Cathay Century Insurance adopts a strict corporate governance structure and operates simultaneously with a dual-track system of directors and supervisors, and jointly viewing the accounting system, operating and financial conditions of the Company. Cathay Century Insurance further communicates closely with the Company's CPAs and actuaries to jointly assess, review and supervise existing or potential risks within the enterprise.
In addition, to improve the planning and execution of the Company's business strategy, independent directors are set to effectively supervise the operation of the Board of Directors, strengthening the functions of the Board of Directors. CS Report
The Board of Directors is the highest governing body of Cathay Century Insurance. In addition to considering the economic, environmental and social expertise and experience of each director, the independent directors are nominated in accordance with the "Regulations Governing Appointment of Independent Directors and Compliance Matters for Public Companies" to ensure independence and diversity. A total of 8 Board meetings were held in 2023, which cover various topics including economy, environment, and society. The attendance rate was 75% or above. To enhance the group intelligence, the members of the Board of Directors of Cathay Century Insurance participated in the further education every year. In 2023, our 12 directors and supervisors received 138.5 hours of training, and 70 training hours were associated with corporate sustainability. The Board of Directors of Cathay Century Insurance is composed of 7 directors and 2 independent directors, the composition of which encompasses members of different ages and with different industrial expertise, professional knowledge, and capabilities.
Cathay Century Insurance conducts Board performance evaluation in accordance with the “Insurance Industry Corporate Governance Best Practice Principles” and reviews the directors and supervisors’ performance on an annual basis through “self-evaluation” and “peer evaluation,” with remuneration adjustments linked to performance. In 2023, overall Board performance received an “Excellent” rating, and we disclosed remuneration of directors in the annual report in accordance with the “Regulations Governing Information to be Published in Annual Reports of Public Companies.” Remuneration from profit distributions is allocated and appropriated to the parent company which holds Company shares in accordance with profit distribution proposals approved by Shareholders’ meetings. Business expenses, including travel expenses and other expenses, are provided based on actual directors and supervisors’ needs for business execution.
All Cathay Century Insurance’s resolutions on AML are reviewed and approved by the AML and Anti-Financial Terrorism Committee (hereinafter the “AML/CFT Committee”) before submission to the Board of Directors for review. The AML/CFT Committee convenes meeting every quarter to develop annual plans for relevant issues, compile reports on AML operations, and conduct institutional risk assessments to regularly raise awareness of AML among our employees periodically through education and training. In 2023, all employees participated in a total of 2,293 hours of AML and CFT education and training.
In addition, to help employees of the Comp any better understand how to prevent and determine whether ethical conflicts are present in business operations, the Company provides a detailed "Moral Conflict Inspection Checklist" and "Self-doubt Operations List" in the "Code of Conduct for Employee" to assist employees in relevant inspections.