194 175,051 177,194
Due from Reinsurers (Note 8) 85,222 169,395 85,222 169,395
Premium Due and Uncollected - Net (Note 8,11) 1,468,814 1,461,270 1,468,814 1,461,270
Accrued Investment Income 62,650 53,152 62,650 53,152
Other Assets
Intangible Assets (Note 12) 205,527 204,806 205,527 204,806
Others (Note 8) 238,528 157,670 238,528 157,670
Total Assets 19,466,697 18,193,581 19,450,780 18,188,397
The accompanying notes are an integral part of the financial statements.
56

( Baht ‘000)
Financial Statements
in which the equity method is applied
Separate Financial Statements
in which the cost method is applied
Liabilities and Shareholders’ Equity 2007 2006 2007 2006
Unearned Premium Reserve (Note 13) 2,453,829 2,275,965 2,453,829 2,275,965
Loss Reserve and Outstanding Claims 1,098,480 982,259 1,098,480 982,259
Amounts Withheld on Reinsurance Treaties 355,350 399,795 355,350 399,795
Due to Reinsurers (Note 8) 464,159 442,737 464,159 442,737
Commission Payable 300,431 242,290 300,431 242,290
Other Liabilities
Corporate Income Tax Payable 31,605 64,316 31,605 64,316
Premium Received in Advance 713,924 595,549 713,924 595,549
Accrued Expenses 199,483 241,117 199,483 241,117
Others 175,619 152,778 175,619 152,778
Total Liabilities 5,792,880 5,396,806 5,792,880 5,396,806
Shareholders’ Equity
Share Capital
Registered
50,700,000 Ordinary Shares of Baht 10 each 507,000 507,000 507,000 507,000
Issued and Fully Paid
50,700,000 Ordinary Shares of Baht 10 each 507,000 507,000 507,000 507,000
Premium on Share Capital 1,442,500 1,442,500 1,442,500 1,442,500
Surplus on Revaluation of Investments 7,612,116 6,834,423 7,612,116 6,834,423
Retained Earnings
Appropriated
Legal Reserve (Note 16) 50,700 50,700 50,700 50,700
General Reserve 3,100,000 3,100,000 3,100,000 3,100,000
Unappropriated 961,501 862,152 945,584 856,968
Total Shareholders’ Equity 13,673,817 12,796,775 13,657,900 12,791,591
Total Liabilities and Shareholders’ Equity 19,466,697 18,193,581 19,450,780 18,188,397
The accompanying notes are an integral part of the financial statements.
57

INCOME STATEMENTS
Financial statements in which the equity method is applied
For the years ended December 31, 2007 and 2006
(Baht‘000)
Fire
Marine
Underwriting Income
Premium Written 1,314,272 395,098
Less Premium Ceded 328,748 174,341
Net Premium Written 985,524 220,757
Less
Increase (Decrease) in Unearned Premium
Reserve from Previous Year 5,422 (4,616)
Total Underwriting Income 980,102 225,373
Underwriting Expenses
Losses Incurred During the Year 454,774 82,102
Commissions and Brokerages 301,421 20,682
Other Underwriting Expenses 102,297 37,259
Total Underwriting Expenses 858,492 140,043
Income on Underwriting 121,610 85,330
Investment Income
Interest and Dividends Income
Gain on Sales of Securities
Less
Investment Expenses
(Loss on Impairment of Investments) Gain from Reversal
Income on Investment
Share of Profit from Associated Companies (Note 7)
Other Income
Gain on Sales of Fixed Assets
Others
Total Income on Underwriting and Investment
Operating Expenses
Personnel Expenses
Property, Plant and Equipment Expenses
Taxes and Duties
Bad Debt and Doubtful Accounts (Reversal)
Directors’ Remuneration
Other Operating Expenses
Total Operating Expenses
Income Before Income Tax
Less
Corporate Income Tax
Net Income for the Year
Basic Earnings Per Share
Net Income (Note 18)
The accompanying notes are an integral part of the financial statements.
58

(Baht‘000)
Motor Miscellaneous 2007 2006
Total Total
3,294,975 2,651,966 7,656,311 7,427,527
135,120 1,938,999 2,577,208 2,685,887
3,159,855 712,967 5,079,103 4,741,640
44,127 132,931 177,864 194,944
3,115,728 580,036 4,901,239 4,546,696
1,966,517 298,721 2,802,114 2,529,111
479,552 (33,532) 768,123 776,110
377,903 167,386 684,845 581,208
2,823,972 432,575 4,255,082 3,886,429
291,756 147,461 646,157 660,267
561,486 500,644
184,638 105,932
(78,611) (75,010)
3,432 (27,862)
670,945 503,704
20,120 5,101
2,153 14,065
102,848 101,484
1,442,223 1,284,621
233,910 203,727
118,014 100,896
1,120 3,346
(1,504) 8,208
6,305 5,340
206,327 152,791
564,172 474,308
878,051 810,313
170,302 217,025
707,749 593,288
13.96 11.70
59

INCOME STATEMENTS
Separate financial statements in which the cost method is applied
For the years ended December 31, 2007 and 2006
(Baht‘000)
Fire
Marine
Underwriting Income
Premium Written 1,314,272 395,098
Less Premium Ceded 328,748 174,341
Net Premium Written 985,524 220,757
Less
Increase (Decrease) in Unearned Premium
Reserve from Previous Year 5,422 (4,616)
Total Underwriting Income 980,102 225,373
Underwriting Expenses
Losses Incurred During the Year 454,774 82,102
Commissions and Brokerages 301,421 20,682
Other Underwriting Expenses 102,297 37,259
Total Underwriting Expenses 858,492 140,043
Income on Underwriting 121,610 85,330
Investment Income
Interest and Dividends Income
Gain on Sales of Securities
Less
Investment Expenses
(Loss on Impairment of Investments) Gain from Reversal
Income on Investment
Other Income
Gain on Sales of Fixed Assets
Others
Total Income on Underwriting and Investment
Operating Expenses
Personnel Expenses
Property, Plant and Equipment Expenses
Taxes and Duties
Bad Debt and Doubtful Accounts (Reversal)
Directors’ Remuneration
Other Operating Expenses
Total Operating Expenses
Income Before Income Tax
Less
Corporate Income Tax
Net Income for the Year
Basic Earnings Per Share
Net Income (Note 18)
The accompanying notes are an integral part of the financial statements.
60

(Baht‘000)
Motor Miscellaneous 2007 2006
Total Total
3,294,975 2,651,966 7,656,311 7,427,527
135,120 1,938,999 2,577,208 2,685,887
3,159,855 712,967 5,079,103 4,741,640
44,127 132,931 177,864 194,944
3,115,728 580,036 4,901,239 4,546,696
1,966,517 298,721 2,802,114 2,529,111
479,552 (33,532) 768,123 776,110
377,903 167,386 684,845 581,208
2,823,972 432,575 4,255,082 3,886,429
291,756 147,461 646,157 660,267
566,001 500,644
189,510 105,932
(78,611) (75,010)
3,432 (27,862)
680,332 503,704
2,153 14,065
102,848 101,484
1,431,490 1,279,520
233,910 203,727
118,014 100,896
1,120 3,346
(1,504) 8,208
6,305 5,340
206,327 152,791
564,172 474,308
867,318 805,212
170,302 217,025
697,016 588,187
13.75 11.60
61

STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY
Financial statements in which the equity method is applied
For the years ended December 31, 2007 and 2006
Issued and
Paid-up
Premium on
Share Capital
Share Capital
Balance as at January 1, 2006 390,000 1,442,500
Surplus on Revaluation of Investments - -
Net Income for the Year - -
Transfer to Legal Reserve (Note 16) - -
Stock Dividend (Note 14) 117,000 -
Dividend Paid (Note 15) - -
Balance as at December 31, 2006 507,000 1,442,500
Surplus on Revaluation of Investments - -
Net Income for the Year - -
Dividend Paid (Note 15) - -
Balance as at December 31, 2007 507,000 1,442,500
The accompanying notes are an integral part of the financial statements.
Separate financial statements in which the cost method is applied
For the years ended December 31, 2007 and 2006
Issued and
Paid-up
Premium on
Share Capital
Share Capital
Balance as at January 1, 2006 390,000 1,442,500
Surplus on Revaluation of Investments - -
Net Income for the Year - -
Transfer to Legal Reserve (Note 16) - -
Stock Dividend (Note 14) 117,000 -
Dividend Paid (Note 15) - -
Balance as at December 31, 2006 507,000 1,442,500
Surplus on Revaluation of Investments - -
Net Income for the Year - -
Dividend Paid (Note 15) - -
Balance as at December 31, 2007 507,000 1,442,500
The accompanying notes are an integral part of the financial statements.
62

(Baht’000)
Surplus on Retained Earnings Total
Revaluation of Legal Reserve General Reserve Unappropriated
Investments
5,861,215 39,000 3,100,000 962,055 11,794,770
973,208 - - - 973,208
- - - 593,288 593,288
- 11,700 - (11,700) -
- - - (117,000) -
- - - (564,491) (564,491)
6,834,423 50,700 3,100,000 862,152 12,796,775
777,693 - - - 777,693
- - - 707,749 707,749
- - - (608,400) (608,400)
7,612,116 50,700 3,100,000 961,501 13,673,817
(Baht’000)
Surplus on Retained Earnings Total
Revaluation of Legal Reserve General Reserve Unappropriated
Investments
5,861,215 39,000 3,100,000 961,972 11,794,687
973,208 - - - 973,208
- - - 588,187 588,187
- 11,700 - (11,700) -
- - - (117,000) -
- - - (564,491) (564,491)
6,834,423 50,700 3,100,000 856,968 12,791,591
777,693 - - - 777,693
- - - 697,016 697,016
- - - (608,400) (608,400)
7,612,116 50,700 3,100,000 945,584 13,657,900
63

STATEMENTS OF CASH FLOWS
For the years ended December 31, 2007 and 2006 ( Baht ‘000)
Financial Statements
in which the equity method is applied
Separate Financial Statements
in which the cost method is applied
2007 2006 2007 2006
Cash Flows from (used in) Operating Activities
Direct Premium Written 6,837,916 6,711,276 6,837,916 6,711,276
Cash Paid for Reinsurance (1,703,218) (1,937,442) (1,703,218) (1,937,442)
Losses Incurred on Direct Insurance (2,375,948) (1,970,840) (2,375,948) (1,970,840)
Commissions and Brokerages on Direct Insurance (902,840) (953,232) (902,840) (953,232)
Other Underwriting Expenses (643,438) (542,279) (643,438) (542,279)
Net Investment Income 504,792 424,152 504,792 424,152
Other Income 102,848 101,484 102,848 101,484
Operating Expenses (626,344) (497,874) (626,344) (497,874)
Income Tax (203,014) (261,448) (203,014) (261,448)
Net Cash from Operating Activities 990,754 1,073,797 990,754 1,073,797
Cash Flows from (used in) Investing Activities
Cash Flows from
Investments in Securities 1,489,175 2,360,423 1,489,175 2,360,423
Loans 729,591 759,838 729,591 759,838
Investments in Associated Companies 19,107 - 19,107 -
Deposits at Financial Institutions 252,301 15 252,301 15
Property, Plant and Equipment 2,549 34,916 2,549 34,916
Net Cash from Investing Activities 2,492,723 3,155,192 2,492,723 3,155,192
Cash Flows used in
Investments in Securities (2,104,749) (2,251,707) (2,104,749) (2,251,707)
Loans (463,679) (1,181,590) (463,679) (1,181,590)
Investments in Associated Companies (3,220) - (3,220) -
Deposits at Financial Institutions (148,117) (525,785) (148,117) (525,785)
Property, Plant and Equipment (77,332) (76,969) (77,332) (76,969)
Net Cash used in Investing Activities (2,797,097) (4,036,051) (2,797,097) (4,036,051)
Net Cash used in Investing Activities (304,374) (880,859) (304,374) (880,859)
Cash Flows from (used in) Financing Activities
Dividend Paid to Shareholders (608,400) (564,550) (608,400) (564,550)
Net Cash used in Financing Activities (608,400) (564,550) (608,400) (564,550)
Net Increase (Decrease) in Cash and Cash Equivalents 77,980 (371,612) 77,980 (371,612)
Cash and Cash Equivalents at Beginning of Year 44,282 415,894 44,282 415,894
Cash and Cash Equivalents at End of Year (Note 9) 122,262 44,282 122,262 44,282
The accompanying notes are an integral part of the financial statements.
64

NOTES TO FINANCIAL STATEMENTS
For the years ended December 31, 2007 and 2006
1. General Information
Bangkok Insurance Public Company Limited (“The Company”) is a public company incorporated and domiciled in Thailand.
The Company is principally engaged in the provision of non-life insurance. As at December 31, 2007, the Company had 1,079 employees
(2006: 1,057 employees) which consisted of 929 employees of head office and 150 employees of branches. The Company’s registered
office is located at 25 Bangkok Insurance Building, Sathon Tai Road, Bangkok.
2. Basis of Preparation
The fnancial statements have been prepared in accordance with accounting standards enunciated under the Accounting
Profession Act B.E. 2547 and in accordance with Thai accounting practices related to insurance and the accounting and reporting
guidelines prescribed by the regulatory body overseeing the insurance industry. The presentations of these financial statements
have been made in compliance with the order of the Registrar dated March 6, 2002, as empowered under the Accounting Act B.E. 2543.
The financial statements have been prepared on a historical cost basis except where otherwise disclosed in the accounting policies.
3. Adoption of New Accounting Standards
The Federation of Accounting Professions (FAP) has issued Notifications No. 9/2550, 38/2550 and 62/2550 regarding
Accounting Standards. The notifcations mandate the use of the following new Accounting Standards.
a) Accounting Standards which are effective for the current year
TAS 44 (revised 2007)
Consolidated Financial Statements and Separate Financial
Statements
TAS 45 (revised 2007)
TAS 46 (revised 2007)
Investments in Associates
Interests in Joint Ventures
These accounting standards become effective for the financial statements for fiscal years beginning on or after January 1,
2007. Since the first quarter of the current year, separate financial statements of the Company as at December 31, 2006 and for the
year then ended in which the cost method is applied for investments in associated companies have been presented for the purpose
of comparison with the financial statements in which the equity method is applied, in order to comply with the stipulations in Accounting
Standard No. 44 (Revised 2007) regarding “Consolidated Financial Statements and Separate Financial Statements”, under which
investments in subsidiaries, jointly controlled entities and associates are to be presented in the separate financial statements under
the cost method. In addition, the revised Thai Accounting Standard No. 46 is not relevant to business of the Company.
b) Accounting Standards which are not effective for the current year
TAS 25 (revised 2007)
TAS 29 (revised 2007)
TAS 31 (revised 2007)
TAS 33 (revised 2007)
TAS 35 (revised 2007)
TAS 39 (revised 2007)
TAS 41 (revised 2007)
TAS 43 (revised 2007)
TAS 49 (revised 2007)
TAS 51
Cash Flow Statements
Leases
Inventories
Borrowing Costs
Presentation of Financial Statements
Accounting Policies, Changes in Accounting Estimates and Errors
Interim Financial Reporting
Business Combinations
Construction Contracts
Intangible Assets
These accounting standards will become effective for the financial statements for fiscal years beginning on or after
January 1, 2008. The management has assessed the effect of these revised accounting standards and believes that they will not
have any significant impact on the financial statements for the year in which they are initially applied.
65

4. Significant Accounting Policies
4.1 Revenue recognition
(a) Premium
For insurance policies with coverage periods of up to 1 year, premium income is recognised on the date the
insurance policy comes into effect, after deducting a premium ceded and cancelled. For long-term insurance
policies with coverage periods of longer than 1 year, related revenues are recorded as unearned items and
amortised to income over the coverage period.
(b) Reinsurance premium
Reinsurance premium income is recognised when the reinsurer places the reinsurance application or statement
of accounts with the Company.
(c) Interest and dividends
Interest is recognised on an accrual basis based on the effective interest rate. Dividends are recognised when the
right to receive the dividends is established.
4.2 Investments in securities
(a) Investments in available-for-sale securities are determined at fair value. The change in value of securities is recorded
as a separate item in shareholders’ equity until securities are sold, the change shall be included in determining income.
(b) Bonds which are pledged as a security with the Office of Insurance Commission, are government bonds which are
determined at fair value.
(c) Investments in non-marketable equity securities, which the Company holds as other investment, are valued at cost
net of allowance for loss on diminution in value (if any).
(d) Investments in associated companies are accounted for under the equity method (investments in associated
companies are valued at cost in separate financial statements).
The fair value of equity securities is based on the latest bid price of the working day of the year as quoted on the
Stock Exchange of Thailand. The fair value of debt securities is based on the price quoted by the Thai Bond Market Association or
discounted cash flow with appropriated risk. Fair value of unit trust is valued at net assets value.
Weighted average method is used for computation of cost of investments.
Loss on impairment (if any) of investments in available-for-sale securities, held-to-maturity debt securities, and other
investments is included in determining income.
4.3 Premium due and uncollected
Premium due and uncollected is carried at its net realisable value. The Company set up an allowance for doubtful
accounts based on the estimated loss that may incur in collection of the premium due, on the basis of collection experiences,
analysis of debtor aging and a review of current status of the premium due as at the balance sheet date.
66

4.4 Related party transactions
Related parties comprise enterprises and individuals that control, or are controlled by, the Company, whether directly
or indirectly, or which are under common control with the Company.
They also include associated companies and individuals which directly or indirectly own a voting interest in the Company
that gives them significant influence over the Company, key management personnel, directors and officers with authority in the
planning and direction of the Company’s operations.
4.5 Premises and equipment and depreciation
Land is stated at cost. Building and equipment are stated at cost less accumulated depreciation and allowance for loss
on impairment of assets (if any).
Depreciation of building and equipment are calculated by reference to their costs on a straight-line basis over the
following estimated useful lives of assets:
- Building - 20 years, 30 years (over the period of lease)
- Office Furniture, Fixture and Equipment - 3, 5 years
- Motor vehicles - 5 years
Depreciation is included in determining income.
No depreciation is provided for land and construction in progress. The Company recognizes loss on impairment of
premises and equipment (if any) in the income statements.
4.6 Intangible assets and amortisation
Intangible assets are stated at cost less accumulated amortisation. Amortisation of intangible assets are calculated by
reference to their cost, on a straight-line method over the period of lease and the estimated useful lives as follows:
- Leasehold Right - Land - 30 years (over the period of lease)
- Computer Software - 10 years
The amortisation is included in determining income.
No amortisation is calculated for computer software development.
4.7 Impairment of assets
The Company assesses at each reporting date whether there is an indication that an asset may be impaired. If any
such indication exists, the Company makes an estimate of the asset’s recoverable amount. Where the carrying amount of the asset
exceeds its recoverable amount, the asset is considered impaired and is written down to its recoverable amount. Impairment losses
are recognised in the income statement. An asset’s recoverable amount is the higher of fair value less costs to sell and value in use.
4.8 Foreign currencies
Foreign currency transactions are translated into Baht at the exchange rates ruling on the transaction dates. Assets
and liabilities denominated in foreign currencies outstanding at the balance sheet date are translated into Baht at the exchange rates
ruling on the balance sheet date.
Gains and losses on exchange are included in determining income.
67

4.9 Unearned premium reserve
Unearned premium reserve is set aside in compliance with the Notification of the Ministry of Commerce governing the
appropriation of unearned premium reserves of non-life insurance companies as follows:
- Fire, Marine and Transportation (Hull) - Monthly average basis (the one-twenty fourth basis)
Motor and Miscellaneous
- Marine and Transportation (Cargo) - Net premium written for the last ninety days
- Traveling Accident - Net premium written for the last thirty days
4.10 Loss reserve and outstanding claims
Outstanding claims have been provided upon receipt of claim advices from the insured. Loss reserve has been
provided based on estimates made by the Company’s management. In addition, the Company set up a provision for losses incurred
but not yet reported (IBNR) at 2.5% of net premiums written for the last 12 months in compliance with the Notification of the Ministry
of Commerce governing the appropriation of unearned premium reserves.
4.11 Commissions and brokerages
Commissions and brokerages are expended when incurred.
4.12 Employee benefits
Salaries, wages, bonuses and contributions to the social security fund and provident fund are recognised as expenses
when incurred.
4.13 Cash and cash equivalents
Cash and cash equivalents consist of cash in hand and cash at financial institutions with an original maturity of three
months or less and not subject to withdrawal restrictions.
4.14 Provisions
Provisions are recognised when the Company has a present obligation as a result of a past event, it is probable that
an outflow of resources embodying economic benefits will be required to settle the obligation, and a reliable estimate can be made
of the amount of the obligation.
4.15 Income tax
Income tax is provided for in the accounts based on the taxable profits determined in accordance with tax legislation.
4.16 Use of accounting estimates
Preparation of financial statements in conformity with generally accepted accounting principles requires management
to make estimates and assumptions in certain circumstances, affecting amounts reported in these financial statements and related
notes. Actual results could differ from these estimates.
68

5. Investment in Securities
(Baht’000)
2007 2006
Cost Fair Value Cost Fair Value
Available - For - Sale Securities
Debt Securities
Promissory Notes 478,225 478,225 93,225 93,225
Bonds - Net 272,693 269,894 81,768 77,264
Debentures - Net 31,325 21,154 107,140 96,714
Loss on the Change in Value of Securities (2,583) - (4,543) -
Less Allowance for Loss on Impairment (10,387) - (10,387) -
769,273 769,273 267,203 267,203
Equity Securities
Ordinary Shares 3,260,373 10,832,672 3,089,144 9,890,034
Units Trusts 784,497 826,897 617,952 648,252
Others - - - 7,776
Gain on the Change in Value of Securities 7,614,699 - 6,838,966 -
11,659,569 11,659,569 10,546,062 10,546,062
Other Securities
Ordinary Shares 563,673 538,712
Less Allowance for Loss on Impairment (103,159) (106,590)
460,514 432,122
Total Investments in Securities 12,889,356 11,245,387
69

Investments in debt securities as at December 31, 2007 will be due as follows:
(Baht’000)
Due Within
1 year 2 - 5 years 6 -10 years Total
Notes 475,000 - 3,225 478,225
Bonds - Net 49,870 149,545 70,479 269,894
Debentures - Net - 21,154 - 21,154
Total 524,870 170,699 73,704 769,273
As at December 31, 2007, government bond and state enterprise bond totaling Baht 13.3 million (2006: Baht 14.9 million) have been placed
as a security in the normal course of business and government bond of Baht 14 million (2006: Baht 14 million) have been pledged as a security with
the Insurance Commission under the Non-life Insurance Act B.E. 2535.
6. Loans and Accrued Interest
As at December 31, 2007 the balances of loans and accrued interest are aged by principal and accrued interest as follows:
(Baht’000)
Mortgage Loans Other Loans Total
Outstanding Period Principal Accrued Interest Principal Accrued Interest Principal Accrued Interest Total
Current 2,198,553 5,895 2,875 - 2,201,428 5,895 2,207,323
Overdue:
Less than 6 months 7,479 103 - - 7,479 103 7,582
6 - 12 months 1,710 - - - 1,710 - 1,710
Over 12 months 227,680 35,162 - - 227,680 35,162 262,842
Loans and Accrued Interest 2,435,422 41,160 2,875 - 2,438,297 41,160 2,479,457
As at December 31, 2006 the balances of loans and accrued interest are aged by principal and accrued interest as follows:
(Baht’000)
Mortgage Loans Other Loans Total
Outstanding Period Principal Accrued Interest Principal Accrued Interest Principal Accrued Interest Total
Current 2,469,544 7,095 1,712 - 2,471,256 7,095 2,478,351
Overdue:
Less than 6 months 3,166 45 - - 3,166 45 3,211
6 - 12 months 724 - - - 724 - 724
Over 12 months 229,063 18,262 - - 229,063 18,262 247,325
Loans and Accrued Interest 2,702,497 25,402 1,712 - 2,704,209 25,402 2,729,611
70

7. Investments in Associated Companies
7.1 These represent investments in ordinary shares in the following associated companies.
Company’s Name Nature of Country of Paid-up Capital Percentage Holding (%)
Business Incorporation 2007 2006 2007 2006
Investments in Associated Companies
Asia Insurance Non-life Insurance Cambodia USD 4,200,000 USD 3,600,000 22.92 24.19
(Cambodia) Plc.
Asian Insurance Holding Company China USD 5,740,000 USD 5,740,000 41.44 41.44
International (Holding) Limited
Asia Insurance Holding Company China - HKD 53,000,000 - 32.00
(Investments) Limited
Company’s Name Financial Statements Separate Financial Statements
(Baht’000)
in which the equity method is applied
in which the cost method is applied
2007 2006 2007 2006
Investments in Associated Companies
Asia Insurance (Cambodia) Plc. 32,044 26,983 30,202 26,983
Asian Insurance International (Holding) Limited 86,128 74,792 72,053 72,054
Asia Insurance (Investments) Limited - 74,797 - 72,351
Total 118,172 176,572 102,255 171,388
Company’s Name Financial Statements Separate Financial Statements
(Baht’000)
in which the equity method is applied
in which the cost method is applied
Share of Income from
Investments in Associates During the Year
Dividend Received During the Year
2007 2006 2007 2006
Investments in Associated Companies
Asia Insurance (Cambodia) Plc. 6,357 - 4,515 -
Asian Insurance International (Holding) Limited 11,337 2,648 - -
Asia Insurance (Investments) Limited 2,426 2,453 - -
Total 20,120 5,101 4,515 -
71

7.2 Summarised financial information of associates
(Million Baht)
Company’s Name Total Assets as at Total Liabilities as at Total Revenues Net Income
December 31 December 31 for the Year Ended for the Year Ended
December 31 December 31
2007 2006 2007 2006 2007 2006 2007 2006
Investments in Associated Companies
Asia Insurance (Cambodia) Plc. 317.37 222.22 149.35 66.18 21.53 19.09 21.04 19.22
Asian Insurance International (Holding) Limited 227.97 225.94 - - 17.04 12.27 16.62 11.82
Asia Insurance (Investments) Limited - 269.63 - - - 12.26 - 12.25
Total 545.34 717.79 149.35 66.18 38.57 43.62 37.66 43.29
During the third quarter of 2007, the Company sold an investment in Asia Insurance (Investments) Limited, and as a result such company is
no longer an associated company. The Company has reclassified the investment in that company as investment in other security.
As at December 31, 2007, the values of the Company’s investments in associated companies were determined under the equity method
(in the financial statements in which the equity method is applied), based on the financial information provided by the associated companies’ management.
The information had not been audited by external auditors.
8. Related Party Transactions
Related parties means parties that directly or indirectly control, are controlled by, or are under common control with the Company. This
includes associated companies and enterprises which have individuals who hold, directly or indirectly, an interest in the voting rights which gives
them significant influence over the Company, as well as key management personnel, directors and members of the immediate family of any such
individual.
In considering each possible related party relationship, attention is directed to the substance of the relationship, and not merely the legal form.
The relationship between the Company and its related parties are summarized below:
Name of Related Parties Type of Business Relationship with the Company
Bangkok Bank Pcl. Banking Related by way of common directors and shareholding
Charoong Thai Wire and Cable Pcl. Electrical Products Related by way of common directors and shareholding
Furukawa Metal (Thailand) Pcl. Electrical Products Related by way of common directors and shareholding
Thai Reinsurance Pcl. Insurance Related by way of common directors and shareholding
Bumrungrad Hospital Pcl. Health Care Services Related by way of common directors and shareholding
Bangkok Life Assurance Co., Ltd. Life Insurance Related by way of common directors and shareholding
Bangkok Glass Co., Ltd. Packaging Related by way of common directors and shareholding
Sorachai Vivatn Co., Ltd. Property Development Related by way of common directors and shareholding
EMCS Thai Co., Ltd. Professional Services Related by way of common directors and shareholding
Bang Pa-In Golf Co., Ltd. Entertainment & Recreation Related by way of common directors and shareholding
AIOI Bangkok Insurance Co., Ltd. Non-life Insurance Related by way of common directors and shareholding
Asia Insurance (Investments) Limited Holding Company Related by way of shareholding
Asia Insurance (Cambodia) Plc. Non-life Insurance Associated company
Asian Insurance International (Holding) Limited Holding Company Associated company
72

Investments in equity securities of Union Plastic Pcl. were related party transactions by way of common directors and shareholding.
In this year, the Company did not have such a relationship with that company and so there is no presentation of the outstanding
balance as at December 31, 2007.
During the years, the Company had significant business transactions with its related parties. Such transactions, which have
been concluded on commercial terms and bases agreed upon in the ordinary course business between the Company and those
parties are as follows:
(Baht’000)
2007 2006 Pricing Policy
Premium Written 102,356 93,121 Normal commercial terms for underwriting
Interest Income 19,782 17,967 Same as financial institutions and related companies
offer to other customers
Dividend Income 234,924 205,970 The declared amount
Premium Ceded 232,220 253,936 Normal commercial terms for reinsurance depending
on type of insurance and reinsurance contract
Interest Expenses 77 12 Same as financial institutions and related companies
offer to other customers
The Company had the following significant balances of assets and liabilities with its related companies:
(Baht’000)
2007 2006
Cost Fair Value Cost Fair Value
Investments in Securities - Stock
Bangkok Bank Pcl. 1,418,040 4,178,619 1,418,040 3,859,911
Charoong Thai Wire and Cable Pcl. 158,707 175,456 156,376 212,912
Furukawa Metal (Thailand) Pcl. 83,935 75,829 82,818 104,136
Thai Reinsurance Pcl. 85,226 284,861 88,261 253,503
Bumrungrad Hospital Pcl. 358,405 3,856,614 361,732 3,562,597
Bangkok Life Assurance Co., Ltd. 49,575 49,575 49,575 49,575
Bangkok Glass Co., Ltd. 39,726 39,726 39,726 39,726
Sorachai Vivatn Co., Ltd. 40,500 11,867 40,500 8,100
EMCS Thai Co., Ltd. 7,733 7,733 7,733 7,733
Bang Pa-In Golf Co., Ltd. 20,000 19,286 20,000 20,000
AIOI Bangkok Insurance Co., Ltd. 3,336 3,336 2,936 2,936
Asia Insurance (Investments) Limited 47,058 47,058 - -
2,312,241 8,749,960 2,267,697 8,121,129
73

(Baht’000)
2007 2006
Investments in Notes
Bangkok Bank Pcl. 30,000 -
Deposits at Financial Institution
Bangkok Bank Pcl. 542,582 579,071
Premium Due and Uncollected
Bangkok Bank Pcl. 3,209 7,052
Charoong Thai Wire and Cable Pcl. - 1
Furukawa Metal (Thailand) Pcl. 24 51
Bumrungrad Hospital Pcl. 283 510
Bangkok Glass Co., Ltd. 449 222
Sorachai Vivatn Co., Ltd. 1 -
3,966 7,836
Due to (from) Reinsurer
Thai Reinsurance Pcl. 52,826 55,067
AIOI Bangkok Insurance Co., Ltd. 10,382 9,952
Asia Insurance (Cambodia) Plc. (11,357) (13,737)
51,851 51,282
Deposit and Golf Club Membership
Bang Pa-In Golf Co., Ltd. 39,440 -
Directors and Management’s Remuneration
In 2007 the Company paid meeting allowances, bonuses, contributions to the provident fund and others to their directors
and management totaling Baht 27.7 million (2006: Baht 32.5 million).
9. Cash and Cash Equivalents
(Baht’000)
2007 2006
Cash 1,891 1,526
Deposits at financial institutions 605,795 632,364
Total cash and deposits at financial institutions 607,686 633,890
Less
Deposits at financial institutions with maturity of
more than 3 months and cash subject to restriction (485,424) (589,608)
Cash and cash equivalents 122,262 44,282
As at December 31, 2007, fixed deposits of Baht 30 million (2006: Baht 30 million) have been pledged with a bank to secure
bank overdraft facilities.
74

10. Premises and Equipment
(Baht’000)
Land Buildings Office Furniture, Motor Construction Total
Fixture and Vehicles in Progress
Equipment
Cost
December 31, 2006 154,504 1,296,699 341,911 69,645 7,305 1,870,064
Purchases 2,240 3,108 62,430 3,076 6,478 77,332
Disposals - - (3,538) (6,140) (77) (9,755)
Transfer in (out) - 11,122 558 - (11,680) -
December 31, 2007 156,744 1,310,929 401,361 66,581 2,026 1,937,641
Accumulated Depreciation
December 31, 2006 - 354,263 265,296 40,470 - 660,029
Depreciation for disposals - - (3,533) (5,827) - (9,360)
Depreciation for the year - 55,898 42,999 10,681 - 109,578
December 31, 2007 - 410,161 304,762 45,324 - 760,247
Net Book Value
December 31, 2006 154,504 942,436 76,615 29,175 7,305 1,210,035
December 31, 2007 156,744 900,768 96,599 21,257 2,026 1,177,394
Depreciation in 2006 Income Statement 101,981
Depreciation in 2007 Income Statement 109,578
As at December 31, 2007, certain equipment items have been fully depreciated but are still in use. The cost before deducting accumulated
depreciation of those assets amounted to Baht 246.80 million (2006: Baht 213.5 million).
11. Premium Due and Uncollected
The balance as at December 31, 2007 and 2006 of premium due and uncollected is classified by aging as follows
(Baht’000)
Overdue 2007 2006
Not over 3 months 1,200,653 1,213,571
Over 3 months to 6 months 138,523 154,543
Over 6 months to 12 months 99,897 81,380
Over 12 months 69,090 50,711
Total 1,508,163 1,500,205
Less Allowance for Doubtful Accounts (39,349) (38,935)
Premium Due and Uncollected - Net 1,468,814 1,461,270
75

12. Intangible Assets
(Baht’000)
Leasehold Computer Computer Total
Right - Land Software Software
Development
Balance - beginning of year 100,165 76,910 27,731 204,806
Additional during the year - 13,499 3,507 17,006
Accumulated amortisation (5,634) (10,651) - (16,285)
Balance - end of year 94,531 79,758 31,238 205,527
Amortisation expenses included
in the income statement for the year 5,634 10,651 - 16,285
13. Additional Unearned Premium Reserves
As at December 31, 2007, the retained earnings of the Company excluded Baht 234.18 million of additional unearned
premium reserve (2006: Baht 349.71 million) which the Company set aside for the premium ceded to a foreign reinsurer, in compliance
with the regulations of the Office of Insurance Commission.
14. Share Capital and Stocks Dividend
On April 26, 2006, the Annual General Meeting No. 13 of the Company’s shareholders resolved to allocate Baht 117 million
of its retained earnings to the registered share capital of the Company, with 11.7 million shares of Baht 10 each to be issued to
make payment of a stock dividend at a rate of 3 dividend shares for every 10 existing shares held, at a price of Baht 10 per share.
Shareholders with fractions remaining as a result of the calculation of the stock dividend are to receive a cash dividend at a rate of
Baht 3 per share. All unallocated dividend shares are to be offered to “The Registered Provident Fund of Bangkok Insurance and
Life” at a price of Baht 10 per share. The Company paid the cash dividend and stock dividend on May 25, 2006. In addition, the
Company registered the increase in its share capital with the Ministry of Commerce on May 22, 2006, thus increasing its registered
and paid up share capital from Baht 390 million to Baht 507 million.
76

15. Dividend Paid
Dividend declared in 2007 and 2006 consist of the following:
Dividend Approved by Total Dividend Dividend Per Share
(Million Baht)
(Baht)
The Third Interim Dividend Meeting of Board of Directors 4/07
for 2007 on November 14, 2007 139.43 2.75
The Second Interim Dividend Meeting of Board of Directors 3/07
for 2007 on August 14, 2007 139.42 2.75
The First Interim Dividend Meeting of Board of Directors 2/07
for 2007 on May 22, 2007 139.42 2.75
Final Dividend
Annual General Meeting of the
for 2006 Shareholders No.14 on April 25, 2007 190.13 3.75
Total Dividend for 2007 608.40 12.00
The Third Interim Dividend Meeting of Board of Directors 4/06
for 2006 on November 14, 2006 139.42 2.75
The Second Interim Dividend Meeting of Board of Directors 3/06
for 2006 on August 15, 2006 139.40 2.75
The First Interim Dividend Meeting of Board of Directors 2/06
for 2006 on May 15, 2006 139.42 2.75
Final Dividend
Annual General Meeting of the
for 2005 Shareholders No.13 on April 26, 2006 146.25 3.75
Total Dividend for 2006 564.49 12.00
16. Statutory Reserve
Pursuant to Section 116 of the Public Limited Companies Act B.E. 2535, the Company is required to set aside at least 5
percent of its net income after deducting accumulated deficit brought forward (if any), until the reserve reaches 10 percent of the
registered share capital. The statutory reserve is not available for dividend distribution.
During the second quarter of 2006, the Company allocated Baht 11.7 million of its profit to the statutory reserve.
17. Provident Fund
The Company and its employees jointly established a provident fund under the Provident Fund Act (B.E. 2530). The fund is
contributed to by both the employees and the Company on a monthly basis, at rates ranging from 5 to 10 percent of the employees’
basic salaries, based on the length of employment. The fund is managed by a fund manager which has been approved by the Ministry
of Finance. During the year 2007, the Company contributed approximately Baht 30.2 million (2006: Baht 28 million) to the Fund.
77

18. Basic Earnings Per Share
Basic earnings per share is calculated by dividing the net income for the year by the weighted average number of ordinary
shares held by outside shareholders in issue during the year.
19. Commitments
Capital commitments
The Company has an outstanding commitment amounting to USD 300,000 (2006: USD 400,000) relating to the purchase of
software license and maintenance expenses.
Operating lease commitments
The Company has entered into a land lease agreement under which its outstanding commitments are as follows:
(Baht : million)
2007 2006
Within 1 year 18 9
Over 1 year and not over 5 years 74 74
Over 5 years 259 277
20. Financial Information by Segment
The Company’s operations involve a single industry segment in non-life insurance and are carried on in the single geographic
area in Thailand. As a result, all of the revenues, operating profits and assets as reflected in these financial statements pertain to the
aforementioned industry segment and geographic area.
21. Bank Guarantee
As at December 31, 2007, there were outstanding bank guarantees of Baht 15.4 million (2006: Baht 3.1 million) issued by
banks on behalf of the Company in respect of certain performance bonds as required in the normal course of business.
22. Contingent Liabilities
As at December 31, 2007, the Company has been sued for damaged totaling approximately Baht 941.7 million
(2006: Baht 315.4 million) as insurer. The total maximum sum insured per the relevant policies is Baht 233.8 million
(2006: Baht 166.8 million). The outcomes of these causes have not yet been finalised but the Company has set aside reserves for
its contingent losses amounting to approximately Baht 143.5 million (2006: Baht 51.1 million).
23. Financial Instruments
23.1 Financial risk management
The Company’s financial instruments, as defined under Thai Accounting Standard No. 48 “Financial Instruments:
Disclosure and Presentations”, principally comprise deposits at financial institutions, investments in securities, loans, and amounts
due from (to) reinsurers. The financial risks associated with these financial instruments and how they are managed is described
below.
Credit risk
Concentrations of the credit risk with respect to premiums due and uncollected are insignificant due to the large
number of customers comprising the customer base and their dispersion across different industries and geographic regions in Thailand.
78

Concentrations of the credit risk with respect to secured loans are insignificant due to the large number of customers
comprising the customer base and their dispersion across different industries and geographic regions in Thailand. In addition the
values of the securities placed as collateral are adequate for the Company to receive complete payment of debt and the ratio of loans to
collateral values is in accordance with the notification of the Registrar relating to the other business investments of insurance companies.
The maximum exposure to credit risk is limited to the book value of assets after deduction of allowance for doubtful
debts as stated in the balance sheet.
Interest Rate Risk
The Company’s exposure to interest rate risk relates primarily to its deposits at financial institutions and investments in
securities. However, since most of the Company’s financial assets bear floating interest rates or fixed interest rates which are close
to the market rate, the Company does not use derivatives to manage its interest rate risk.
Significant financial assets as at December 31, 2007 classified by type of interest rates are summarized in the table below.
(Baht’000)
Balance as at December 31, 2007
Floating Interest Rate
Fixed Interest Rate
Deposits at Financial Institutions 69,063 536,732
Investments in Securities
Bonds - Net - 269,894
Debentures - Net - 21,154
Notes - 478,225
Total 69,063 1,306,005
The financial assets and liabilities that carry fixed interest rates further classified based on the maturity date, or the
repricing date if this occurs before the maturity date.
(Baht’000)
Within 1 year 1 to 5 years Over 5 years Total Average
Interest Rate
(% per annum)
Deposits at Financial Institutions 536,732 - - 536,732 2.25-4.50
Investments in Securities
Bonds - Net 81,209 170,383 18,302 269,894 3.10-8.50
Debentures - Net 21,154 - - 21,154 3.00-5.70
Notes 478,225 - - 478,225 2.65-3.75
Total 1,117,320 170,383 18,302 1,306,005
79

Foreign Currency Risk
The Company’s exposure to foreign currency risk arises mainly from foreign currency denominated underwriting, reinsurance
with foreign reinsurers and investments in foreign associated companies that are denominated in foreign currencies. The Company
does not utilise forward foreign currency contracts to mitigate its exposure to foreign currency risk.
As at December 31, 2007, the balances of financial assets and liabilities denominated in foreign currencies are
summarised below.
Foreign Currency Financial Financial Average Exchange Rate
Assets Liabilities as at December 31, 2007
(Million) (Million) (Baht per 1 foreign currency unit)
US Dollar 3.6 3.1 33.718
Philippines Pesos 0.6 - 0.813
Japanese Yen 3.6 18.0 0.296
HK Dollar 1.3 - 4.321
Indonesia Rupiahs 1,634.1 - 0.003
23.2 Fair value
A fair value is the amount for which an asset can be exchanged or a liability settled between knowledgeable, willing
parties in an arm’s length transaction. The fair value is determined by depending on the nature of the instrument.
The fair value is determined by reference to the market price of the financial instrument or by using an appropriate
valuation technique if the appropriate market price cannot be determined, depending on the nature of the instrument.
The following methods and assumptions were used by the Company in estimating the fair values of financial instruments:
- Investment in securities
The fair value of equity securities and debt securities are based on their quoted market prices.
The fair value of other securities cannot be properly calculated, and therefore no disclosure is made.
The investments in associated companies are accounted for under the equity method (investments in associated
companies are valued at cost in separate financial statements).
The fair value of deposits at financial institutions, and notes with maturity periods of less than 90 days is based
on their carrying value. For those with maturity periods longer than 90 days, fair value is estimated using a
discounted cash flow analysis based on the current interest rate and the remaining period to maturity.
- Secured loans
For floating interest rate loans with no significant credit risk, fair value is based on carrying value. The fair value
of fixed interest rate loans is estimated using a discounted cash flow analysis based on the current interest rate.
24. Approval of Financial Statements
These financial statements were authorised for issue by the Company’s Executive Directors on February 15, 2008.
80

THE COMPANY’S FINANCIAL STATUS
Assets
As at December 31, 2007, the Company’s total assets amounted to Baht 19,466.7 million, an increase of Baht 1,273.1 million,
or 7.0 percent, over the previous year. Significant components of the assets are described below.
- Investments in securities totaled Baht 12,889.3 million, representing an increase of Baht 1,643.9 million, or 14.6 percent,
over 2006.
- Loans decreased by Baht 265.9 million to Baht 2,438.3 million, a decrease of 9.8 percent compared to the previous year.
- Cash and deposits at commercial banks diminished by Baht 26.2 million to Baht 607.7 million, a decrease of 4.1 percent
over 2006.
- Property and plant equipment decreased by Baht 32.6 million, or 2.7 percent, to Baht 1,177.4 million.
Liabilities
The Company’s total liabilities at 2007 year-end rose by Baht 396.0 million, or 7.3 percent, to Baht 5,792.8 million. Important
elements of liabilities include the following:
- Unearned premium reserve increased by Baht 177.8 million, or 7.8 percent, to Baht 2,453.8 million.
- Loss reserve and outstanding claims rose by Baht 116.2 million, or 11.8 percent, to Baht 1,098.5 million.
- Accounts withheld on reinsurance treaties decreased by Baht 44.4 million, or 11.1 percent, to Baht 355.3 million.
- Premium received in advance amounted to Baht 713.9 million, an increase of Baht 118.4 million, or 19.9 percent.
Shareholders’ Equity
The Company’s shareholders’ equity at 2007 year-end rose by Baht 877.0 million, or 6.8 percent, to Baht 13,673.8 million.
Significant components of the shareholders’ equity are listed below.
- Net income for the year totaled Baht 707.7 million.
- Dividend paid for 2007 amounted to Baht 608.4 million (Baht 12 per share).
- Retained earnings not allocated totaled Baht 961.5 million, an increase of Baht 99.3 million, or 11.5 percent, over 2006.
- A surplus on revaluation of investments rose by Baht 777.7 million, or 11.4 percent, to Baht 7,612.1 million.
Assets Quality
Debtors (Premiums due and uncollected)
As at December 31, 2007, premiums due and uncollected had risen by Baht 7.5 million, or 0.5 percent, to Baht 1,468.8 million,
compared with 2006. They can be classified by aging as follows:
(Baht: million)
Overdue 2007 2006
Under 3 months 1,200.6 1,213.6
3 months to 6 months 138.5 154.5
6 months to 12 months 99.9 81.4
Over 12 months 69.1 50.7
Total 1,508.1 1,500.2
Less allowance for doubtful accounts (39.3) (38.9)
Premiums due and uncollected - Net 1,468.8 1,461.3
81

Debtors, overdue under 3 months, for premium due and uncollected represented 81.7 percent of the net premium. Most
of them, however, were within a grace period offered by the Company. For the portion expected to be a bad debt, the Company
had provided an allowance for doubtful accounts, which was deemed adequate for the risk of being unable to collect these debts.
Simultaneously, the Company also increased channels for debt payment to provide convenience to its customers, agents and
brokers in their payment to the Company in due time. Meanwhile, the Company had enhanced its efficiencies in the premium
collections and debt follow-up to reduce the number of premium debtors to an acceptable level.
Loans
As at December 31, 2007, the Company’s total mortgage loans amounted to Baht 2,435.4 million. Out of this amount,
Baht 158.3 million, or 6.5 percent, was housing loans extended to small customers, while the remaining Baht 2,277.1 million, or
93.5 percent, was loans extended to real estate developers and other industrial entrepreneurs. The conditions of mortgage loans
and contract period, as well as the ratio of loans to collateral values, were in accordance with the requirements of the laws and
regulations concerned.
Debtors of mortgage loans can be classified by aging as follows:
(Baht : Million)
Outstanding Period 2007 2006
Principal Interest Principal Interest
Current 2,198.5 5.9 2,469.5 7.1
Overdue
Less than 6 months 7.5 0.1 3.2 -
6-12 months 1.7 - 0.7 -
Over 12 months 227.7 35.1 229.1 18.3
Total 2,435.4 41.1 2,702.5 25.4
Investments in Securities
The Company has managed and allocated investment ports in securities corresponding with surrounding changes, whether
social, economic or political. It attached to the management policy that yielded appropriate returns on investments within an acceptable
risk level. Typically, such investments were in accordance with the Company’s investment policies and other concerned agencies’
rules and regulations. Furthermore, the classification of the investment capital, the fair value of the investment capital based on carrying
value, and a consideration of the allowance for loss on impairment all met the requirements of accounting standards concerned.
As at December 31, 2007, investments in significant securities were as follows:
Bonds amounted to Baht 272.7 million, with a fair value of Baht 269.9 million. Debentures totaled Baht 31.3 million, with a
fair value of Baht 21.1 million. The allowance for loss on impairment of debentures under recovery amounted to Baht 10.4 million.
The investment capital in listed securities totaled Baht 3,260.4 million, with a fair value of Baht 10,832.7 million, while the
investment capital in unlisted securities amounted to Baht 563.7 million. In 2007, the Company recorded the allowance for
impairment of unlisted securities at Baht 3.4 million, and when combined with the already recorded amounted;l of Baht 106.5 million,
the aggregate of all allowance for loss on impairment was Baht 103.1 million. The Company also consistently followed up and
reviewed each quarter the financial status and performance of the companies in which it had invested. In addition, it invested in
associated companies to the amount of Baht 118.1 million, and in investment units for Baht 784.5 million, with a fair value of
Baht 826.9 million. As at December 31, 2007, the Company’s fair value of all types of securities was Baht 7,612.1 million higher than
its costs, which was displayed as a surplus on revaluation of investments in shareholders’ equity.
82

Liquidity
Cash Flows
As at December 31, 2007, the Company’s cash and cash equivalents rose by Baht 78.0 million to Baht 122.3 million.
The Company’s cash flows on its activities were as follows:
(Baht : Million)
2007 2006
Cash Flows from (used in) Operating Activities 990.8 1,073.8
Cash Flows from (used in) Investing Activities (304.4) (880.9)
Cash Flows from (used in) Financing Activities (608.4) (564.5)
Increase (Decrease) in Net Cash and Cash Equivalents 78.0 (371.6)
- Cash Flows from Operating Activities amounted to Baht 990.8 million, which came mainly from net direct premium written
and net investment incomes.
- Cash Flows used in Investing Activities amounted to Baht 304.4 million, which was mainly used in investment in securities,
loans and deposits at financial institutions.
- Cash Flows used in Financing Activities amounted to Baht 608.4 million, which was mainly used in dividend payment.
Current Liquidity Ratio
As at December 31, 2007, the Company’s liquidity ratio was 0.54 times. The liquidity assets consisted of cash and deposits
at financial institutions, due in one year, amounting to Baht 607.7 million, and promissory notes and bonds, due in one year, totaling
Baht 524.9 million. Other significant liquidity assets included securities required by the market, premium due and uncollected, due
from reinsures, accrued investment incomes, etc.
Investment Expenses
In 2007, the Company’s major investment expenses were on an information technology system, building rehabilitation,
office equipment and decoration, as well as the establishment of branch offices. In addition, investment expenses were also on an
improvement of the Company’s modern branch offices and enhanced efficiency of customer service.
Sources of Funds
As at December 31, 2007, the Company’s liabilities were Baht 5,792.9 million, while shareholders’ equity was Baht 13,673.8
million. Thus, the debt to equity ratio was 0.42 times. The structure of shareholders’ equity consisted of paid-up capital, premium on
share capital, a surplus on revaluation of investments, and retained earnings. A significant increase in shareholders’ equity stemmed
from an augmentation of Baht 777.7 million, or 11.4 percent, of a surplus on revaluation of investments.
83

FINANCIAL RATIO
2007 2006 2005
Financial Ratio
(Restated)
Liquidity Ratio
Current Ratio (Times) 0.54 0.51 0.54
Receivable Turnover (Days) 103.84 112.19 109.51
Profitability Ratio
Retention Rate (%) 103.63 104.29 106.93
Loss Ratio (%) 57.17 55.63 52.82
Profit Margin (%) 12.72 13.92 16.50
Underwriting and Operation Expenses Ratio (%) 41.16 40.28 40.96
Return on Investment (%) 5.47 4.99 4.82
Net Premium Ratio (Times) 0.38 0.39 0.40
Net Profit Margin (%) 12.26 11.25 11.90
Return on Equity (%) 5.35 4.83 5.12
Efficiency Ratio
Return on Assets (%) 3.76 3.40 3.60
Assets Turnover (Times) 0.31 0.30 0.30
Financial Ratio
Debt to Equity Ratio (Times) 0.42 0.42 0.42
Policy Liability to Capital Fund (Times) 0.26 0.25 0.24
Equity/Net Premium Income (Times) 2.69 2.70 2.70
Equity/Net Outstanding Claims (Times) 12.45 13.03 15.58
Equity/Assets (Times) 0.70 0.70 0.71
Unearned Premium Reserve to Equity (Times) 0.18 0.18 0.18
Unearned Premium Reserve/Total Assets (%) 12.61 12.51 12.46
Payout Ratio * (%) 85.96 102.56 103.95
Per Share
Par Value (Baht) 10.00 10.00 10.00
Book Value (Baht) 269.70 252.40 232.64
Basic Earnings ** (Baht) 13.96 11.70 11.10
Dividends (Baht) 12.00 12.00 12.00
Stock Dividends (Baht) - - 3.00
Growth Rate
Premium Written (%) 3.08 7.04 11.54
Income on Underwriting (%) (2.14) (8.56) 15.21
Net Investment Income (%) 27.50 10.35 11.46
Income Before Income Tax (%) 8.36 (1.25) 2.31
Income Tax (%) (21.53) (15.85) 35.03
Net Income (%) 19.29 5.44 (7.92)
Total Assets (%) 7.00 8.93 14.63
* Payout Ratio for the year 2005 is determined by dividing dividends by basic earnings per share before issue of stock dividend for the year 2005
(39.0 million shares)
** Basic earnings per share is determined by dividing net income for the period by the number of ordinary shares after the issue of stock dividends
for the year 2005 (50.7 million shares)
84

RELATED PARTIES TRANSACTIONS
Types of Related Parties Transactions
A portion of the Company’s business deals with related parties, where the relationship may be by shareholding or by
companies having the same group of shareholders or directors. In considering the relationship between individuals or enterprises,
attention is directed to the substance of the relationship, and not merely to the legal form or the basis of commitments.
Transactions are determined on the basis of conditions in the normal course of business and according to market value. In
addition to the related-transaction disclosure in Note 7 and 8 of the financial statements for the year 2007, the Company would like
to reveal additional information for cross-over transaction as follows:
(Baht: million)
Transaction with Related Party Related Party Relationship 2007 2006
Investment in Related Companies Disclosure in Note 8 and 7 of - - -
& Associated Companies
the Financial Statements, respectively
Premium Written Bangkok Bank PCL. Major Shareholders 69.1 63.0
Interest Income * Bangkok Bank PCL. Major Shareholders 19.8 18.0
Interest Expenses * Bangkok Bank PCL. Major Shareholders 0.08 0.01
Bank Deposits Bangkok Bank PCL. Major Shareholders 542.6 579.1
Notes Bangkok Bank PCL. Major Shareholders 30.0 -
Premium Due and Uncollected Bangkok Bank PCL. Major Shareholders 3.2 7.1
* Interest is charged at the same rates as those that financial institutions and related parties offer to other customers, based on market value.
Necessity and Justification of the Items
The Company has the above interrelated items, together with those disclosed in the remarks supplementary to the financial
statements, in order to support its operation, expand its customer base and develop its business. They are generated according
to the general regular business in which the Company has complied with the rules and regulations of the Office of Insurance Commission
and standard trading conditions, with fair value based on market value. Nevertheless, the Company expects to generate maximum
benefit.
Procedures for Approval of Interrelated Items
The Company has internal control systems at various levels based on the type of interrelated items, which are implemented
in accordance with the law, regulations and policy of the Company that comply with other courses of business. In order to avoid
any conflict of interest in making interrelated items, the Company complies with the regulations of the SET. However, when the
transaction of an interrelated item occurs, it will comply with the regular trade in the market, and the audit committee shall review
the item’s suitability and justification.
Policy of Making Interrelated Items in the Future
The Company has in force a policy of making interrelated items in the future, which will be in accordance with those
principles explained above. The Company will comply with the rules and notices of the SET.
It is the intention of the Company, however, to continue its business in a clear and transparent manner, which is fair to its
business partners, customers and shareholders, and is in keeping with the highest standards of benefit to the Company.
85

SHAREHOLDING IN OTHER COMPANIES
Investment in Companies at 10% or more of Paid-up capital as at December 31, 2007
No. Company / Address Line of Business Type of Shares No. of Shares Held % of Company’s
Paid-up Capital
1 Asian Insurance International (Holding) Ltd. Insurance Ordinary 23,786 41.44
Clarendon House, 2 Church Street,
Hamilton, HM 11, Bermuda
2 Asia Insurance (Cambodia) Plc. Insurance Ordinary 962,683 22.92
No. 5, Street 13, Sangkat Wat Phnom,
Khan Daun Penh, Phnom Penh, Cambodia
3 Asia Insurance (Investments) Ltd. Insurance Ordinary 10,335,000 19.50
16/F Worldwide House,
19 Des Voeux Road Central, HongKong
4 EMCS Thai Co., Ltd. Professional Ordinary 1,546,600 19.33
Regent House 10 th Fl, 183 Rajdamri Road,
Service
Lumpini, Pathumwan, Bangkok 10330
5 PT. Asian International Investindo Ltd. Insurance Ordinary 6,080,000 19.00
Wisma Asia Lt. 12A, Jl. Letjen S.
Parman Kav. 79, Slipi - Jakarta Barat.
6 Bangkok Chayoratn Co., Ltd. Insurance Ordinary 3,000 15.00
25 Bangkok Insurance/Y.W.C.A. Building, Broker
10 th Fl. Sathon Tai Road, Tungmahamek,
Sathon, Bangkok 10120
7 Sorachai Vivatn Co., Ltd. Property Ordinary 405,000 15.00
23 Soi Sukhumvit 63 , Sukhumvit Road, Development
North Klongtan, Wattana, Bangkok 10110
8 Union Sime Darby (Thailand) Co., Ltd. Insurance Ordinary 6,000 15.00
Vanissa Building, 20 th Fl, 29 Soi Chidlom,
Broker
Lumpini, Pathumwan, Bangkok 10330
9 Rhodia (Thailand) Co., Ltd. Chemicals & Preferred 140 14.00
3195/6 Vibulthani Tower 1, 1 st Fl, Rama IV Road, Plastics
Klongton, Klongtoey, Bangkok 10110
10 Bangkok Mitsubishi UFJ Lease Co., Ltd. Leasing Ordinary 60,000 10.00
Sethiwan Tower, 8 th Fl, 139 Pan Road,
Silom , Bangrak, Bangkok 10500
86

ORGANIZATION STRUCTURE
87

THE MANAGEMENT
Management Structure
The Company’s management structure consists of 2 major groups, namely:
1. The Board of Directors, together with 2 ad hoc sub-committees comprising the Audit Committee and the Remuneration
& Nomination Committee.
2. The Company’s Management.
1. Board of Directors and Sub-Committees
1.1 Board of Directors
Duties and Responsibilities of the Board of Directors:
1. To consider and define the policy on good corporate governance for the management’s implementation. This
includes a review and evaluation of such implementation consequences so that the management can make improvements and
make a report in the Company’s annual report.
2. To consider the appropriateness of, as well as making suggestions on and approving the vision of, strategies and
performance goals of the Company, as proposed by the management, including following up and assessing performance
achievement.
3. To oversee the Company’s performance so that it has appropriate systems of risk management, internal control
and audit.
4. To generate effective selection procedures and succession plans for the Company’s Board of Directors and
executive management. The Board will appoint the Chairman and President as head of the executive management team to take
responsibility for the Company’s business performance under the Board’s supervision.
5. To ensure that the Company has a practical guideline concerning the morality of its business performance, as well
as the Board’s and employees’ good practices, including an effective communication mechanism for the acknowledgement of the
parties concerned.
6. To consider the appropriateness of an appointment to and define the scope of duties and responsibilities of
sub-committees.
7. To prepare an audit committee report, which shall be disclosed in the Company’s annual report.
8. To consider and approve an establishment of, or dissolve the Company’s branches and offices, as proposed by
the management.
9. To conduct any duties so that they are in accordance with laws, orders and the Company’s shareholders’ resolutions.
The Board of Directors comprises 12 members as the following:
1. Executive directors consist of 2 members while another director is an adviser on the Company’s understanding affairs.
2. Non-executive directors consist of 9 members, who are independent and have no interest or relationship with the
Company’s business. Consequently, the Board’s authority is counterbalanced by non-executive directors and hence the Board
itself can fully oversee the Company’s performance.
88

Name of the Board of Directors, the number of their meeting attendances and remuneration in 2007 are given below:
Name Position No. Of Attendance/ Annual
Invitation
Remuneration
1 2 3 (Baht)
1. Mr. Chai Sophonpanich Chairman & President 4/4 500,000
2. Mr. Plengsakdi Prakaspesat Independent Director 4/4 500,000
Chairman of 4/4 250,000
the Audit Committee
3. Mr. Singh Tangtaswas Independent Director 4/4 500,000
Chairman of Remuneration & 2/2 60,000
Nomination Committee
4. Miss Potjanee Thanavaranit* Independent Director 3/3 375,000
(Appointed on February 27, 2007 Audit Committee 3/3 187,500
and effective from March 1, 2007)
5. Dr. Areepong Bhoocha-oom** Independent Director 0/0 -
(Appointed and effective from Audit Committee 0/0 -
November 14, 2007)
6. Mr. Thira Wongjirachai Independent Director 4/4 500,000
Director of Remuneration & 2/2 60,000
Nomination Committee
7. Mr. Suvarn Thansathit Independent Director 4/4 500,000
Director of Remuneration & 2/2 60,000
Nomination Committee
8. Mr. Chor.nun Petpaisit Independent Director 3/4 500,000
9. Mr. Virasak Sutanthavibul Independent Director 3/4 500,000
10. Mr. Tori Ueno*** Independent Director 0/0 -
(Appointed and effective from
November 14, 2007)
11. Mr. Witcha Damrongsinsak Director 4/4 500,000
12. Mr. Voravit Rojrapitada Director 4/4 500,000
Secretary to the Board of Directors -
89

Name Position No. Of Attendance/ Annual
Invitation
Remuneration
1 2 3 (Baht)
Miss Ratana Yingpaiboon 1/1 1/1 187,500
(Resigned as from March 1, 2007)
Mr. Yutaka Watanabe 0/2 250,000
(Resigned as from June 26, 2007)
Mrs. Puntip Surathin 2/2 2/2 375,000
(Resigned as from July 4, 2007)
Total number of meetings in 2007 4 times 4 times 2 times ****6,305,000
Note : 1 The Board of Directors’ meeting
2 The Audit Committee’s meeting
3 The Remuneration & Nomination Committee’s meeting
* Miss Potjanee Thanavaranit was appointed by the Board’s resolution (No.1/2007) on February 27, 2007, to replace Miss Ratana Yingpaiboon,
who resigned as from March 1, 2007.
** Dr.Areepong Bhoocha-oom was appointed by the Board’s resolution (No.4/2007) on November 14, 2007 to replace Mrs.Puntip Surathin, who
resigned on July 4, 2007, and effective from November 14, 2007.
*** Mr. Tori Ueno was appointed by the Board’s resolution (No.4/2007) on November 14, 2007, to replace Mr. Yutaka Watanabe, who resigned on
June 26, 2007, and effective from November 14, 2007.
**, *** Dr. Areepong Bhoocha-oom and Mr. Tori Ueno were appointed by the Board’s resolution (No.4/2007) on November 14, 2007, which was
the Board’s final meeting for 2007, and so it did not appear the number of attendances and remuneration.
**** The 2007 remuneration was approved at the shareholders’ 14 th meeting, on April 25, 2007, to the amount of no more than Baht 7.0 million.
Directors Authorized to Bind the Company to Any Decision
Two directors must sign together and affix the Company’s seal.
1.2 The Audit Committee
The scope of duties and authority of the Audit Committee is as follows:
1. To oversee the Company’s financial reporting process, in which the financial statements must be correct, sufficient and credible.
2. To ensure that the Company has adequate and effective internal control systems.
3. To ensure that the Company performs in compliance with all the relevant laws and regulations.
4. To select and propose for an appointment of an auditor and fix their remuneration.
5. To ensure that the Company does not engage in any activities that may lead to a possible conflict of interest.
6. To prepare an audit committee report, which shall be included in the Company’s annual report. The report must be signed
by the Chairman of the Audit Committee.
7. To operate any duties assigned to them by the Board of Directors.
90

The Audit Committee, consisting of the three following independent members who are non-executive directors, was
appointed on November 16, 2005, and effective from November 15, 2005, for a three-year term. The Committee will become due
on November 15, 2008
1. Mr. Plengsakdi Prakaspesat Chairman
2. Miss Potjanee Thanavaranit* Committee member
3. Dr. Areepong Bhoocha-oom** Committee member
4. Mr. Sontaya Chaichomlert Secretary of the Committee
Note : * Miss Potjanee Thanavaranit was appointed by the Board’s resolution (No.1/2007) on February 27, 2007, to replace Miss Ratana Yingpaiboon,
who resigned as from March 1, 2007.
** Dr. Areepong Bhoocha-oom was appointed by the Board’s resolution (No.4/2007) on November 14, 2007, to replace Mrs. Puntip Surathin,
who resigned as from July 4, 2007 and effective from November 14, 2007.
1.3 The Remuneration and Nomination Committee
The scope of duties and authority of the Remuneration and Nomination Committee is described below:
1. To ensure that the number and proportion, as well as the components of the Board of Directors are appropriate to
the organization.
2. To select a suitable and qualified person to replace a Board member in case of his completing his term,
resignation or other reasons, apart from nominating a new Board member to shareholders or the Board for consideration and
appointment, based on the case and in accordance with the Company’s regulations.
3. To select a suitable and qualified person to supersede the President and Senior Executive Vice President in case
of an expiry of their term, resignation or other reasons, besides nominating a new person for the Board’s scrutiny and appointment.
4. To oversee and define policies on remuneration and other benefits of the Board of Directors, President and Senior
Executive Vice President, which are appropriate to their duties and responsibilities.
5. To ensure that there is a plan for a succession of the position of President and Senior Executive Vice President.
The Remuneration and Nomination Committee, composed of three independent members who are non-executive
directors, was appointed on August 14, 2007, for a three-year term. The Committee was effective on August 18, 2007 and will
become due on August 18, 2010.
1. Mr. Singh Tangtaswas Chairman
2. Mr. Thira Wongjirachai Committee Member
3. Mr. Suvarn Thansathit Committee Member
4. Miss Pimjai Leumrung Secretary of the Committee
2. Management Committee
Duties and Responsibilities of the Management Committee:
1. To verify, before presenting to the Board of Directors for consideration, the Company’s vision, strategies, business
goals, and annual budget, as well as policy on risk management.
2. To verify, before presenting to the Board of Directors for consideration, the procurement or disposal of the Company’s
major assets.
3. To ensure that the Company has an implementation based on its policy of corporate governance, as well as an
evaluation of its consequences, including suggestions for the Board of Directors’ consideration.
4. To periodically follow up and report on the Company’s performance to the Board of Directors.
5. To conduct any duties assigned to them by the Board of Directors.
91

The Management Committee is made up of the first four executive members following the Chairman and President.
In 2007, the Management Committee comprised 15 executive members whose names are listed below:
1. Mr. Chai Sophonpanich Chairman & President
2. Mr. Voravit Rojrapitada Director & Senior Executive Vice President
3. Mr. Panus Thiravanitkul Executive Vice President
4. Miss Pagamas Charusathien Senior Vice President
5. Miss Poonsuk Tevidhaya Senior Vice President
6. Mrs. Srichittra Pramojaney Senior Vice President
7. Mr. Satit Liptasiri Senior Vice President
8. Mr. Anon Vangvasu Senior Vice President
9. Mr. Jakkrit Chewanuntapornchai Senior Vice President
(Appointed on October 8, 2007)
10. Mr. Boonkird Chirapathama Senior Vice President
(Appointed on July 1, 2007)
11. Mr. Sontaya Chaichomlert Senior Vice President
(Appointed on January 1, 2007)
12. Mr. Suphat Yookongbandhu Senior Vice President
(Appointed on October 8, 2007)
13. Mr. Apisit Anantanatarat Senior Vice President
(Appointed on July 1, 2007)
14. Mr. Aree Vanairlor Senior Vice President
(Appointed on October 8, 2007)
15. Dr. Wichitra Ngansathil Senior Vice President
(Passed away on January 31, 2008)
Nomination for Directors
The Company has assigned the Remuneration and Nomination Committee to take care of the issue of the proportion, number
and components of the Board of Directors, as well as to nominate a qualified person, with sound knowledge and proficiency, to supersede
a director, the President or the Senior Executive Vice President in case of the expiry of his term, resignation or other reasons, apart
from nominating a new Board member to shareholders or the Board for consideration and appointment, based on the case and in
accordance with the Remuneration and Nomination Committee’s duties and authority specified in item 1.3.
To appoint a new director of the Board superseding a director whose term is due, the Remuneration and Nomination
Committee will nominate the qualified person to the Company’s Board for consideration before proposing to the shareholders’
meeting for appointment approval. However, this has to be endorsed by the majority of shareholders at the meeting. The following
are the criteria for the appointment of directors, as defined in the Company’s rules and regulations.
1. The Board of Directors shall comprise at least five directors, and no less than half shall reside within the Kingdom.
2. No less than three-fourths of the directors must be of Thai nationality.
3. The directors shall be elected at the shareholders’ meeting. Each shareholder shall have a number of votes equal to
the number of shares held. Decisions shall be made by a majority vote. In the event of a tied vote, the chairman of the meeting
shall have the casting vote.
4 At every annual general meeting, one-third of the directors shall retire. Directors who vacate office may be re-elected.
5. The shareholders’ meeting may pass a resolution removing any director from office, prior to retirement, by reason of the expiration
of the director’s term of office, by a vote of not less than three-fourths of the number of shareholders attending the meeting, who have
the right to vote and who hold shares totaling not less than half the number of shares held by shareholders attending the meeting
and having the right to vote.
92

Remuneration for the Auditor
In 2007, the Company paid remuneration to its auditor as follows:
1. Remuneration for audit of annual financial statements and review of quarterly financial statements 1,070,000
2. Cost for an evaluation of the internal control as well as regulations 140,000
and procedures of non-life insurance companies’ other business investments
Total
1,210,000
Control Over the Use of Insider Information
In order to have control over the use of insider information, access to the Company’s information is limited to executives and
employees, and all computerized data is available only to those entitled to be entrusted with a password. The Board of Directors and
the Management will not, as fundamental to their management principles, disclose the Company’s performance data to outsiders, or exploit
their authority or opportunities at work to seek any advantage for themselves, before the data are revealed to the general public. In the case
of violations of disciplinary rules and regulations, the Company will rule on their penalties in accordance with its policy.
In 2007, the Company had formulated in writing regulations on security arrangements and security transference in accordance
with those of the Security Act and Security Exchange Act of 1992, Section 59. In this regard, the scope of report, reporters, reporting
methodology, and reporting time, including the report to the Company’s Board, were defined so that the Board, management and the
people concerned would strictly comply with them. This was intended not only to create a correct understanding for those taking charge of
reporting, but also to be a measure for effectively overseeing the use of insider information.
Internal Control
The meeting of the Board of Directors (No.4/2007) held on November 14, 2007, with all three members of the Audit Committee
in attendance, reviewed the efficiency of the internal control system using the SET’s assessment questionnaire as a guideline,
which covered the following issues:
1. Controlling environment: such as determination of business goals, formulation of organizational structure, defining of ethics and
prohibitions including penalties forbidding the management and employees to engage in any activities that may lead to a possible conflict
of interest, mapping out policies and work procedures in writing, as well as encouragement of all employees to value the importance of customers.
2. Risk assessment: includes an assessment of both internal and external risk factors influencing the Company’s business
transactions, an analysis and determination of risk management measures, a communication with concerned staff for their
acknowledgement, as well as following up the consequences of implementation based on the defined measures.
3. Control activities: such as division of duties and responsibilities, determination of authority and duties of each level of executives,
including the amount of money they can approve, as well as a supervision of the Company’s operational performance in accordance
with related laws. The Audit Committee had raised significant issues found during an audit, and both the internal and external Audit
Committee members brought the issues for discussion with the Company’s management, as well as giving recommendations for
improvement, including following up closely the consequences of correction. This aimed for higher operational efficiency.
4. Information technology and communications: includes a convention of the Board of Directors’ meeting, documentation
work for the meeting, writing the minutes of the meeting, and formulation of a policy on the management’s accounting, including
storage of documents for account recording on a par with the standards specified.
5. Following up and evaluation: such as following up and evaluating an implementation consequence compared to its
target. The Company stipulates that all sections (departments) must make a report on their operational consequences based on
the work plan every month, while the executives of a section concerned have to make a correction in case of deriving an
unsatisfactory outcome, of which the result will be reported to the Company’s management, who will subsequently make a
conclusion and report to the Board of Directors for consideration. Similarly, the Audit Committee’s performance consequences are
reported to the Board for acknowledgement every quarter.
The Company’s Board of Directors has already made a consideration and unanimously agreed that the Company’s internal
control system is sufficient and appropriate.
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SHAREHOLDINGS STRUCTURE
Breakdown of Shareholdings
As at November 28, 2007
Issued and Fully Paid-up Share Capital : Baht 507 Million
Class of Share : Ordinary Shares at Baht 10 per Share
Size of Shareholding Number of Shareholders % Number of Shares %
1 - 10,000 1,206 77.01 2,349,870 4.63
10,001 - 50,000 213 13.60 4,767,434 9.40
50,001 - 150,000 103 6.58 2,349,870 17.07
150,001 Up 44 2.81 34,930,647 68.90
1,566 100.00 50,700,000 100.00
Thai Shareholders 77.66 % Non – Thai Shareholders 22.34 %
Major Shareholders and Numbers of Shareholdings, as at November 28, 2007
Name Number of Shares %
As at Nov. 28, 2007
1. Bangkok Bank Public Co., Ltd. 5,053,902 9.97
2. Hwic Asia Fund 3,676,003 7.25
3. Asia Commercial Bank (Nominees) Ltd.* 2,509,650 4.95
4. Mrs. Boonsri Sophonpanich 1,830,005 3.61
5. Chin Sophonpanich Foundation 1,605,207 3.17
6. C.R. Holding Co., Ltd. 1,605,207 3.17
7. Mr. Chai Sophonpanich** 1,584,975 3.13
8. AIOI Insurance Co., Ltd. 1,423,619 2.81
9. Mr. Chatri Sophonpanich 1,197,159 2.36
10. Mr. Niti Osathanugrah 1,059,220 2.09
11. Thai Reinsurance Public Co., Ltd. 997,401 1.97
12. Glory Hope Limited 789,770 1.56
13. Aberdeen Growth Fund 770,121 1.52
14. VAYUPAK FUND 1 Krung Thai Asset Management Public Co., Ltd. 756,765 1.49
15. VAYUPAK FUND 1 MFC Asset Management Public Co., Ltd. 756,762 1.49
16. Somers (U.K.) Limited 702,600 1.39
17. Rabil Holding Co., Ltd. 669,558 1.32
18. Bangkok Rinvest Co., Ltd. 610,524 1.20
19. Mr. Chan Sophonpanich 592,250 1.17
20. Miss Yueh Chee Amy Tsai 544,304 1.07
* Shareholder in the 3 rd order is Nominee Account (The Company has audited with Thailand Securities Depository Company Limited) so the
Company cannot disclose the Ultimate Shareholder. Nonetheless, the 20 major shareholders do not benefit either directly or indirectly from managerial
affairs of the Company
** Inclusive of Relatives’ stock under Section 258 of the S.E.C. Act. B.E. 2535, as follows:
1. Spouse - Mrs. Nuchanart Sophonpanich 119,784 Shares
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Shareholding of The Board of Directors, as at November 28, 2007
Name Number of Shares Number of Shares Change
As at Nov. 28, 2007 As at Nov. 28, 2006
1. Mr. Chai Sophonpanich* 1,584,975 1,584,975 -
2. Mr. Plengsakdi Prakaspesat - - -
3. Mr. Singh Tangtaswas - - -
4. Miss Potjanee Thanavaranit**
(Appointed on February 27, 2007 and effective from March 1, 2007) - - -
5. Dr. Areepong Bhoocha-oom***
(Appointed and effective from November 14, 2007) - - -
6. Mr. Thira Wongjirachai 251,942 301,942 (50,000)
7. Mr. Suvarn Thansathit - - -
8. Mr. Chor.nun Petpaisit - - -
9. Mr. Virasak Sutanthavibul - - -
10. Mr. Tori Ueno****
(Appointed and effective from November 14, 2007) - - -
11. Mr. Witcha Damrongsinsak 5,003 5,003 -
12. Mr. Voravit Rojrapitada 32,448 32,448 -
Miss Ratana Yingpaiboon
(Resigned as from March 1, 2007) 32,529 32,529 -
Mr. Yutaka Watanabe
(Resigned as from June 26, 2007) - - -
Mrs. Puntip Surathin
(Resigned as from July 4, 2007) - - -
* Inclusive of Relatives’ stock under Section 258 of the S.E.C. Act. B.E. 2535, as follows:
1. Spouse - Mrs. Nuchanart Sophonpanich 119,784 Shares
** Miss Potjanee Thanavaranit was appointed by the Board’s resolution (No.1/2007) on February 27, 2007
to replace Miss Ratana Yingpaiboon, who resigned as from March 1, 2007 and effective from March 1, 2007
*** Dr. Areepong Bhoocha-oom was appointed by the Board’s resolution (No.4/2007) on November 14, 2007
to replace Mrs. Puntip Surathin, who resigned on July 4, 2007 and effective from November 14, 2007
**** Mr. Tori Ueno was appointed by the Board’s resolution (No.4/2007) on November 14, 2007
to replace Mr. Yutaka Watanabe, who resigned on June 26, 2007 and effective from November 14, 2007
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Shareholding of Management Committee, as at November 28, 2007
Name Number of Shares Number of Shares Change
As at Nov. 28, 2007 As at Nov. 28, 2006
1. Mr. Chai Sophonpanich* 1 1,584,975 1,584,975 -
2. Mr. Voravit Rojrapitada 32,448 32,448 -
3. Mr. Panus Thiravanitkul 2,661 2,661 -
4. Miss Pagamas Charusathien 12,693 12,693 -
5. Miss Poonsuk Tevidhaya 44,214 44,214 -
6. Mrs. Srichittra Pramojaney - - -
7. Mr. Satit Liptasiri 5,348 5,348 -
8. Mr. Anon Vangvasu* 2 22,103 22,103 -
9. Mr. Jakkrit Chewanuntapornchai
(Appointed on October 8, 2007) - - -
10. Mr. Boonkird Chirapathama
(Appointed on July 1, 2007) 1,014 1,014 -
11. Mr. Sontaya Chaichomlert
(Appointed on January 1, 2007) - - -
12. Mr. Suphat Yookongbandhu* 3
(Appointed on October 8, 2007) 22,791 22,791 -
13. Mr. Apisit Anantanatarat
(Appointed on July 1, 2007) 2,197 2,197 -
14. Mr. Aree Vanairlor
(Appointed on October 8, 2007) 1,617 1,617 -
15. Dr. Wichitra Ngansathil
(Passed away on January 31, 2008) 1,000 1,000 -
* Inclusive of Relatives’ stock under Section 258 of the S.E.C. Act. B.E. 2535, as follows:
1. Spouse - Mrs. Nuchanart Sophonpanich 119,784 Shares
2. Spouse - Mrs. Thunyaporn Vangvasu 7,150 Shares
3. Spouse - Mrs. Warunee Yookongbandhu 20,667 Shares
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Dividend Payment Policy
Since it is anticipated that business will expand consistently, the Company will try to maintain the level of dividend to be
paid to shareholders at about 50 percent of its net income after income tax deduction, and pay the dividend four times a year. In
this regard, the Company will consider paying the dividend based on its performance consequence and in accordance with the
country’s economic situation.
The Company’s data on dividend payment over the past five years.
(Baht/Share)
Shareholders’ meeting Year of Payment Dividend and Stock Dividend Total
Time/Year Quarter 1 Quarter 2 Quarter 3 Quarter 4 Stock
Dividend
10/2003 2002 2.75 2.75 2.75 3.75 - 12
11/2004 2003 2.75 2.75 2.75 3.75 3* 15
12/2005 2004 2.75 2.75 2.75 3.75 - 12
13/2006 2005 2.75 2.75 2.75 3.75 3** 15
14/2007 2006 2.75 2.75 2.75 3.75 - 12
* For the 11 th general meeting of shareholders on April 26, 2004, the Company was approved by the meeting to increase its paid-up capital of
Baht 300 million to Baht 390 million, by issuing shares to pay as stock dividend to shareholders at the rate of 10 existing shares per 3 shares
of stock dividend.
** For the 13 th general meeting of shareholders on April 26, 2006, the Company was approved by the meeting to increase its paid-up capital of
Baht 390 million to Baht 507 million, by issuing shares to pay as stock dividend to shareholders at the rate of 10 existing shares per 3 shares of
stock dividend.
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PRINCIPLES OF GOOD CORPORATE GOVERNANCE
The Bangkok Insurance Public Company Limited Board of Directors fully realizes the significance of good corporate
governance and views it as a preliminary factor in enhancing the Company’s performance efficiency and sustainable business
growth, while gaining greater acceptance both inside and outside the country. This will, of course, lead to the significant goal of
generating the greatest benefit for all parties concerned, shareholders, investors, staff and other stakeholders including society at
large.
The Company’s Board is strongly determined to perform in accordance with the principles of good corporate governance
and has, therefore, formulated the Company’s policy on good corporate governance based on the guidelines defined by the SET
and the Office of Insurance Commission. In addition, the Board has assigned the Company’s management team to oversee and
strictly comply with good corporate governance principles, and report on the recommendations in order to improve the Company’s
policy on good corporate governance, and to ensure the ethics manual is in accordance with the guidelines of the SET and the
Office of Insurance Commission, while allowing for future modification. The aim is to be up-to-date and appropriate to the current
situation, and with higher international standard practices.
In 2006, the Company’s Board approved an improvement of the Company’s policy on good corporate governance to bring
it in line with the SET’s newly improved guideline and the Office of Insurance Commission’s guideline. The improvement can be
summarized as the following:
The Section on Corporate Governance Structure. Three issues of significant substance were added, namely:
1. Define the qualification of the Independent Committee so that it is more stringent than that defined by the SEC and the
SET concerning the proportion of shareholding of no more than 0.5 percent, including the determination of measures and duties in
a review of the appropriate qualification of a committee member for the Remuneration and Nomination Committee.
2. Increase the Board’s duties and responsibilities for a consideration on authorizing the operation to the President, apart
from the duties in an evaluation of work performance of the Board and the President.
3. Define a clearer policy on the development of the Board of Directors and the Management.
The Section on Shareholders’ Rights. Provide an opportunity for shareholders to submit questions to the Company
prior to the meeting day.
The Section on Equal Treatment of Shareholders. Provide the minority of shareholders’ rights to propose the
meeting’s agenda and nominate the Board’s director, through the criteria and procedures propagated on the Company’s website.
Shareholders may use these rights, starting from the annual general meeting of shareholders for 2007 onwards.
The Section on a Meeting of the Company’s Board. Encourage the Company’s non-executive directors to have
a meeting, with the secretary to the Board of Directors assigned to facilitate the matter.
Details of the Company’s policy on good corporate governance may be viewed on its website at www.bki.co.th
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1. The Section on Shareholders’ Rights
1.1 Awareness of Significance of Shareholders’ Rights
The Company gives priority to and respects the rights of all shareholders, who are regarded as the business’s owner.
Thus, all shareholders, either major or minor, are encouraged to exercise their rights equally based on the criteria defined by law,
for instance, the right to purchase, sell or transfer shares; right to receive the Company’s profit share; right to attend shareholders’
meeting; right to give a mandate to any person to attend the meeting instead and vote on his behalf; right to nominate a Board
director; right to vote for a Board director and determine his remuneration; right to appoint an auditor and determine audit
remuneration, and right to obtain sufficient data and information. In addition, shareholders will be equally and transparently
provided with accurate, complete and updated information at every meeting. Details of shareholders’ rights are given in the
Company’s policy on good corporate governance, and rules and regulations.
1.2 Promotion of Shareholders’ Rights
Shareholders’ meeting is regarded as a good opportunity for them to exercise their rights in making a decision
regarding the Company’s performance on various issues. The Company will, 14 days in advance of every meeting, which is
normally held once a year at an appropriate date, time and place, send out invitation letters to all shareholders, informing them of
the meeting’s agenda and the Board’s recommendations, together with the necessary documents and information to guide their
decisions on voting on significant issues. Generally, the meeting is held within 4 months of the Company’s accounting year-end, or
when there is an urgent need on special issues affecting or involving shareholders’ interests, or relating to conditions or
regulations and laws that have to be approved by shareholders. Based on the above cases, the extraordinary shareholders’
meeting will be convened. In this regard, the Company will disseminate the news on an invitation letter for the meeting through the
SET and the company’s website. Nevertheless, if a shareholder cannot attend the meeting, he/she can still exercise his/her right
by giving a mandate to any person or the Board’s independent director, who also sits on the Audit Committee and whose name is
identified in the mandate, to attend the meeting and vote on his/her behalf. The Company has also notified the independent
director of its nomination of him to receive a shareholder’s mandate so that the latter (director) can attend the meeting.
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For every shareholder’s meeting, the Company’s Board has a policy of having all of its members, particularly the chairman
of a committee and the Company’s senior management attend the meeting in order to answer shareholders’ questions. The Company
also facilitates registration in advance. Before a meeting, the chairman will inform the shareholders of all rules and regulations,
including the method of vote counting. An item that is not informed in advance will not be added to the agenda, especially a
significant one for which shareholders need time to study before making a decision. Similarly, during the meeting, all shareholders
can fully exercise their rights through debate, interrogation and expression of opinion for all items on the agenda. Details of the
meeting will be recorded and open to shareholders’ examination.
Through a procedure of holding shareholders’ meeting in a manner that promotes an equal exercise of every shareholder’s
right, the Securities and Exchange Commission (SEC) and the SET gave a score of 90 percent, equivalent to an excellent level, in
an quality evaluation of the Company’s Shareholders’ general meeting for 2007.
2. The Section on Equality of Shareholders
2.1 Equal Treatment of Shareholders
The Company realizes the significance of every shareholder’s rights and expects all of them to be treated equally.
Details are explained in the section on shareholders’ rights under the item “Promotion of Shareholders’ Rights”.
2.2 Rights of Minor Shareholders
In 2006, the Company modified its policy on good corporate governance by allowing all shareholders to propose any
important issues that should be put on the agenda of the Company’s shareholders’ annual meeting, including nominating a new
director who was of high proficiency and appropriate for an appointment as a Board member. This was done prior to the meeting
so that the Company’s Board could later verify and was well prepared to define the issues proposed by shareholders as the items
on the agenda of the Company’s shareholders’ annual meeting. The criteria and practice on this matter were clearly defined on the
Company’s website, and became effective from the shareholders’ annual general meeting for 2007 onwards.
2.3 The Use of Insider Information
In order to have control over the use of insider information, access to the Company’s information is limited to
executives and employees, and all computerized data is available only to those entrusted with a password. The Board of Directors
and the management will not, as fundamental to their management principles, disclose the Company’s performance data to
outsiders, or exploit their authority or opportunities at work to seek any advantage for themselves, before the data are revealed to
the general public. In the case of violations of disciplinary rules and regulations, the Company will rule on their penalties in
accordance with its guidelines.
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In 2007, the Company had formulated in writing regulations on security arrangements and security transference in
accordance with those of the Security Act and Security Exchange Act of 1992, Section 59. In this regard, the scope of report,
reporters, reporting methodology, reporting time, including the report to the Company’s Board, were defined so that the Board,
management and the people concerned would strictly comply with them. This was intended not only to create a correct
understanding for those taking charge of reporting but also to be a measure for effectively overseeing the use of insider
information.
3. The Section on Stakeholders’ Rights
The Company is fully cognizant of its stakeholders’ rights and believes that the stakeholders’ support benefits the
Company’s good reputation and ability to compete in the market, as well as helping to build up the Company’s profit in the long
term. Hence the Company realizes its responsibilities for each stakeholder group that has a difference perspective, and has
therefore adopted the following practices with the principles of morality and integrity to insure that their rights are always
respected:
Shareholders
The Company is determined to be a good representative of shareholders by taking good care of their
benefits and providing them with the greatest satisfaction through high and continuous remuneration.
Likewise, all reliable insurance-related business information will be disseminated to them accurately,
completely and transparently in conformity with generally accepted standards.
Employees
The Company will treat its employees at all levels equally on the basis of moral and fairness
principles in order to encourage them to work efficiently. All employees are also consistently urged
and trained to develop their skills and knowledge necessary to the successful implementation of their
work, as well as the generation of the utmost satisfaction for customers. In this respect, various training
programs are offered in conformity with the Company’s business transaction strategies in order to
upgrade the employees’ ability to carry out their jobs professionally. The programs organized are, for
instance, insurance training, development of working efficiency, etc. Besides, all levels of employees
are encouraged to study or seek new branches of knowledge via the Company’s scholarships and
support on conferences with leading domestic and foreign institutions. Similarly, different patterns of
learning are created to enable all employees to learn by themselves, which will finally lead to the
Company’s knowledge-based culture. Apart from fair remuneration, all other welfare schemes are, of
course, higher than the requirements of the Ministry of Labour, i.e. providence fund scheme, life and
health insurance coverage, 5s and relaxation programs, as well as the maintenance of a good
working atmosphere and the protection of employees’ health and safety.
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Customers
The Company offers various quality insurance products according to international standards,
providing suitable coverage at a reasonable price, and indemnification made on a fair basis. In
addition, customers will be fully advised about the nature of these products, while the Company
has specifically established a work unit to receive their complaints and comments.
Business Partners The Company treats its business partners fairly in evaluating their performance. These business
partners will be given opportunities to comment and propose suggestions concerning any and
all join business issues. To ensure that the rights of business partners are protected, the Company
will treat business partners’ secrets as strictly confidential.
Competitors
While maintaining its accepted professional business standards, the Company intends to maintain
its position in the market and compete effectively, while refraining from damaging the reputation
of any business competitor for its own benefit. The Company emphasizes the quality and efficiency
of its services, stressing “the greatest benefit to our customers and the standing of the insurance
industry” as a whole.
Creditors
The Company is strongly committed to an honest practice and will therefore follow all agreed
conditions with its creditors, or find suitable solutions to their mutual benefit.
Society and
Environment
The Company realizes its responsibilities to society and the preservation of environment. As a
consequence, it has supported many activities that benefit the community, such as the development
of society through employing disabled labour. It also provides support and assistance to communities
jointly with other agencies both in the government and the private sector. For instance, the
Company’s management has offered a mobile medical service to treat people in poverty-stricken
areas, granted scholarships to poor students, as well as established a fund for the rehabilitation
of historical sites, and the preservation of natural resources and development of the environment.
All activities and projects have been continuously implemented and effectively carried out.
In 2007, which was the Company’s 60 th operation anniversary, the Company continuously
proceeded on its “Continuing Our 60 Years’ Legacy of Good Deeds” project, with a belief that
“Everyone can be a good person and ceaselessly does good, given a chance to begin a spirit
of giving”. Details of activities carried out in 2007 can be viewed in the section “Social Activities in 2007”.
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4. Data Disclosure and Transparency
The Company’s Board has a policy for the Company to disclose both its financial and non-financial data, as defined by the
SEC and SET. Of course, data disclosure focuses on transparency, accuracy, completeness and timeless, through the channels of
the SET, as well as the Company’s annual report and the annual report presentation form (Form 56-1). Additionally, the data is
disclosed both in Thai and English via the Company’s website, and always updated for reliability and easy and equal access by
shareholders and other related persons. The following is a summary of the significant, disclosed data.
4.1 Policy on Corporate Governance and Its Implementation Consequences
Through 2007, the Company had performed in accordance with its policy on good corporate governance, except for
the following issues.
(1) The Company’s Chairman is also its President, who is not an independent director since the non-life insurance
industry strongly needs a knowledgeable and capable person with long business experience to lead the Company to its
established goals. Nonetheless, the Company and its Board of Directors is based on the principles of good corporate governance
and in line with those of the SET. Therefore, though the Chairman and President is the same person, in practice, the Chairman of
the Board will not exercise his authority on behalf of the Board of Directors, all under the Company’s rules and regulations.
Similarly, the President’s performance must be approved by the Company’s management and the Board of Directors, comprising
independent members, who make up more than half of the Board, giving rise to a concise and transparent check-and-balance
mechanism of the performance. Furthermore, any authorization given to the President will not allow him to approve any transaction
in which he is involved as a stakeholder, or which may engender a conflict of interest with the Company, subsidiary companies or
associated companies.
(2) The Company does not limit the number of companies where its Board and senior management may hold office
because it is afraid that it will lose an opportunity of getting quality people to sit on the Board. However, it constantly reviews the
number of companies where each Board member holds office.
(3) The Board of Directors’ self-assessment is under way for consideration and definition for an appropriate guideline
and approach. Since this a sensitive issue, the Company has to be very careful before making a decision.
4.2 The Board of Directors’ Responsibility for Financial Statements
The Board of Directors is responsible for the correctness of all the financial statements, which must provide accurate
financial data that is transparent in accordance with the suitable and accepted accounting principles that are regularly practiced,
in addition to disclosing sufficient data in financial statements. The work thus goes through an examination only by the auditors
officially certified by the Securities and Exchange Commission, Thailand, and/or related agencies, including an examination by the
Audit Committee. In this regard, the Board has made a report on the Board of Directors’ responsibility for financial statements and
also displayed it in the Company’s annual report and the annual report presentation form (Form 56-1).
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4.3 Role and Duty Performance of the Board of Directors
The Company reveals the names and history of each Board director, including the roles and duties of the Board of
Directors, the Audit Committee and the Remuneration and Nomination Committee, along with details of their duty performance of
the previous year in the section “Management Structure” so that the shareholders and the people concerned may know about the
knowledge, capabilities, experiences and other significant data of the directors, who contribute to the Company’s success in its
business transaction.
4.4 Remuneration for Directors and Management
Remuneration in the Form of Money
1. Remuneration for Directors
In 2007, the Company paid the regular remuneration and the Board’s meeting allowance to the amount paid to
directors of other similar business, as well as sufficient to attract quality directors as required by the Company. The payment
procedure has to go through a consideration of the Remuneration and Nomination Committee, while the annual remuneration
amount, which does not exceed Baht 7 million, has been approved by shareholders. In 2007, remuneration in the form of money
and other remuneration amounting to Baht 6.3 million was paid to the Board.
2. Remuneration for Management
To determine the amount of remuneration for its management, the Company takes into account their annual
performance evaluation along with such other factors as the organization’s success index, tendency of insurance business growth,
the Company’s potential of payment, situation of overall labour market for each industry, as well as the consequence of survey on
other similar business’s wages and other remuneration, to create fairness and competitiveness in the market apart from attracting
quality management. All is to be scrutinized by the Remuneration and Nomination Committee. In 2007, remuneration in the form of
money and other remuneration totaling Baht 64.23 million was paid to the Company’s management.
3. Other Remuneration
None.
4.5 Investment Relations
Apart from communicating its information through various channels, the Company has assigned Mrs. Srichittra Pramojaney,
Senior Vice President of Accounting and Treasury Department, to act as an investment relations officer communicating the
Company’s information and data with investors and outsiders, besides treating them equally and fairly, as well as in a
well-arranged manner.
In this regard, investors can ask for more investment data at phone number 0 2285 7600 or email address
srichittra.p@bki.co.th.
4.6 Policy on Responsibilities to Society and Environment and Implementation Consequence has been reported in the
section on stakeholders’ rights.
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5. The Board of Directors’ Responsibilities
The Company’s Board fully realizes its roles and responsibilities as the shareholders’ representative, principally
responsible for making a decision on the Company’s significant policies and strategies. In addition, the Board will see to it that the
Company’s management has implemented the policies and strategies defined for the Company’s utmost benefit. To fulfill this goal,
the Board has implemented the principles of good corporate governance as the following:
5.1 The Board of Directors’ Structure
(1) Components of the Board
The structure of the Board of Directors consists of directors with sound knowledge and expertise and a wide
variety of skills, which are beneficial to the Company. All Board directors are able to fully devote their time and effort to their jobs
and responsibilities. They are elected through a nomination procedure defined, while their responsibilities have been clearly
defined in the Company’s management structure that no one particular person or group is allowed to have unlimited authority. It is
believed that through this structure the directors can independently perform on behalf of shareholders and there is an appropriate
check and balance of power among the Board of Directors, which consists of 12 members as follows:
A) Executive Directors 2 members, and a director who is the Company’s advisor on underwriting 1 member.
B) Non-executive Directors, who are independent, exceed one-third of the Board directors 9 members
Names of the Board of Directors, including their role, responsibilities and work performance in 2007 are given
in the section “Management Structure”.
(2) The Board of Directors’ Term of Office
The Company has clearly defined the Board of Directors’ term of office in its rules and regulations, No.23 which is
proclaimed in the Company’s website in the section “Investors”.
(3) Qualifications of Independent Directors
The Company has defined the qualifications of independent directors as the following: independent directors refer
to those having no business or activities related to the Company, which may affect their own independent decision. In 2006, the
Company’s Board of Directors had defined independent directors’ qualifications to be more rigorous than the minimum
requirements of the SEC and SET. Their qualifications include the following:
1. Have no more than 0.5 percent of all the eligible votes in the Company, subsidiary companies or associated
companies. This includes shares held by any party concerned.
2. Have nothing to do with the Company’s administration, nor its employees and advisers with a regular salary.
Neither do they have authority to control the Company, subsidiary companies or associated companies. Nor are they the auditor or
lawyer of these companies. Above all, they must not benefit from those companies, nor be their stakeholders for less than 1 year.
3. Do not benefit either directly or indirectly from financial and managerial affairs of the Company, subsidiary
companies or associated companies, or from ones having authority to control those companies.
4. Have no relationship with, nor are close relatives of senior executives or those having authority to control the
Company, subsidiary companies or associated companies.
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(4) The Company’s Secretary
The Company has assigned its Board of Directors’ secretary’s working team to act as the Company’s secretary,
including providing legal advice and rules that the Board need to know, apart from overseeing the Board’s activities and
coordinating for an implementation in accordance with the Board’s resolution.
5.2 The Sub-Committee
The Board of Directors has appointed two sub-committees to oversee the Company’s business performance to ensure
that it has good corporate governance. They consist of the following:
- The Audit Committee consists of three independent members who are non-executive directors. It regularly
convenes a meeting. In 2007, there were four meetings and reports on performance consequence were presented to the Board of
Directors. The names as well as the scope of duties and authority of the Audit Committee have been identified in the section
“Management Structure” with respect to the Audit Committee.
- The Remuneration and Nomination Committee is composed of three independent members who are non-executive
directors. The Committee will convene an ad hoc meeting when necessary, at least once a year. In 2007, the Committee had only
2 meetings to perform the mission assigned, and reported to the Board of Directors. The names, as well as the scope of duties
and authority of the Committee, have been identified in the section “Management Structure” concerning the Remuneration and
Nomination Committee.
5.3 The Board of Directors’ Roles, Duties and Responsibilities
(1) Leadership and Vision of the Board of Directors
The Company’s Board of Directors consists of knowledgeable and experienced persons from various fields who
are supportive of the Company’s administration. In 2007, all directors took part in cautiously defining and giving approval to all
important vision and policy statements, missions, strategies and business goals of the Company. They also ensure that the
Management’s performance will, as a matter of principle, be presented to the Board of Directors every three months. In addition,
the Board also occasionally plays a role in giving approval to the performance guidelines of the various sub-committees, such as
the Audit Committee, and the Remuneration and Nomination Committee.
Exercise of authority in the performance of the Company’s Board will strictly and honestly comply with laws,
regulations and shareholders’ meeting resolutions based on sound morality and rule of conduct. This is to ensure that the
Management’s performance will ultimately fulfill the Company’s goals and generate the utmost benefits for shareholders.
106

(2) Approval of Policy on Corporate Governance
In 2005, the Board of Directors approved for the first time, in writing, the formulation of the Company’s policy in
2006 so that it went in accordance with the principles of good corporate governance that had altered. In this regard, the Board has
assigned the Company’s management to take charge of a follow-up of the policy implementation in order to report
recommendations to the Board for an improvement of the policy so that it is updated and appropriate for the changing situations,
and increasingly has a practice guideline of international standard.
Details of the Company’s policy on corporate governance may be viewed on the Company’s website at
www.bki.co.th
(3) Business Code of Ethics
The Company’s Board of Directors has approved the publication of the Company’s code of ethics (rules of
conduct) to be presented to the Board and staff, including other companies’ staff employed to work for the Company. This aims at
communicating good practices to the Company’s staff so that they will use them as a principle for their work performance. In this
connection, it is the duty of all levels of management to make sure that their subordinates know, understand and actually perform
according to the Company’s code of ethics.
In 2007, the Company proceeded with its cultural program of “Your Caring Partner” a continuation from the
previous year. The practice of staff based on the Company’s code of ethics was evaluated by their superiors, with an aim to know
the effectiveness of communicating the code of ethics to the staff, and how well the staff had practiced accordingly. From the
evaluation outcome, it was found that over 95 percent of the Company’s staff was well informed of its code of ethics while over 83
percent of them had strictly complied and abided by the code of ethics defined, indicating that the communication and promotion
of the staff’s behavior on the practice of the Company’s code of ethics throughout the organization were very effective.
Details of the Company’s code of ethics can be viewed on the Company’s website at www.bki.co.th.
(4) Conflict of Interest
The Company’s Board of Directors has taken measures to impede conflicts of interest and the seeking of one’s
self-interest by defining this as a principle in the rule of conduct for both directors and staff. Additionally, the Board has assigned
the Audit Committee to oversee and report to it on crossover transactions and those with conflicts of interest. These have been
cautiously considered for appropriateness, with honesty, justification and independence based on the defined code of ethics, for
the Company’s best interest, all of which is performed in the same manner as transactions made with outsiders. Furthermore, the
Audit Committee has also performed in accordance with the SET’s criteria in reporting on and disclosing such information each
quarter in the Company’s annual report and the annual report presentation form (Form 56-1).
107

- The Use of Insider Information
In order to have control over the use of insider information, access to the Company’s information is limited to
executives and employees, and all computerized data is available only to those entitled to be entrusted with a password. The
Board of Directors and the management will not, as fundamental to their management principles, disclose the Company’s
performance data to outsiders, or exploit their authority or opportunities at work to seek any advantage for themselves, before the
data revealed to the general public.
Moreover, the Company’s Board and management must strictly follow the regulations of the Security Act and
Security Exchange Act of 1992, Section 59, reporting all their security arrangements and security transference in accordance with
the set-up form and duration. A copy of their report must be delivered to the Company on the same day.
(5) Controlling System, Internal Audit and Risk management
Observing the important internal controls at both the managerial and operational levels, the Company’s Board of
Directors sets out the responsibilities of executives and employees in writing, and also requires that the executives assess the
adequacy of internal controls at least once a year. Moreover, the Audit Department, under the control of the President, must
oversee each department’s operation. The Audit Department is encouraged to work independently, void of any intervention, which
will effectively promote internal control systems, leading to transparent administration, which will in turn benefit every stakeholder in
the Company.
For risk management, the Company’s Board of Directors has assigned its management to be responsible for
assessing both internal and external risk factors, analyzing and determining risk management measures, communicating with
concerned staff for their acknowledgement, as well as following up the consequence of implementation based on the defined
measures. The report on risk management consequence to the Board of Directors has to be made at least once a year.
5.4 The Board of Directors’ Meeting
(1) The Company’s Board of Directors will meet a minimum of once every three months. Nonetheless, there may be an
additional extraordinary meeting as the Board thinks appropriate. Each Board member will be informed of the Board’s meeting
agenda in advance so that he/she may set aside time for the meeting. In 2007, the Board of Directors’ meeting went on according
to the schedule planned, resulting in the Board members’ meeting attendance of no less than 90 percent of all the Board’s plenary
meetings.
(2) To define the meeting agenda, the Board’s secretary will compile significant issues to be put on the agenda and
propose to the Company’s President for approval, and then arrange them as the meeting agenda including other relevant
documents to be scrutinized for each agenda. Each Board member is allowed to propose an issue to be inserted on the agenda
through the Board’s secretary.
108

(3) For the delivery of the Board’s meeting documents, the Board’s secretary will send out meeting invitation letters,
including an agenda and other relevant documents, no less than 7 days prior to the date of the meeting, to all the Board members
to ensure that they have sufficient time to scrutinize the data before the meeting. In 2007, meeting invitation letters and other
relevant documents could be submitted to each Board member in time for all meetings.
(4) For each meeting, the Chairman of the Board of Directors allows each director to comment and ask questions
about business performance, risk management, internal control systems, and all other matters without prescribed time limit. In
consideration of agenda, directors who are stakeholders in any item on the agenda have no right to vote and are not allowed to be
at the meeting for that agenda. The Board’s secretary will report on the minutes of the meeting and the meeting’s resolution for the
Board’s approval at the next meeting. In addition for each meeting, a meeting report will also be systematically kept by the
secretary as a convenient reference or for examination by the Board and other related people.
(5) In 2007, for each of the Board of Directors’ meetings, at least the Company’s 4 senior executives, namely, the
Chairman and President, Director and Senior Executive Vice President, Director and Underwriting Adviser, and Senior vice President
of Accounting and Treasury Department would attend the meeting in order to answer the Board directors’ questions and doubts.
(6) For access to it, since the Board of Directors’ meeting is not convened every month, the report on the Company’s
performance is presented to each Board director each month, starting from April 2007 onwards. This is aimed at allowing the
Board to continuously oversee and control the Company’s management’s performance. Besides, the Board may ask the Chairman
and President or the Board’s secretary for additional explanations and examinations of relevant documents.
(7) For the meeting of non-executive directors, in 2006, the Board approved a policy encouraging its non-executive
directors to convene a meeting among themselves, and assigned the Board’s secretary to facilitate such a meeting. Nonetheless,
through 2007, apart from the meetings of the Audit Committee for an implementation of the missions assigned to them, the non-executive
directors had never convened a meeting among themselves.
A summary of each Board director’s meeting attendance in 2007 is given in the section “the Management” with
respect to the Board of Directors.
109

5.5 Procedure on the Determination and Appropriateness of Remuneration
The Company’s Board of Directors has a policy to determine the Board directors remuneration to the amount paid to
other listed companies’ directors of similar business or companies with approximate returns. The Board thus assigns the
Remuneration and Nomination Committee to determine the Board directors’ remuneration based on the scope of their roles and
responsibilities, including the benefits to be derived from them, before proposing it to the shareholders’ meeting for approval.
5.6 Development of the Board of Directors and Executives
The Company’s Board of Directors has a policy of promoting and supporting directors, executives and other staff,
related to the Company’s corporate governance system, to receive a regular training with an aim to constantly improve their
performance every time there is a chance in the Board. In addition, the Company has arranged for documents and data beneficial
to a new director’s duty performance.
In 2007, the Company supported 2 Board directors for an outside training as follows:
Name of Director Course Date
Mr. Witcha Damrongsinsak - Seminar for List Companies’ - September 19, 2007
Good Corporate Governance
Base on “Corporate Governance
Of Thai List Companies”
Mr. Plengsakdi Prakaspesat - Accounting for Non-Accounting - August 8, 2007
Audit Committee
- Seminar for List Companies’ - September 19, 2007
Good Corporate Governance
Base on “Corporate Governance
Of Thai List Companies”
- Accounting Principle VS Tax - October 30, 2007
Principle: Different Similarity
110

GENERAL INFORMATION
Name of Company
Registration No.
Established
Principal Lines of Business
Accounting Period Ended
Location : Head Office
Bangkok Insurance Public Co., Ltd.
0107536000625
1947
Non - Life Insurance
December 31, 2007
Bangkok Insurance Building
25 Sathon Tai Road, Bangkok 10120
Tel. 0 2285 8888
Fax: 0 2610 2100
Accident Notification Tel. 0 2285 8000 or 1620
www.bki.co.th
Branches
Central Region:
Pattanakarn
148 Soi Pattanakarn 20, Pattanakarn Road,
Suanluang, Bangkok 10250
Tel. 0 2717 8600, 0 2717 8654-7
Fax: 0 2717 8660
Rangsit
52/18 Moo 2, Rangsit - Pathum Thani Road,
Bangpoon, Muang, Pathum Thani 12000
Tel. 0 2567 1121, 0 2567 2146
Fax: 0 2567 2180
Kanchanaphisek
9/30 Moo 8, Kanchanaphisek Road,
Bangpai, Bangkhae, Bangkok 10160
Tel. 0 2865 3300, 0 2865 3445
Fax: 0 2865 3311
Ratchaburi
159/35 Phetkasem Road, Namuang,
Muang, Ratchaburi 70000
Tel. 0 3232 8016-7
Fax : 0 3232 8017
Northern Region:
Chiang Mai
102 Chiang Mai - Lampang Road, Changpuak,
Muang, Chiang Mai 50300
Tel. 0 5341 0334-8
Fax: 0 5322 3644
Phitsanulok
362/19 Moo 3, Mittraphab Road, Arunyeek,
Muang, Phitsanulok 65000
Tel. 0 5522 1760
Fax: 0 5522 1764
Southern Region:
Hat Yai
830 Phetkasem Road,
Hat Yai, Songkhla 90110
Tel. 0 7422 0961-2
Fax: 0 7423 2576
Phuket
101/9 Moo 1,
Kathu, Phuket 83120
Tel. 0 7630 4055
Fax: 0 7630 4059
Surat Thani
84/25 Moo 2, Surat - Punpin Road,
Makhamtia, Muang, Surat Thani 84000
Tel. 0 7726 4337
Fax: 0 7726 4336
Eastern Region:
Pattaya
131/27-28 Moo 9, Sukhumvit Road, Nongprue,
Banglamung, Chonburi 20260
Tel. 0 3837 6303, 0 3837 6168-9
Fax: 0 3837 6462
111

North Eastern Region:
Khon Kaen
345 Moo 4, Prachasamosorn Road, Naimuang,
Muang, Khon Kaen 40000
Tel. 0 4333 8900-4
Fax: 0 4333 8905
Northern Region:
Chiang Rai
53/16 Phaholyothin Road, Robvieng
Muang, Chiang Rai 57000
Tel. 0 5375 6952
Fax: 0 5375 6953
Nakhon Ratchasima
22/6 Mittraphab Road, Naimuang,
Muang, Nakhon Ratchasima 30000
Tel. 0 4426 9224-8
Fax: 0 4426 9223
Micro Branches
Central Region:
La Salle
1043 La Salle Road,
Bangna, Bangkok 10260
Tel. 0 2745 8805-6
Fax: 0 2745 8807
Chachoengsao
92/5 Maha Chakkraphat Road,
Namuang, Muang, Chachoengsao 24000
Tel. 0 3853 6102
Fax: 0 3853 6103
Saraburi
625/5 Pichaironarongsongkham Road, Pakprew,
Muang, Saraburi 18000
Tel. 0 3631 9097-8
Fax: 0 3631 9098
Nakhon Sawan
282/12 Moo 10, Phaholyotin Road,
Nakhon Sawan Tok, Muang, Nakhon Sawan 60000
Tel. 0 5622 8459
Fax: 0 5622 8460
Kanchanaburi
591 Saengchuto Tai Road, Pakpraek,
Muang, Kanchanaburi 71000
Tel. 0 3462 3390-1
Fax: 0 3462 3391
Southern Region :
Nakhon Si Thammarat
8/17 Pattanakarn Khukhwang, Naimuang
Muang, Nakhon Si Thammarat 80000
Tel. 0 7532 4899
Fax: 0 7532 4897
Eastern Region:
Chon Buri
40/18 Moo 9 Sukprayoon Road, Napa,
Muang, Chon Buri 20000
Tel. 0 3820 5343
Fax: 0 3820 5342
Rayong
307/29 Sukhumvit Road, Noenphra,
Muang, Rayong 21000
Tel. 0 3880 8699
Fax: 0 3861 8811
North Eastern Region:
Udon Thani
572/4 Udon-Khon Kaen Road, Banjun
Muang, Udon Thani 41000
Tel. 0 4234 1040
Fax: 0 4234 1041
Ubon Ratchathani
217/1 Phadaeng Road, Naimuang
Muang, Ubon Ratchathani 34000
Tel. 0 4524 3221
Fax: 0 4524 5291
112

Motor Claims Service Centers
Central Region:
Nakhon Pathom
Bangkok Life Assurance Building,
Nakhon Pathom Branch
160/22-23 Moo 1, Songphon Road,
Lumpaya, Muang, Nakhon Pathom 73000
Mobile 08 1983 2231
Suphan Buri
Bangkok Insurance Public Co., Ltd., Agent Office
275/13 Malaiman Road, Sanamchai,
Muang, Suphan Buri 72000
Mobile 08 1983 2237
Pranburi
Bangkok Insurance Public Co., Ltd., Agent Office
267 Moo 2, Phetkasem Road, Nongtatam,
Pranburi, Prachuabkirikhan 77120
Mobile 08 1983 2207
Northern Region:
Lampang
Bangkok Insurance Public Co., Ltd., Agent Office
79/3-1 Phaholyothin Road, Sobtui,
Muang, Lampang 52100
Mobile 08 1983 0214
Uttaradit
Bangkok Insurance Public Co., Ltd., Agent Office
2/85 Padwaree Road, Tha - It,
Muang, Uttaradit 53000
Mobile 08 1928 7952
Southern Region:
Chumphon
Bangkok Life Assurance Building, Chumphon Branch
181 Kromluang Road, Ta Tapao,
Muang, Chumphon 86000
Mobile 08 1928 8092
Krabi
Bangkok Life Assurance Building, Krabi Branch
2-4 Maharaj Road, Paknam,
Muang, Krabi 81000
Mobile 08 1928 8079
Eastern Region:
Chanthaburi
Bangkok Life Assurance Building, Chanthaburi Branch
29/10-11 Phrayatrang Road, Wat Mai,
Muang, Chanthaburi 22000
Mobile 08 1928 8071
North Eastern Region:
Burirum
Sathien Garage Ltd., Partnership
451/63 Jira Road, Naimuang
Muang, Burirum 31000
Mobile 08 1928 7980
Sakon Nakhon
Bangkok Life Assurance Building, Sakon Nakhon Branch
474/1-2 Jaipasuk Road, Thatchoengchom,
Muang, Sakon Nakhon 47000
Mobile 08 1928 7967
BKI Care Station
Central Rattanathibet 2 nd Floor
Tel. 0 2525 4566, 08 1875 0203
Silom Complex 3 rd Floor
Tel. 0 2632 0194, 08 9204 9798
Central Pinklao 2 nd Floor
Tel. 0 2884 8282, 08 4751 7179
Central Phuket 2 nd Floor
Tel. 0 7624 8084, 08 1737 0053
The Mall Bangkapi 2 nd Floor
Tel. 0 2363 3157, 08 4874 3926
Fashion Island 1 st Floor
Tel. 0 2947 5670, 08 1373 7951
Central Rama II 2 nd Floor
Tel. 0 2872 4060, 08 1373 8400
113

LINES OF BUSINESS
Fire & Allied Lines
Marine
- Marine Hull Insurance - Carriers’ Liability Insurance
- Marine Cargo Insurance
Motor Vehicle
- Compulsory Insurance - Voluntary Insurance
Miscellaneous
- Money Insurance - Workmen’s Compensation Insurance
- Burglary Insurance - Employer’s Liability Insurance
- All Risks Insurance - Directors’ and Officers’ Liability Insurance
- Plate Glass Insurance - Medical Malpractice Liability Insurance (Practitioners)
- Golfer’s Indemnity Insurance - Medical Malpractice Liability Insurance (Institution)
- Neon Sign Insurance - Professional Liability Insurance Architects and Engineers
- Home Multicover Insurance - Trade Credit Insurance
- Shop Multicover Insurance - Terrorism Insurance
- Fidelity Guarantee Insurance - Personal Accident Insurance
- Bail Bond Insurance - Travel Accident Insurance
- Gold Shop Insurance - Personal Accident and Health Insurance
- Jewellry Block Insurance - Cancer Insurance
- Contractor’s All Risks Insurance - Hospital Cash Benefit Insurance
- Erection All Risks Insurance - Avian Infuenza Insurance
- Machinery Breakdown Insurance - Group Accident and Health Insurance
- Boiler & Pressure Vessel Insurance - Group Personal Accident Insurance
- Contractors’ Plant All Risks Insurance - Comprehensive Travel Accident Insurance
- Electronic Equipment Insurance - Critical Illness Insurance
- Public Liability Insurance - Loan Protection Insurance
Aviation
- Aircraft Hull, Spares & Liability Insurance - Loss of License Insurance
- Airport Owners and Operators Liability Insurance - Aviation Hull Deductible Insurance
- Aviation Personal Accident Insurance - Aviation Hull War Risks & Allied Perils Insurance
Reinsurance
- Facultative Reinsurance - Treaty Reinsurance
OTHER REFERENCE PERSONS
Securities Registra
Thailand Securities Depository Co., Ltd.
4, 7 th Fl. The Stock Exchange of Thailand Building,
62 Rachadapisek Road, Klongtoey, Bangkok 10110
Tel. 0 2229 2800, 0 2654 5599
Fax: 0 2359 1259
email: contact.tsd@set.or.th
www.tsd.co.th
Trustee
-None-
Auditor
Mr. Sophon Permsirivallop
Ernst & Young Office Limited
33 rd Floor, Lake Rajada Office Complex
193/136-137 Rajadapisek Road
Klongtoey, Bangkok 10110
Tel. 0 2264 0777, 0 2661 9190
Fax: 0 2264 0789-90, 0 2661 9192
email: ernstyoung.thailand@th.ey.com
C.P.A (Thailand) Registration No. 3182
Legal Adviser
Manukit Low Office
59/6 Suapa Road, Bangkok 10100
Tel. 0 2221 6226
Fax: 0 2221 3191
Financial Adviser
-None-
Adviser or Management Team Under Agreement
-None-
Principal Financial Institution
Bangkok Bank Public Co., Ltd.
114