Dear Shareholders,

The year 2025 presented a complex and evolving landscape for Green Delta Insurance. We navigated a confluence of challenges, including elevated claims, persistent inflationary pressures impacting currency valuation, rising operational and service costs, and the lingering effects of political uncertainty. These factors, compounded by the global economic climate stemming from the 2022-23-dollar crisis and the war in Ukraine, significantly influenced our industry. Remitting funds abroad for reinsurance premiums, a critical component of our business, was particularly challenging. We addressed these hurdles through strategic measures and a steadfast commitment to our stakeholders.

The political climate contributed to a surge in claims, demanding a robust response. We strengthened our underwriting practices, tightened reinsurance coverage, and prioritized retention. Recognizing the significant health losses experienced in 2023, we restructured our health portfolio approach, moving away from standalone health policies to mitigate risk. We also focused on recruiting engineering expertise for preliminary loss assessments to improve our claims management process. Despite these pressures, we maintained our cost leadership strategy.

Our commitment to our employees remained unwavering, focusing on retention and well-being. We actively worked to redeploy employees impacted by restructuring. This commitment extends to our wider community through our deep involvement in microinsurance and SDG initiatives. We are proud of the progress made in insuring over 1.4 million farmers in just six years. Our work in developing the SME insurance segment, in collaboration with the Central Bank, further underscores our commitment to creating need-based solutions.

We are proud to have received several prestigious awards and recognitions, further validating our strategic direction and operational effectiveness. For the second consecutive year, we were honored with the National Insurance Award for our successful track record of claim settlement, a distinction unmatched by any other insurance company in Bangladesh. This recognition, along with being recognized as a Large Taxpayer for the second time by the National Board of Revenue, accentuates our assurance for responsible financial practices.

Our balance sheet reflects our financial strength, with total assets of BDT 14,242,724,530 and total liabilities of BDT 7,405,448,155. Our diversified investment portfolio, totaling BDT 6,067,638,802, emphasizes our prudent investment strategy. Claims reserves stand at BDT 167,902,174. Key financial ratios highlight our strong performance, with an ROE of 9% and an ROA of 4%.

Our financial strength and stability were reaffirmed by maintaining our AAA credit rating from CRAB for the 11th consecutive year. We also continued our tradition of excellence in financial reporting, receiving the Gold Award at the 24th ICAB National Awards for the best presented annual report (insurance category), our eighth such accolade since 2010.

Our market share in key product segments demonstrates our strong market presence. We have surpassed 100,000 policyholders, with a customer acquisition and retention rate exceeding 80%. We paid claims exceeding BDT 70 crore, with outstanding claims of over BDT 266 crore. Our claims settlement ratio stands at 79%. We operate 37 branches strategically located across the country.

Currency fluctuations presented a significant challenge. To mitigate exchange losses, we strategically accepted payments in dollars where possible, working closely with our banking partners. We also focused on building relationships with clients demonstrating sound financial health and proactively avoided those facing cash flow crises.

Enhancing customer service remained a top priority. Despite the political climate and its impact on business activity, we continued our digital transformation journey. Recognizing the need for cost consolidation, we strategically merged some branches while simultaneously investing in our digital platform. This allowed us to offer seamless digital policy purchases and claim processing. A key highlight of this effort is our unique Digital Hub, a space designed to foster innovation within the insurance sector and beyond. This hub serves as an incubator for start- ups, particularly those aligned with our ESG goals, providing them with resources, mentorship, and a platform for collaboration. We believe this initiative not only strengthens our digital ecosystem but also contributes to the growth of promising ventures.

Our commitment to our employees remained unwavering. We focused on retaining our critical team members, ensuring their well-being and motivation. We actively worked to redeploy employees whose roles were impacted by restructuring, ensuring no one was left behind. This commitment extends to our wider community through our deep involvement in microinsurance and SDG initiatives. We are proud of the progress we have made in insuring over 1.4 million farmers in just six years, a testament to our dedication to financial inclusion and sustainable development. This effort, driven by our CSR funds and partnerships, demonstrates our belief in the power of microfinance to uplift communities and generate mutual benefit. Our work in developing the SME insurance segment, in collaboration with the Central Bank, further underscores our commitment to creating need-based, customer-driven solutions.

Our dedication to sustainability was recognized with the SDG Brand Champion award in the ‘Sustainable Community’ category from the Bangladesh Brand Forum, highlighting our innovative approaches to building sustainable communities while addressing multiple SDGs. Furthermore, our investment in talent development was acknowledged by ACCA granting us Trainee Development Gold status, making us only the second employer in Bangladesh to achieve this recognition.

Looking ahead, our key priorities include continued cost reduction, maintaining a motivated workforce, expanding our digital platform, and focusing on sustainable projects. We are leveraging technology through initiatives like our business intelligence and R&D teams to identify profitable sectors and manage risk effectively. Bancassurance is a key growth driver, and we are working to expand our partnerships in this area.

We anticipate several key challenges and risks in the coming years, including credit risk, loss claims, catastrophes, political risk, and revenue generation. We are mitigating these risks through enhanced underwriting, process improvements, and continuous engagement with stakeholders. We see growth opportunities in various areas, including our Impact business, bancassurance, digital segment, women’s segment, and our work with start-ups. The launch of Pet Insurance is an example of our ongoing product diversification efforts.

Our long-term growth strategy is built on the pillars of People, Product, and Process, supported by research, continuous learning, and a commitment to innovation. We are exploring expansion into new markets and segments, including pet insurance, pharmaceuticals, and specific motor insurance segments. Sustainability is embedded in all our operations, and we are committed to integrating SDG principles into our business practices. We are actively engaging with our customers through various initiatives, including digital platforms and community events. We are also working to expand our presence in export processing zones and develop corporate guarantee schemes to support this sector. We maintain our commitment to ethical business practices and sustainable growth, prioritizing compliance, and governance.

Green Delta Insurance recognizes the significant contribution of Export Processing Zones (EPZs) to Bangladesh’s economy and has strategically positioned itself to serve this vital sector. Beyond catering to the needs of three other EPZs through its branch network, Green Delta maintains a dedicated presence in the Mirershorai EPZ, demonstrating its commitment to providing tailored insurance solutions and support to businesses operating within these zones. This focused approach allows Green Delta to better understand the unique risks and requirements of EPZ-based businesses, fostering stronger relationships and facilitating seamless service delivery. This dedicated presence also allows Green Delta to further its impact business goals, promoting sustainable practices and supporting the growth of businesses that contribute to both economic development and positive social outcomes within these key industrial areas. Finally, our regional leadership was celebrated with the Gold award in the ‘General Insurance’ category at the SAFA BPA Awards 2023, competing against insurance companies from eight South Asian countries. These achievements reflect the dedication and hard work of our team and reinforce our commitment to being a leading and responsible insurer.

The geopolitical scenario continues to pose challenges, particularly in managing reinsurance payments and mitigating exchange rate risk. We are actively addressing these issues through strategic financial management and close collaboration with our banking partners. Despite the challenges, we remain confident in the future of Green Delta Insurance. Our diversified business model, commitment to innovation, and focus on sustainability position us well for continued growth and success. We are grateful for the support of our shareholders, customers, and employees, and we look forward to a successful year ahead.

Thanking you, I would like to express my sincere gratitude to our esteemed shareholders for their continued trust and support. Your confidence in Green Delta Insurance fuels our drive to excel and deliver strong results. I also extend my heartfelt thanks to our dedicated employees, whose hard work, resilience, and innovative spirit are the cornerstone of our success. Navigating the challenges of 2025 required a collective effort, and I am immensely proud of the team’s unwavering commitment. I am also grateful to our valued customers for their loyalty and partnership. We are committed to serving your needs and exceeding your expectations. Finally, I thank our regulatory bodies and partners for their guidance and collaboration. We look forward to continuing this journey of growth and success together in the years to come.

Sincerely,

Farzanah Chowdhury
Managing Director and CEO