ANNUAL REPORT 2021 FINAL

1

About the cover/
Mission • Vison • Core Values

About The Cover

PSMBFIbelieves in the value of PARTNERSHIP.
It boosts our competitiveness,
increases our visibility, and strategically positions our
association in the industry.

After twenty-four years, we have already formed a
strong collaboration with thirteen public safety agencies
whose ideals are as realistic as ours. We’re all on the
same page, and our goals are straightforward: to serve
and protect.

However, the path is not without difficulties. Various
challenges are constantly threatening the partnerships.
Overcoming them, on the other hand, would be just as
simple if you and your partner shared the same values.

Our cover embodies all of these characteristics and more. The design is comprised of
three elements: the Flying Goose, which represents our Organization; the Wheel, which
represents our Partner Agencies; and the Inverted Triangles, which represent the public
safety sector. All of these elements are depicted in a synchronized upward movement with
the goose, implying oneness in our goal of reaching greater heights. The PSMBFI colors of
red, green, and blue are used throughout the design to symbolize our desire to strengthen
our relationships with our stakeholders, members, and the rest of the public safety sector.

VISION MISSION CORE VALUES

“We shall be the • To provide timely and • Unparalleled member
organization of choice quality financial services experience
for our public safety
for all public safety practitioners and their • Professionalism
practitioners providing families
member-centered financial • Integrity
services that give protection • To provide a nurturing
and peace of mind.” and empowering work • Respect in the
environment for our workplace
employees
• Excellence
• To maintain fair,
honest, and sustainable
relationship with our
stakeholders

2 2021 Annual Report

2 About The Cover
Mission • Vision • Core Values

4 Message from the Chief,PNP

6 Message from the Chairman

8 Message from the President & CEO

10 The Board of Trustees - Committees and

Corporate Officers

22 The President’s Report 2021

36 Corporate Governance Report

45 PSMBFI Departments and Offices

48 Continuing Strong Partnership

50 Looking Back on 2021: A Year in Review

53 Report of Independent Auditor

62 PSMBFI Offices

63 Lesson from the Geese

TABLE OF CONTENTS

MESSAGE OF THE CHIEF,PNPMESSAGE OF THE CHIEF,PNP

PGEN DIONARDO B CARLOS

Chief, Philippine National Police

4 2021 Annual Report

MESSAGE OF THE CHIEF,PNP

Republic of the Philippines
NATIONAL POLICE COMMISSION

NATIONAL HEADQUARTERS, PHILIPPINE NATIONAL POLICE
OFFICE OF THE CHIEF, PNP

Camp Crame, Quezon City

My warmest greetings to all the members of the Public Safety Mutual
Benefit Fund, Inc. (PSMBFI). As Chief of the Philippine National Police
(PNP), I congratulate the Association for its significant accomplishments for
CY 2021.

The PSMBFI has come a long way from its days as a new association and now
as one of the top Insurance providers and stakeholders of the PNP and other
public safety agencies. As the PNP intensifies its fights against criminality,
illegal drugs, Insurgency, and terrorism, we are thankful that the PSMBFI
continues to instill awareness on the importance of insurance and to provide
the needed protection for those who enforce the rule of law and compromise
their life In the process.

It Is my paramount concern to ensure that our police officers are covered
by credible insurance systems, considering the hazards of our job. Hence, I
encourage our PNP personnel to prepare themselves for any eventuality and
plan for the protection of their loved ones. The PSMBFI extends financial
assistance to the beneficiaries of those who are killed in the line of duty,
cases of accidental deaths, or hospitalization due to accidents. The Fund is
always among the first to provide assistance to its members during disasters
and calamities.

Thus, I commend the Board of Trustees, the top management, the managers
of the PSMBFI for your commitment, dedication, and the good work that you
do. But let me commend foremost our hardworking employees who worked
tirelessly to efficiently serve the members of the Association. Despite the many
challenges during the surge of COVID-19 cases nationwide, they displayed
dedication to serve their members, contributing significantly in boosting their
morale. May you all continue devoting yourselves to looking after the welfare
of our battle-hardened public safety practitioners.

Maraming salamat PSMBFI.

5

Message from the Chairman

I am honored to present the Annual Report of the Public Safety Mutual
Benefit Fund, Inc. for the year 2021. The remarkable accomplishments
of PSMBFI in 2021 are discussed in the ensuing pages of this report.

Our theme “Continuing Strong Partnership” is a way of extending
gratitude to thirteen partner agencies which entrusted their personnel to
the care of PSMBFI. The accomplishments done in 2021 will not be possible
without their invaluable support.

The year saw the surge of Covid-19 infected cases and death soaring
nationwide. This only raised higher the public’s awareness and their need
for life insurance in the face of an invisible enemy. Thus, by working hand
in hand with our partner agencies and meeting with them virtually, we were
able to provide more public safety practitioners with PSMBFI insurance.

Over-all, it was an enormous task to steer PSMBFI operations in
the midst of the worst health and economic crisis of this century. Many
of our activities were disrupted due to travel restrictions, strict health
protocols, office/camp prolonged lockdowns, and employees on quarantine.
Nevertheless, it was “business as usual” for our dedicated employees
who had the drive to outperform themselves each year which resulted to
the significant increase in membership strength and company assets. I
personally thank them for working doubly hard to contribute with the
Association’s business continuity planning.

More than ever, PSMBFI was in solidarity with its members as they
rendered public service, those infected by the Covid-19 virus, and whose
properties severely affected by typhoon Odette. We can never turn our
backs to those injured in line of duty and the beneficiaries who lost their
loved ones.

PSMBFI remains committed to promoting and further strengthening its
partnership with public safety agencies. We will remain of service wherever
else Divine Providence will bring us. More challenges may linger this 2022,
but it will also be an opportunity for us to do things better.

6 2021 Annual Report

Message from the ChairmanMessage from the Chairman

PLTGEN ISRAEL EPHRAIM T DICKSON

Chairman, PSMBFI

7

Message from the PresidentMessage from the President & CEO

ATTY. JOEL NAPOLEON M. CORONEL

President & CEO, PSMBFI

8 2021 Annual Report

Message from the President & CEO

Warm greetings!

I hope this message finds you and your loved ones safe and well. I would like to take
a moment to thank you for your continued partnership and trust during what has been
the most difficult time most of us have ever faced. I would also like to reflect on what
we’ve accomplished together in order to rekindle our optimism and renew our energies
as we face the remaining challenges of this year.

We have all been affected in some manner by the pandemic, whether personally
or professionally. And, as with any crisis, opportunities came as a result of it. The
pandemic ushered in a new era of health knowledge and vigilance in the public safety
sector. And the efforts of our public safety personnel have been vital in facing the crisis
head on.

As the President of a dynamic and progressive company serving more than 200,000
public safety practitioners, I intend to establish closer and stronger ties with these
modern-day heroes, all of whom come from our thirteen partner agencies whose
respective vision and mission align with our Association’s goal: to secure and protect.
While you go about your daily duties of preserving the safety and security of people
and their property, patrolling defined areas, and responding to calls, PSMBFI, as your
trusted partner, ensures that your life and the welfare of your family are safeguarded.

I am glad to look back and recognize that we did more than just survive the storm. I
am happy to share that despite some setbacks caused by the health crisis, we are able
to assist the families of our deceased members and release basic life insurance claims,
as well as award benefits such as Killed-In-Action, Wounded-In-Action, Accidental
Death and Disability, Accident Hospitalization, and free insurance for our members’
dependents.

Our Corporate Social Responsibility Program continues to provide financial assistance
to our members who are sick, injured, or otherwise unable to work because they are not
covered by the Equity Plan’s provisions. Aid is also being provided to those who have
been affected by recent disasters. In addition, PSMBFI provides financial assistance
to members infected with the Covid19 virus. This has been a constant commitment to
them since the outbreak.

Our dedication to our members and stakeholders is what motivates us to accomplish
these, and more. Looking forward, we are anchored in our strategic plan, which places a
greater emphasis on the partnerships that we cultivate on a daily basis.

Again, we would like to express our heartfelt appreciation to you, dear members, for
your active participation and support of the Association over the years. We truly value
your inputs and have taken note of your observations. Throughout our work, a strong
partnership is essential and this cannot be overstated. Together, let us shape the road
ahead for the sake of our families’ and our own well-being.

Mabuhay! 9

The Board of Trustees and Committees

The Board of Trustees supervises and controls the business, property, funds, and affairs of the
Association. It adheres to rules and regulations that are consistent with the law and with its
charter and by-laws in the management of the business.

BOARD COMMITTEES

The Executive Committee is organized to evaluate resolutions, projects, or activities for
Board action. It may also act on all other matters upon its own initiative or as may be
delegated by the Board.

The Governance Committee provides for the Board’s effectiveness and continuing
development, and assists the Board in all matters relating to corporate governance and in
making recommendations as described in this Charter or as requested by the Board and
such other matters as:

a. Corporate governance policies and practices;
b. Director nomination;
c. Board and management review and evaluation;
d. Review of possible conflicts of interest;
e. Director compensation;
f. Director orientation and education;
g. Organizational Structure;
h. Screening and remuneration;
i. Review of by-laws and other policies;
j. Review and performance evaluation of contracted services; and
k. Other delegated duties or responsibilities.
The Membership Committee is created primarily to assist the Board in all matters relating to
membership such as but not limited to expansion, recruitment, retention and renewal.
It shall also act on any and all matters upon its own initiative or upon delegation of the Executive
Committee and the Board.

10 2021 Annual Report

The Board of Trustees and Committees

The Information Technology Committee is created to assist the Executive Committee evaluate
and/or supervise IT-related activities to ensure that the functions, objectives, and processes of the
Company are vigorously carried out in pursuit of its Vision and Mission.

It may also act on any and all IT-related matters upon its own initiative or upon delegation of
the Executive Committee.

The Risk and Audit Committee assists the Board in carrying out its responsibilities for policy
formulation; in fulfilling its oversight responsibility relating to risk management systems; in overseeing
the Company’s financial reporting, internal control structure, and the internal and external audit
functions; in overseeing its funds management functions; in complying with legal and regulatory
matters; and in making recommendations in relation to all matters within its responsibility as
described in this Charter or as requested by the Board.

Project Management Group provides guidance on project business concerns pertaining to the
landbanking for and construction of PSMBFI Regional Offices and other special projects that the
Association will embark on.

The Committee ensures that an overall set of risk management policies and procedures exist for
the Company; reviews the adequacy of the Company’s risk management framework/process;
and reviews the result of the annual risk assessment. The Committee shall regularly oversee the
Company’s process for management and communication of key risks encountered by the
Company, as well as the guidelines, policies, and processes for monitoring and mitigating such
risks, and for other matters concerning the internal and external risks faced by the Company.

The Committee shall oversee the fairness of the Company’s financial statements and the
soundness of its financial reporting process, the robustness of its internal control and internal audit
activities, and the annual external independent audit of the financial statements.

The Committee’s principal functions are oversight, review and monitoring.

11

The Board of Trustees and Corporate Officers

DIR ISRAEL EPHRAIM T DICKSON DIR MARIO A AVENIDO

BORN: MARCH 27, 1966 • AGE: 56 BORN: NOVEMBER 18, 1957 • AGE: 64

EDUCATIONAL BACKGROUND EDUCATIONAL BACKGROUND

POST GRADUATE STUDIES POST GRADUATE STUDIES

School: St Ferdinand College School: Manuel L Quezon University

Degree: Degree: Master in Public Administration

Year Graduated: 1999 Year Graduated: 1995

COLLEGE Philippine Military Academy COLLEGE Philippine Military Academy
School: Bachelor of Science School: Bachelor of Science
Degree: 1987 Degree: 1981
Year Graduated: Year Graduated:
EXPERIENCE
Position: School: Siliman University
Inclusive Dates: The Deputy Chief of Operations, PNP Degree: Bachelor of Science in Civil Engineering
Position: May 8, 2021 to Present Year Graduated: 1975
Inclusive Dates:
Position: The Chief of Directorial Staff, PNP Position: EXPERIENCE
April 20, 2021 to May 7, 2021 Inclusive Dates: Director, Finance Service, PNP
Inclusive Dates: Position: February 14, 2013 to November 15, 2013
Director, Police Co Director, Directorate for Integrated Inclusive Dates: Regional Director, Police Regional Office ARMM, PNP
Police Operations - Northern Luzon, PNP Community Position: February 23, 2012 to January 4, 2013
Relations Group, PNP Inclusive Dates:
February 1, 2021 to April 20, 2021 Position: Director, Police Community Relations Group, PNP
November 3, 2010 to February 22, 2012
Position: Acting Director, Directorate for Integrated Police Inclusive Dates: Deputy Director, Directorate for Police Community
Inclusive Dates: Relations, PNP
Operations - Northern Luzon, PNP November 3, 2010 to February 22, 2012
February 1, 2021 to April 20, 2021

Position: Director, Directorate for Personnel and Records
Inclusive Dates:
Management, PNP
November 16, 2020 to January 30, 2021

Position: Director, Civil Security Group, PNP APPOINTMENT WITH PSMBFI
Inclusive Dates: November 16, 2020 to January 30, 2021
Position: Position: Vice Chairman
Director, Directorate for Integrated Police Operations - Date Elected / Appointed: April 17, 2021
Inclusive Dates: Visayas, PNP
Position: February 1, 2021 to April 20, 2021 Position: President/CEO
Inclusive Dates: Date Elected / Appointed: February 28, 2014
Regional Director, PRO COR, PNP
November 16, 2020 to January 30, 2021 Position: Vice President
Date Elected / Appointed: January 30, 2014

APPOINTMENT WITH PSMBFI Position: Corporate Treasurer
Date Elected / Appointed: February 27, 2013

Position: Chairman
Date Elected / Appointed: May 28, 2021.

Position: Member, Board of Trustees
Date Elected / Appointed: December 17, 2020

12 2021 Annual Report

The Board of Trustees and Corporate Officers

ATTY. JOEL NAPOLEON M CORONEL DIR JOSE MELENCIO C NARTATEZ, JR.

BORN: FEBRUARY 11, 1965 • AGE: 57 BORN: MARCH 19, 1971 • AGE: 51

EDUCATIONAL BACKGROUND EDUCATIONAL BACKGROUND

POST GRADUATE STUDIES POST GRADUATE STUDIES

School: University of the Philippines School: Polytechnic University of the Philippines

Degree: Bachelor of Laws/Juris Doctor Degree: Master in Public Administration

Year Graduated: 1998 Year Graduated: 2007

COLLEGE Philippine Military Academy COLLEGE Philippine Military Academy
School: Bachelor of Science School: Bachelor of Science
Degree: 1987 Degree: 1992
Year Graduated: Year Graduated:

Position: EXPERIENCE Position: EXPERIENCE
Inclusive Dates:
Inclusive Dates: Director, Criminal Investigation and Detection Group, Position: Director, Finance Service, PNP
Position: PNP Inclusive Dates: February 14, 2013 to November 15, 2013
Inclusive Dates: October 20, 2019 to January 20, 2021 Position:
Position: Acting Director, Finance Service, PNP
Inclusive Dates: Regional Director, Police Regional Office 3, PNP Inclusive Dates: February 14, 2013 to November 15, 2013
November 20, 2018 to October 19, 2019 Position:
Inclusive Dates: Acting Executive Officer, Directorate for Research and
District Director, Manila Police District, PNP Development, PNP
July 1, 2016 - November 19, 2018 February 23, 2012 to January 4, 2013

APPOINTMENT WITH PSMBFI Deputy Director For Admin, Finance Service, PNP
November 3, 2010 to February 22, 2012

Position: President/CEO APPOINTMENT WITH PSMBFI
Date Elected / Appointed: April 17, 2021
Position: Corporate Treasurer
Date Elected / Appointed: February 27, 2013

13

The Board of Trustees and Corporate Officers

DIR RODOLFO A COLLADO JR PMGEN NAPOLEON C TAAS

BORN: NOVEMBER 22, 1965 • AGE: 56 BORN: JUNE 20, 1962 • AGE: 60

EDUCATIONAL BACKGROUND EDUCATIONAL BACKGROUND

COLLEGE POST GRADUATE STUDIES
School:
Degree: Lyceum Polytechnic of the Philippines School: University of Asia and the Pacific
Year Graduated: Bachelor of Science, Major in Criminology
2019 Degree: Strategic Business Economics Program

Year Graduated: 2015

School: Laguna College of Business and Arts School: Information Systems Audit and Control Association
Degree: Bachelor of Arts, Major in Psychology (ISACA)
Degree: Certified Information Security Manager (CISM)
Year Graduated: 1998 Year Graduated:
2014

Position: EXPERIENCE School: Philippine Christian University
Inclusive Dates: Degree: Master in Management
Position: Chief Executive Senior Police Officer, PNP Year Graduated: 1998
June 15, 2021 to December 30, 2021
Inclusive Dates: COLLEGE US Military Academy, West Point, New York
Position: Regional Executive Senior Police Office, Police School: Bachelor of Science in Civil Engineering
Regional Office 4A (CALABARZON), PNP Degree: 1984
Inclusive Dates: December 2012 to June 2021 Year Graduated:
Position: Chief Clerk, Regional Intelligence Division Police
Regional Office 4A (CALABARZON), PNP Position: EXPERIENCE
Inclusive Dates: July 2010 - December 2, 2012 Inclusive Dates:
Position: Position: Commander, ASEAN 2017 Security Task Force
Plans PNCO/PSS PNCO/Operations, PNC/LES November 2016 to December 2017
Inclusive Dates: PNCO, Regional Operations and Plans Division Police Inclusive Dates:
Regional Office 4A (CALABARZON), PNP Position: Director, Directorate for Information and
1992 to July 2010 Communications Technology Management, PNP
Inclusive Dates: 2016
First Sergeant, Regional Command 4, Regional Position:
Special Action Force, PNP Director, Information and Technology Management
September 1988 to July 1992 Inclusive Dates: Service, PNP
Position: August 2013 to 2015
APPOINTMENT WITH PSMBFI Inclusive Dates:
Commander, Anti-illegal Drugs Special Operations
Position: Member, Board of Trustees Task Force, PNP
Date Elected / Appointed: June 29, 2021 January 2013 to August 2013
Senior Executive Assistant, Office of the Chief, PNP
Position: Member, Board of Trustees 2008 to 2009
Date Elected / Appointed: May 25, 2019

APPOINTMENT WITH PSMBFI

Position: Corporate Auditor
Date Elected / Appointed: August 29, 2013

14 2021 Annual Report

The Board of Trustees and Corporate Officers

DIR CATHERINE E TAMAYO-CIPRIANO DIR RICARDO C MARQUEZ

BORN: JUNE 2, 1978 • AGE: 43 BORN: AUGUST 28, 1960 • AGE: 61

EDUCATIONAL BACKGROUND EDUCATIONAL BACKGROUND

POST GRADUATE STUDIES POST GRADUATE STUDIES

School: University of Iloilo School: University of Asia and the Pacific

Degree: Bachelor of Laws Degree: Certificate in Business Economic

Year Graduated: 2008 Year Graduated: 2018

COLLEGE Central Philippine University School: Philippine Christian University
School: AB Political Science Degree: Master in Management
Degree: 2000 Year Graduated: 1996
Year Graduated:
COLLEGE
Position: EXPERIENCE Philippine Military Academy
School: Bachelor of Science
Inclusive Dates: Legal Officer, Women and Children Protection Center Degree: 1982
Position: (WCPC), PNP Year Graduated:
2014 to Present
Inclusive Dates: Position: EXPERIENCE
Position: OIC, Transnational Criminal Investigation Task Force Inclusive Dates: The Chief, PNP
Inclusive Dates: (TCITF), WCPC, PNP Position: July 16, 2015 to June 28, 2016
Position: August 2020 to Present Inclusive Dates: The Director for Operations, PNP
Position: December 13, 2014 to July 15, 2015
Inclusive Dates: Legal Officer, Anti-Cybercrime Group (ACG), PNP Inclusive Dates: Regional Director, PRO 1, PNP
2014 to Present January 9, 2013 to December 12, 2013

Legal Officer, Police Safety and Protection Group
(PSPG), PNP
2014 to Present

APPOINTMENT WITH PSMBFI

APPOINTMENT WITH PSMBFI Position: Member, Board of Trustees
Date Elected / Appointed: April 17, 2021
Position: Member, Board of Trustees Position: Chairman, Board of Trustees
Date Elected / Appointed: August 14, 2020 Date Elected / Appointed: August 25, 2015

15

The Board of Trustees and Corporate Officers

DIR JUANITO B VAÑO JR DIR HERMINIO S TADEO JR

BORN: MAY 30, 1960 • AGE: 61 BORN: MAY 24, 1966 • AGE: 55

EDUCATIONAL BACKGROUND EDUCATIONAL BACKGROUND

POST GRADUATE STUDIES POST GRADUATE STUDIES

School: Philippine Christian University School: Philippine Christian University

Degree: Master in Management Degree: Master in Public Administration

Year Graduated: 1996 Year Graduated: 1996

COLLEGE Philippine Military Academy COLLEGE Philippine Military Academy
School: Bachelor of Science School: Bachelor of Science
Degree: 1983 Degree: 1988
Year Graduated: Year Graduated:

Position: EXPERIENCE Position: EXPERIENCE
Inclusive Dates: Director, Directorate for Logistics, PNP Inclusive Dates: Director, DPRM, PNP
Position: May 7, 2014 to May 30, 2016 Position: May 7, 2014 to May 30, 2016
Inclusive Dates: Regional Director, PRO 9, PNP Inclusive Dates: Deputy Director, DIPO, VIS, PNP
December 27, 2012 to May 7, 2014 Position: May 5, 2021
Inclusive Dates: Deputy Director, DL, PNP
APPOINTMENT WITH PSMBFI Position: January 15, 2021
Inclusive Dates: Deputy Director, PNP
Position: Member, Board of Trustees December 2, 2020
Date Elected / Appointed: April 12, 2014

APPOINTMENT WITH PSMBFI

Position: Member, Board of Trustees
Date Elected / Appointed: March 31, 2022

16 2021 Annual Report

The Board of Trustees and Corporate Officers

DIR ARMANDO E RAMOLETE DIR RAYNALD L MALENAB

BORN: MARCH 13, 1960 • AGE: 62 BORN: JUNE 25, 1963 • AGE: 58

EDUCATIONAL BACKGROUND EDUCATIONAL BACKGROUND

POST GRADUATE STUDIES POST GRADUATE STUDIES

School: University of Asia and the Pacific School: Jose Rizal University
Degree: Strategic Business Economics Program
Year Graduated: 2018 Degree: Bachelor of Laws

School: Greenville College Year Graduated: 2015
Degree: Doctor of Public Administration
Year Graduated: 2017 School: Pangasinan State University
Degree: Master in Developmental Management
School: Philippine College of Criminology Year Graduated: 2000
Degree: Ph.D. in Criminology, Candidate
COLLEGE
School: International University, Missouri, USA School: Philippine Military Academy
Degree: Masters in Business Administration Degree: Bachelor of Science General
Year Graduated: 1993 Year Graduated: 1987

School: Polytechnic University of the Philippines Position: EXPERIENCE
Degree: Masters in Psychology
Year Graduated: 1991 Inclusive Dates: Deputy Director, Directorate for Research and
Position: Development, PNP
COLLEGE Philippine Military Academy Inclusive Dates: January 19, 2019 to June 25, 2019
Bachelor of Science Position:
School: 1982 Inclusive Dates: Police Attache, Philippine Embassy (Washington DC)
Degree: August 27, 2015 to August 27, 2018
Year Graduated:
Senior Executive Assistant, Office of the Chief,PNP
EXPERIENCE 2013 to 2015

Position: Director, Philippine National Police Academy APPOINTMENT WITH PSMBFI
Inclusive Dates: 2014 to 2016
Position: Position: Member, Board of Trustees
Deputy Director, Directorate for Personnel and Date Elected / Appointed: June 29, 2021
Inclusive Dates: Records Management, PNP
Position: 2013 to 2014
Inclusive Dates:
Position: Police Attaché, Washington DC
2009 to 2013
Inclusive Dates:
Position: Senior Police Assistant to the Secretary of the Interior
and Local Government
Inclusive Dates: 2006 to 2009
Chief, Foreign Liaison Division, Directorate for
Intelligence, PNP
2003 to 2006

APPOINTMENT WITH PSMBFI

Position: Member, Board of Trustees
Date Elected / Appointed: April 17, 2020

Position: Vice President
Date Elected / Appointed: April 16, 2016

17

The Board of Trustees and Corporate Officers

DIR CESAR HAWTHORNE R BINAG DIR WALTER E CASTILLEJOS

BORN: APRIL 24, 1965 • AGE: 56 BORN: AUGUST 14, 1966 • AGE: 55

EDUCATIONAL BACKGROUND EDUCATIONAL BACKGROUND

POST GRADUATE STUDIES POST GRADUATE STUDIES

School: Harvard University School: Philippine Christian University

Degree: Master in Public Administration Degree: Master in Public Administration

Year Graduated: 2011 Year Graduated: 2009

School: Asian Institute Of Management COLLEGE Philippine National Police Academy
Degree: Master in Development Management School: BS Public Safety
Year Graduated: 1999 Degree: 1998
Year Graduated:
COLLEGE
School: Philippine Military Academy Position: EXPERIENCE
Degree: Bachelor of Science Inclusive Dates:
Year Graduated: 1987 Director, ODIR, PNP
Position: February 15, 2021
Position: EXPERIENCE Inclusive Dates:
Inclusive Dates: Director, CPSM, PNP
Position: Deputy Chief PNP for Operations, ODCO, PNP Position: November 8, 2020
Inclusive Dates: September 3, 2020 Inclusive Dates:
Position: Chief, PPDC, PNP
Inclusive Dates: The Chief of Staff, OTCDS, PNP Position: May 25, 2020
Position: April 13, 2020 Inclusive Dates:
Inclusive Dates: Deputy Director, ODDIR, PNP
Position: Director, ODIR, PNP Position: December 26, 2019
Inclusive Dates: September 18, 2018 Inclusive Dates: Chief, PPD, PNP
Position: Regional Director, RHQS, ORD, PNP April 18, 2018
Inclusive Dates: May 18, 2017 Position:
Chief, OFMD, PNP Inclusive Dates: Chief, CAD, PNP
August 17, 2016 July 26, 2016
Chief, LED, PNP
April 13, 2015 APPOINTMENT WITH PSMBFI

Position: Member, Board of Trustees
Date Elected / Appointed: April 17, 2021

APPOINTMENT WITH PSMBFI

Position: Member, Board of Trustees
Date Elected / Appointed: April 17, 2021

Position: Chairman, Membership Committee
Date Elected / Appointed: July 30, 2021

18 2021 Annual Report

The Board of Trustees and Corporate Officers

DIR GREGORIO N LIM DIR FERDINAND O DIVINA

BORN: NOVEMBER 17, 1962 • AGE: 59 BORN: MAY 2, 1966 • AGE: 55

EDUCATIONAL BACKGROUND EDUCATIONAL BACKGROUND

POST GRADUATE STUDIES POST GRADUATE STUDIES

School: Wesleyan University School: San Jose Christian Colleges

Degree: Master in Public Administration Degree: Master in Public Administration

Year Graduated: 2001 Year Graduated: 2005

COLLEGE Philippine Military Academy COLLEGE Philippine Military Academy
School: Bachelor of Science School: Bachelor of Science
Degree: 1987 Degree: 1988
Year Graduated: Year Graduated:

Position: EXPERIENCE Position: EXPERIENCE
Inclusive Dates: DP, NPD, NCRPO, PNP Inclusive Dates: Deputy Chief PNP for Operations, ODCO, PNP
Position: June 2018 to November 2018 Position: March 7, 2022
Inclusive Dates: DRDO, NCRPO, PNP Inclusive Dates: Director, DIPO, SL (ODIR), PNP
Position: August 2017 to June 2018 Position: April 28, 2021
Inclusive Dates: DRDA, PROCOR, PNP Inclusive Dates: Director, DHRDD (ODIR), PNP
September 2016 to August 2017 Position: November 23, 2020
Inclusive Dates: Director, DI (ODIR), PNP
APPOINTMENT WITH PSMBFI August 19, 2020

Position: Member, Board of Trustees APPOINTMENT WITH PSMBFI
Date Elected / Appointed: June 11, 2021

Position: Member, Board of Trustees
Date Elected / Appointed: November 19, 2021

19

The Board of Trustees and Corporate Officers

DIR LEONARDO DG DATUIN PMGEN CELSO I PESTAÑO (Ret.)

BORN: JANUARY 22, 1975 • AGE: 47 BORN: DECEMBER 22, 1964 • AGE: 57

EDUCATIONAL BACKGROUND EDUCATIONAL BACKGROUND

COLLEGE Luzon Colleges COLLEGE Philippine Military Academy
School: BS Criminology School: Bachelor of Science
Degree: 1997 Degree: 1988
Year Graduated: Year Graduated:

Position: EXPERIENCE Position: EXPERIENCE
Inclusive Dates: Force ESPO, SAF (FESPO), PNP Inclusive Dates: PNP Officer, Philippine National Police
Position: January 31, 2018 Position: 1991 to 2020
Inclusive Dates: PRO 7, RHQS, ORD, PNP Inclusive Dates: PC Officer, Philippine Constabulary
Position: August 4, 2016 1988 to 1991
Inclusive Dates: Bespo, SAF (5SAB), PNP
January 7, 2016 APPOINTMENT WITH PSMBFI

APPOINTMENT WITH PSMBFI Position: VP for Operations
Date Elected / Appointed: March 8, 2021

Position: Member, Board of Trustees
Date Elected / Appointed: September 30, 2021

20 2021 Annual Report

The Board of Trustees and Corporate Officers

EUGENE EMILIO U. BALCOS IV ANTHONY L. CUAYCONG

BORN: OCTOBER 12, 1968 • AGE: 53 BORN: DECEMBER 30, 1967 • AGE: 54

EDUCATIONAL BACKGROUND EDUCATIONAL BACKGROUND

POST GRADUATE STUDIES POST GRADUATE STUDIES

School: Institute of Certified Management Accountants Australia School: Asian Institute of Management
Degree: Certification – Management Accounting
Year Graduated: 2011 Degree: Master in Business Management

Year Graduated: 1998

School: University of the Philippines COLLEGE Ateneo De Manila University
Degree: Master, Finance School: Bachelor of Arts in Economics
Year Graduated: 2003 Degree: 1989
Year Graduated:
School: De La Salle University
Degree: Master, Business Administration EXPERIENCE
Year Graduated: 1994
Management Consultant, Various Companies
COLLEGE De La Salle University Position: August 2015 to Present
School: BSC, Business Management Inclusive Dates:
Degree: 1989 Position: Faculty, Graduate School, Jose Rizal University
Year Graduated: Inclusive Dates: October 2020 to Present
Position:
EXPERIENCE Senior Vice President/General Manager, Basic Energy
Inclusive Dates: Corporation
Position: Consultant - Acting Chief Finance Officer, Position: October 2015 to July 2018
IP Ventures Group Inclusive Dates: VP & COO, Business World Publishing Corp.
Inclusive Dates: March 2019 to December 2020 Position: October 2013 to July 2015
Position: Inclusive Dates:
CFO, Financial Controller, Consultant, Position: President & CEO, Business World Publishing Corp.
Inclusive Dates: Carlos “Sonny” Dominguez Group of Companies May 2009 to September 2013
Position: 2013 to 2018 Inclusive Dates:
Member, Board of Directors, Business World
Inclusive Dates: Consultant-finance and operations, Capitalife, Inc. Buy Publishing Corp.
Position: A Car Inc., Moneyswap PLC June 1999 to July 2015
Inclusive Dates: 2012 to 2013
Position: APPOINTMENT WITH PSMBFI
Inclusive Dates: Chief Finance Officer, Star Malls Group
Position: 2007 to 2012 Position: VP for Corporate Services
Inclusive Dates: Date Elected / Appointed: March 8, 2021
Position: Chief Financial Officer, Honda Motor Sports Group
Inclusive Dates: 2005 to 2007
Position: Finance Mgr., Biogenerics Pharmaceuticals
Inclusive Dates: 2003 to 2004
Position: AVP/Branch Manager, Asia United Bank
Inclusive Dates: 1999 to 2001
AVP/Branch Manager, RCBC
1992 to 1999
Trader, BPI Family Bank
1990 to 1992

APPOINTMENT WITH PSMBFI

Position: VP for Finance 21
Date Elected / Appointed: January 1, 2021

The President’s Report

The
PRESIDENT’S

REPORT

ATTY. JOEL NAPOLEON M. CORONEL
President & CEO

22 2021 Annual Report

The President’s Report

Dear fellow members,

On behalf of PSMBFI Management, it is my honor
and privilege to render the results of our operation
for Calendar Year 2021. This is my first Annual Report
as President and CEO and it is indeed a challenge
to lead a multi-billion peso company and sustain its
operations amidst the current state of pandemic.
Although the economic landscape has changed,
we were able to remain on course and maintain the
growth trajectory. I am glad to report to the general
membership that our plans and programs were
successfully implemented and we continued to bring
value to our members.

23

The President’s Report

Membership

Core business remains resilient and solid as
we continue to earn the trust and confidence of
our members and partner agencies. With their
support, marketing initiatives were effectively
undertaken despite the challenges of pandemic.

Adhering to safety and health protocols,
in-person information drives and field service
operations were carried out as the country
slowly shifted to a more relaxed quarantine
classification. More liaising activities with
our partner agencies were conducted and
increased our presence in their major events to
maintain the strong partnership and to convey
that PSMBFI is always one with them in looking
after the welfare of our members.

Adopting to the new normal, we have also
maximized the utilization of several social media
platforms and other online forums in conducting
our information drives and membership
campaigns. All means of communication were
utilized in reaching out to our members such
as emails, Messenger, Viber, Mailchimp, etc.
for maximum information dissemination and
promotional activities. Our presence online was
also intensified since the new battleground for
business has shifted to this platform. All these are
geared towards maintaining our communication
open to our members.

Our efforts have paid off with the expansion
of membership by close to 9,000, equivalent to a
modest increase of 1.5%. We have also kept the
membership retention rate high at 97.07%.

24 2021 Annual Report

The President’s Report

LIVING UP TO OUR PURPOSE

As the primary insurance provider of the PNP and other public safety
agencies, we are not remiss of performing our primary obligation. We remain
committed to our mission of providing timely and quality financial services to
our public safety practitioners and their families. Life insurance benefits are

immediately provided to our members and to their beneficiaries.

Basic Life Insurance

A total of P244.64 million were released
to beneficiaries of 501 members who
died of natural causes, of which, P45.48
million were provided through Cash
Advance. This is the flagship service
of PSMBFI wherein partial amount of
insurance benefit is provided to help
the family defray funeral expenses. We
understand that the loss of a loved one
is an emotional and mentally stressful
situation and while beneficiaries could not
immediately submit all the documentary
requirements, we make it a point that
PSMBFI is in the forefront in assisting
bereaved families during difficult times.

At PSMBFI, a special privilege is
extended to PNPA cadets and recruits of
the PNP, PCG and BFP wherein they are
automatically covered by insurance and
become members upon signing of MAF.
Thus, if something happens to them, we
immediately process the corresponding
insurance benefit even without the first
payment of contribution. In 2021, we
released a total amount of P609,384.50 to
the beneficiaries of one (1) PNPA cadet
who died due to cardiac arrest.

25

The President’s Report

Killed-in-Action Benefit

Beneficiaries of 28 members also
received a total of P23 million under the
Killed-in-Action Benefit. PSMBFI is the only
mutual benefit association that provides
double indemnity to members who are
killed in a legitimate police operation.
Although no amount of money can
replace the life of our loved ones, this is
our way of recognizing the heroism of our
fallen public safety practitioners.

Benefit of those covered only by the mandatory insurance

For non-members but covered by the mandatory insurance of the PNP, corresponding
insurance benefit is also provided to their beneficiaries under the Special Group Term
Insurance. A total of P219 thousand were released for the death of seven (7) active
uniformed personnel of the PNP.

Credit Life Insurance Benefit

Part of our responsibility is to ensure the financial stability of our members and
their families through our Credit Life Insurance (CLI). We have different loan facilities
that are available to our members in times of needs. These are all covered by CLI
to protect the family from paying off the loan obligation in case of the member’s
untimely death. In 2021, we extinguished a total of P20.61 million outstanding loan
obligations of 162 members. This amount could have been a huge reduction from
insurance claims of beneficiaries if these loans were not insured.

Accidental Death Benefit

There are unexpected and sudden events
that sometimes result in fatalities. We have a
corresponding insurance coverage for these
cases. In 2021, a total of P71.04 million were
released to beneficiaries of 86 members who
died due to accident.

26 2021 Annual Report

The President’s Report

Wounded-in-Action Benefit

Members who sustained injuries during legitimate police operations are entitled
to Wounded-in-Action (WIA) Benefit. The amount is either P50,000 or P20,000 for
major or minor injury, respectively, as classified or determined by our Medical
Director. In 2021, P2.2 million were released to 95 members who were injured in
the performance of their duties.

Accident Hospitalization Benefit

This is one of the flagship benefits of PSMBFI which is provided at no additional
cost or premium from the members. We provide P1,000 per day of confinement
for a maximum of 10 compensable days to MEP members who are confined in a
hospital due to accident. A total of P1.39 million were released to 236 members.
This is our way of helping our members cope up with medical expenses during
hospital confinement.

27

The President’s Report

Disability Benefit

Corresponding benefit is also provided to those who are disabled due to accident.
Fourteen (14) members have claimed this benefit for a total of P565.82 thousand.

Dependent’s Free Insurance

Another flagship benefit of
PSMBFI at no additional cost is the
Dependent’s Free Insurance worth
P50,000. This benefit allows any MEP
member to assign one (1) dependent
based on approved hierarchy to
be covered by insurance. We also
understand the difficulty of losing any
member of the family and this is our
way of showing our sympathy to our
members by helping them alleviate
their financial burden on funeral expenses. In 2021, 54 MEP members were
recipients of this benefit in the total amount of P2.7 million.

Financial Assistance to Members

Through the CSR Program of PSMBFI, financial assistance is provided to our members
who are sick, ill, or injured which are not covered by the provision of the Equity Plan.
The support is also extended to those who are victims of calamity. In 2021, a total of
P2.65 million were released to 491 members who are sick and 34 who are victims of
calamity such as fire and typhoons.

28 2021 Annual Report

The President’s Report

Support to Covid-Positive Members

PSMBFI remains steadfast in providing support to our members who are infected
by Covid19 virus. This has become a continuing commitment to our members
since the start of pandemic. The number of recipients in 2021 have reached
a total of 13,885 members and the company released a total of P41.66 million
financial assistance.

Equity Value Refunded

Part of the contribution is set aside as savings of the member which earn interest. In
2021, a total of P1.42 billion worth of Equity Value were released to 46,999 members.
Of this number, 43,364 are platinum members who have continued their membership
by transferring to the Members Equity Plan (MEP).

29

The President’s Report

MER/MBIEV Distribution

On top of the Equity Value, additional living benefits are also provided to our
members by sharing with them the earnings of the company. This is in the form of
Members’ Experience Refund (MER) and Members Benefit from Individual Equity
Value (MBIEV).

MER is declared out of the underwriting income which means that in 2021, claims
are lower than benefit premiums. We have a favorable loss ratio and the excess is
given back to the members. MBIEV, on the other hand, is the profit derived from our
investment operation which comprises loans to members and investment in fixed
income securities. Patronizing our loan facilities would mean more interest income
that could be shared with the members. We are also prudent in the management of
funds and any excess are immediately placed in fixed income securities to optimize
returns so that additional living benefits could be provided.

True to our commitment, two (2) rounds of distributions were undertaken in 2021.
In August 2021, P860.03 million were distributed covering 2014-2016 MER and 2017-
2018 MBIEV for 104,345 qualified members. Another round of MER and MBIEV was
also declared in the total amount of P1.16 billion. In our desire to immediately
release these benefits in time for the yuletide season, new disbursement channel was
implemented, however, there were challenges that have affected our distribution.
We have already addressed our concerns and I would like to thank the PNP leadership
for letting us again utilize the PNP Payroll System where we credited MER/MBIEV to
those who were not able to receive thru the different payment channels.

SGTI Experience Refund

Earnings of the mandatory insurance of the PNP are also given back through
the Experience Refund (ER) of the Special Group Term Insurance. In May 2021,
P8.81 million was turned-over to the PNP through the Directorate for Personnel and
Records Management (DPRM) to support its Scholarship Program.

30 2021 Annual Report

The President’s Report

Support to Partner Agencies

We also provide support to the projects
and programs of our partner agencies that
redound to the benefit of our members.
In 2021, forty-six (46) units/offices were
supported by the CSR Program of PSMBFI.
A total of P2.42 million were released
to these units for the procurement of
equipment, medicines, medical supplies,
and other needed support for them to
meet their work requirements.

Our human resource plays an important role in every front to back-end
process. To ensure our efficiency and effectiveness in carrying out our roles
and responsibilities, we make sure that our employees have a continuous

learning and development despite the ongoing mobility restrictions.

Learning and Development

Twenty-one (21) employees have
attended public seminars via online
for skills development. Several sessions
were also conducted in-house on Data
Privacy to provide awareness on the
legal obligations of our employees in
handling data or information and the
risks associated in mishandling them.

31

The President’s Report

Values Formation

To shape our company culture,
workshop sessions were conducted
on Values Formation. This program is
intended to help employees identify
a clear personal vision, purpose, and
values to deepen the sense of meaning
and satisfaction in their jobs as well as to
align with the company’s core values.
All employees from the top executives
to the rank and file underwent these
sessions. We believe that values alignment is a critical component of a company’s
success and the values display at the top level will permeate to the entire organization.

Continued Adherence to Health and Safety Protocols

Although safety protocols are
gradually being eased out, and
movement to and from other places
are allowed, the company remains
proactive in its fight against Covid19.
IATF and DOH guidelines are still being
enforced within the organization.
Preventive measures such as regular
disinfection, maintaining physical
distancing, use of facemask, and
other health and safety protocols are
continuously being implemented. We
also continue to manage Covid19
cases in the company. Necessary
assistance is provided to our employees
who are infected by Covid through
coordination with LGUs and rigorous
contract tracing to curb the spread
of the virus. Vaccination status of
employees are also monitored.

32 2021 Annual Report

The President’s Report

Our financial performance and financial position are testaments to our
successful implementation of our strategies, complemented by prudent

fund management.

Financial Highlights

Results of our operations show the substantial improvement in our financial
performance. Net income was posted at P926.29 million, up by 302.76%. We
have hurdled the challenges of pandemic as we were able to adopt to the
new normal and slowly go back to the pre-pandemic level. The easing of
mobility restrictions has helped a lot as well as the vaccination program of
the government which curbed the transmission of the virus especially among
our members and in our workplace. There are no moratoriums implemented
and pandemic-related huge releases. Revenue streams remain profitable
particularly from the core business, complemented by the favorable
performance in loans.

With huge pay-outs being undertaken by PSMBFI due to the continuous
releasing of MER and MBIEV as well as the refund of Equity Value of platinum
members, a slight downtick in assets were recorded. Nonetheless, the financial
position of the company remains strong recorded at P20.77 billion in assets as
of December 2021.

In the Pipeline

Quality Insurance Products

We will continue providing quality insurance products that will cater to
the specific needs of our members. For this purpose, new insurance benefit
will be launched to help those who are hospitalized. Living benefits will
likewise continue, and as we address our concerns over our distribution
channels, we could immediately release them to our members. This is
how we intend to maintain our posture of being relevant and responsive
especially in times of need.

33

The President’s Report

Digital Enterprise

In pursuit of our objective of providing exceptional customer experience, we
have formally inked the contract with Comfac Corporation for the enhancement
of our IT system called PSMBFI Unified Loans and Insurance System (P.U.L.I.S.). By
transitioning to online platform, it will drive the effective and efficient delivery of our
products and services, making it more accessible and responsive to our members.

In support to the implementation of our new IT System, we have also finalized the
enhancement of our business processes which are forward-looking and aligned
with industry standards. A culture of accountability is also created since this is
defined in all our processes.

Employee Development

Alongside these projects are initiatives to support the learning and development of
our employees, the backbone of our operation. Major HR projects are forthcoming
such as Competency Framework and Gap Analysis which are essential in crafting
the Learning and Development Plan for employees. This will be supported by the
e-Learning Management System.

34 2021 Annual Report

The President’s Report

Landbanking Project

This is a long-term project of the company to ensure the continuous delivery of our
products and services to our members. Several lots were already acquired in areas
called “Super Regions” and the construction of a REO building is set to commence.

Maintaining Resiliency

Our situation is still volatile since we are still in a pandemic. Mobility restrictions and
safety protocols of the government evolve and change from time to time. We have
and will continue to adapt by adjusting our business operations to suit the prevailing
condition. Our Business Continuity Plan are currently being updated to further
ensure that we could continue performing mission essential functions effectively and
efficiently in times of disruptions. This is a key component of the overarching concept
of Enterprise Risk Management which is also currently being crafted.

Our Commitment to Members and Partner Agencies

All of these humble accomplishments were made possible with the able guidance
of our Board of Trustees, support of the PNP leadership and our partner agencies,
backed by dedicated and hardworking employees, and of course, the trust and
confidence of our members. My sincerest thanks and appreciation.

As we enter the post-pandemic recovery period, we will remain committed to
bringing our members and partner agencies unwavering passion in our mission of
protecting our public safety practitioners. We will embed professionalism in every
aspect of our business operation anchored on our core values towards service
excellence. Please join us again in our journey as we courageously face the unfolding
of a better new normal with hope and determination.

Maraming Salamat Po!

35

Corporate Governance

CORPORATE GOVERNANCE

The Board of Trustees and Management of Public Safety Mutual Benefit
Fund, Inc. is fully committed in upholding the principles and best practices
of good corporate governance as identified in the regulations promulgated by
the Insurance Commission (IC) and the Securities and Exchange Commission
(SEC). PSMBFI adheres to good corporate governance principles of fairness,
accountability and transparency in all aspects of operations to ensure integrity in
the conduct of all its affairs.

The PSMBFI Board of Trustees

As the highest governing body of promotes well-rounded discussion
PSMBFI, the Board of Trustees recognizes during Committee and Board meetings.
that corporate governance is an The Board has a term of office that
important element to ensure a sound is interlocking for two (2) years to
business management. Therefore it guarantee that there will be continuity
will undertake all necessary effort to in the programs and initiatives of the
ensure compliance with corporate Board. The first seven (7) members
governance policies and practices of the Board of Trustees obtaining the
within the organization. The Board sets highest number of votes during the
the tone and provides guidance in the GMME in the year 2007 served for two
practice of good governance. (2) years while the remaining eight
(8) members served for one (1) year.
There are fifteen (15) members Alternately thereafter, the seven (7) or
of the Board of Trustees elected eight (8) members were and shall be
for their competence, experience, elected in the succeeding years of
expertise, and integrity presenting a election of the members of the Board
mix of expertise and perspectives that of Trustees.

36 2021 Annual Report

Corporate Governance

• Nomination and Election

The members of the Board are elected during the Annual General Membership
Meeting and Election (GMME) which is scheduled on the 3rd Saturday of April every
year as provided for in the by-laws. Members of the Association have a right to
nominate candidates to the Board. For the CY 2021 election, the nomination of
candidates was directly submitted to the Office of the Corporate Secretary, 3rd
Floor PSMBFI Building or via electronic mail to a dedicated address created for the
purpose of nomination.

During the annual General relationship which could be perceived
Membership Meeting and Election to interfere with their exercise of
(GMME), the Nominees-Trustees are independent judgment in carrying out
voted and elected to fill the post of their responsibilities as members of the
those whose terms are expiring. For Board of Trustees.
CY 2021, in view of the restrictions
on mobility, PSMBFI members cast Immediately after the election, the
their votes on-line thru docs.google. Board of Trustees meet and elect among
com. Procedures for the election/ themselves, the Chairman of the Board
submission of votes were posted in the and the Executive Committee Members
PSMBFI website and Facebook Page. as well as the members and chairpersons
Tabulation of the votes however was of each of the Board Committees.
done during the GMME.
New directors, upon onboarding, are
Board independence is of given an orientation on the operations
of the Association. They are required
paramount importance. Three to attend corporate governance
programs in order to gain appreciation
independent directors were elected of the benefits and impact of the best
practices in corporate governance.
(one resigned). These trustees are

independent of management and

free from any business or other

37

Corporate Governance

• Meetings of the Board

The Board of Trustees holds its regular meeting once a month in which the result of
operations of the company during the preceding month is reported by the President.
Policies, strategic business plan, hiring of top and middle management and other
concerns that needs Board approval are discussed in the regular meeting. Special
meetings are convened when necessary for urgent concerns.

Meetings are traditionally held at the PSMBFI Main Office, however, in view of
the COVID restrictions on gatherings and mobility, Board meetings have been held
through remote means of communications since the lockdown in 2020 in accordance
with the Guidelines on the Attendance of Board of Trustees in Regular and Special
Meetings through Remote Means of Communication as approved in June 2020.

In 2021, the Board held 11 regular and 7 special meetings. The attendance of the
Board are as follows:

DIR ISRAEL EPHRAIM T DICKSON MEETINGS TO MEETINGS % REMARKS
DIR GUILLERMO LORENZO T ELEAZAR ATTEND ATENDED
DIR LYNDON G CUBOS 18 94% Resigned June 11, 2021
DIR MARIO A AVENIDO 3 17 100% Resigned May 28, 2021
DIR JOEL NAPOLEON M CORONEL 7 3 100%
DIR JOSE MELENCIO C NARTATEZ 18 7 83% Elected April 17, 2021
DIR ALEXANDER M JIMENEZ 12 15 100%
DIR RODOLFO A COLLADO JR 18 12 83% Resigned June 29, 2021
DIR RICARDO C MARQUEZ 10 15 100%
DIR JUANITO B VANO JR 9 10 100% Resigned June 11, 2021
DIR ARMANDO E RAMOLETE 18 9 100% Term ended April 1, 2021
DIR FERDINAND B DAWAY 18 18 100% Term ended April 1, 2021
DIR ELMO FRANCIS O SARONA 18 18 100% Term ended April 1, 2021
DIR KEITH ERNALD L SINGIAN 6 18 83% Term ended April 1, 2021
DIR VALFRIE G TABIAN 6 5 100% Elected April 17, 2021
DIR WARREN GASPAR A TOLITO 6 6 100% Elected April 17, 2021
DIR CESAR HAWTHORNE R BINAG 6 6 67% Elected June 11, 2021
DIR WALTER E CASTILLEJOS 5 4 60% Elected June 29, 2021
DIR GREGORIO N LIM 12 3 100% Elected June 11, 2021
DIR RAYLAND L MALENAB 12 12 100% Resigned August 31, 2021
DIR ROLANDO J HINANAY 10 12 100% Elected November 30, 2021
DIR ARIEL B EMBALZADO 9 10 100% Elected August 31, 2021
DIR FERDINAND DIVINA 9 9 44%
DIR LEONARDO DATUIN 12 4 92% Resigned Nov 30, 2021
DIR CATHERINE E TAMAYO 4 11 100%
PMGEN NAPOLEON C TAAS (RET) 5 4 100%
ATTY MATTHEW P BACCAY 18 5 100%
18 18 89%
16 16 88%
14

38 2021 Annual Report

Corporate Governance

• Board Process

During the monthly regular board meetings held at the last week of the month,
the schedule of meetings for the succeeding month is confirmed or re-scheduled
by the members of the Board. The Trustees receive the notice of the meeting
and meeting materials at least two (2) days in advance. The meeting materials
include information on the company’s operation as contained in the Report of the
President, minutes of the last Board meeting, and all other documents needed for
the Board meeting discussion.

Minutes of meetings of the Board, reports of all committees, and transcript of all
meetings are kept by the Corporate Secretary and are open for inspection upon
request.

• Annual General Meeting

As mandated in the By-laws, a general membership meeting is held annually.
The Corporate Secretary ensures that the notice to members are sent to members
at least 30 days before the date of the meeting. Again, in view of the restrictions
due to the pandemic, widest dissemination of notices is done through installation of
posters and tarpaulins, posting in the Facebook page, and website, and newspaper
publication. The notice also provides for manner of conduct of GMME and other
guidelines and procedures.

A Proxy letter is made readily available through the Company website to allow
members to authorize representatives in their absence. During the annual general
meeting, members are always given the opportunity to ask questions or raise issues
during the Other Matters Agenda of the Meeting.

39

Corporate Governance

• Board Committees

There are 6 Committees of the Board that handle specific areas of concern. Each
Committee has its own charter that provides for its functions and responsibilities.
The 6 Committees are as follows: Executive Committee, Risk and Audit Committee,
Governance Committee, Membership Committee, Information Technology
Committee and Project Management Group.

COMMITTEE CHAIRMAN COMMITTEE MEMBERS MEMBERS
As of 25 March 2022
"Ricardo C Marquez
VICE CHAIRMAN Juanito B Vaño Jr
Armando E Ramolete
Executive Mario A Avenido Joel Napoleon M Coronel Cesar Hawthorne R Binag
Catherine E Tamayo
Risk and Audit Juanito B Vaño Jr Walter E Castillejos (Secretary)"

Governance Ricardo C Marquez " "Ricardo C Marquez
Cesar Hawthorne R Binag Cesar Hawthorne R Binag
" Armando E Ramolete
Rodolfo A Collado Jr
Information Armando E Ramolete Napoleon C Taas Ferdinand O Divina
Technology Catherine E Tamayo
(Secretary)"
Membership " Rolando J Hinanay
Cesar Hawthorne R Binag "Joel Napoleon M Coronel
" Juanito B Vaño Jr
Ferdinand O Divina
PMG Ricardo C Marquez Jose Melencio C Natatez Jr Gregorio N Lim
Rodolfo A Collado Jr
Catherine E Tamayo
(Secretary)"

"Jose Melencio C Natatez Jr
Gregorio N Lim
Rayland L Malenab
Leonardo DG Datuin
Walter E Castillejos
Catherine E Tamayo
(Secretary)"

"Jose Melencio C Natatez Jr
Rayland L Malenab
Walter E Castillejos
Rodolfo A Collado Jr
Ferdinand O Divina
Leonardo DG Datuin
Catherine E Tamayo
(Secretary)"

"Joel Napoleon M Coronel
Juanito B Vaño Jr
Rayland L Malenab
Armando E Ramolete
Gregorio N Lim
Catherine E
Tamayo(Secretary)"

40 2021 Annual Report

Corporate Governance

• Board Actions in 2021

The Board and its Committees are tasked to evaluate and decide on significant
corporate actions, review key management decisions on strategic initiatives,
investments, adoption of company policies, and other similar tasks. Some corporate
governance-related actions of the Board include the following:

• Organized the composition of Board Committee memberships;
• Reviewed and approved the fair representation of the 2020 Annual Financial

statements;
• Reviewed and approved the enhanced procurement policy which ensures

that all procurement activities of PSMBFI are guided by the principles of
transparency, efficiency, and accountability;
• Set the applicable interest rate of the Members Equity Plan (MEP) for CY
2021;
• Screened and approved the hiring of the Vice President for Finance,
Corporate Services and Operations;
• Deliberated on and awarded the development of the new PSMBFI IT system
project to COMFAC Corp./DXC;
• Reviewed and approved the MBEP Transfer Project;
• Approved the acquisition of lot ay Calamba, Laguna for the PSMBFI Regional
Extension Office at Region 3;
• Approved investment in various corporate bonds which provides higher
interest offering than commercial banks; and
• Reviewed and approved the Operating Plan and Budget for CY 2022.

41

Corporate Governance

• Seminars and Trainings

In line with the continuing education of the Board of Trustees, Atty Joel
Napoleon M Coronel attended the Corporate Governance Orientation
Program by the Institute of Corporate Directors on June 2-3, 2021; Dir
Israel Ephraim T Dickson, Dir Rayland L Malenab and Dir Gregorio N Lim
on September 28 – 29, 2021; and Dir Leonardo DG Datuin on November
9-10, 2021. Meanwhile, Dir Juanito B Vaño Jr, Risk and Audit Committee
Chairman, Dir Armando E Ramolete, IT Committee Chaiman and PMGEN
Napoleon N Taas, Corporate Auditor attended the Annual Convention of
the Institute of Internal Auditors-Philippines conducted virtually.

42 2021 Annual Report

Corporate Governance

• Compliance to Regulatory Bodies and Laws

PSMBFI conforms to the rules and regulations of the Insurance Commission
(IC), the Bureau of Internal Revenue (BIR), and the Securities and Exchange
Commission (SEC).

Pursuant to SEC Memorandum Circular No. 6, series of 2020, the Guidelines
on the Attendance and Participation of the Board of Trustees in Regular and
Special Meetings through Remote Means of Communication was developed
to prescribe the guidelines that will govern the conduct of Committee and
Board meetings through remote communication during extraordinary times.
The Guidelines, consistent with the IC Memorandum Circular, was approved
through Board Resolution No. 2020 – 30.

Major steps have been undertaken in compliance with R.A. 10173 or the
Data Privacy Act of 2012. The data privacy guidelines as stipulated in the law
have been implemented and a privacy agreement is secured continuously
from members.

The Whistleblower Policy was approved and adopted as part of initiatives
to protect the rights of employees and officers while encouraging and
enabling them to freely communicate serious concerns on policy violations
and fraudulent acts without fear of retribution or repercussion.

43

Departments & Offices

TOP MANAGEMENT AND SUPPORT OFFICES

OFFICE OF THE PRESIDENT AND THE VICE PRESIDENTS

Come up with strategic plans, policies, and procedures that will ensure the smooth flow of
business operations. The company’s growth and stability to provide members with better
service and more benefits.

OFFICE OF THE INTERNAL AUDITOR

Responsible for the soundness of the internal control system and the safeguarding of company
assests. The OIA is the departmental arm of the Risk and Audit Committee.

OFFICE OF THE LEGAL OFFICER

Anticipates and reduces the risk and exposure of the company from any unreasonable and
unjustified claims. The department also protects the company against all claims.

OFFICE OF THE CORPORATE SECRETARY

Provides administrative support to the Board of Trustees. The Secretariat also keeps all records
and minutes of the meetings and ensures its confidentiality.

44 2021 Annual Report

Departments & Offices

CORPORATE SERVICES GROUP

ADMINISTRATION DEPARTMENT

Provides administrative and logistical support to all departments in order to attain the common
goal of providing the best services to our members. It also manages the PSMBFI building and all
other real estate concerns of the company and ensures that all records and documents are
adequately protected and maintained.

INFORMATION TECHNOLOGY DEPARTMENT

Develops and maintains an information asset available for utilization in the fields of decision-
making, operations, and finance, in compliance with external regulatory requirements.

HUMAN RESOURCE DEPARTMENT

Ensures organizational soundness and company-wide operational efficiency through
the maintenance of an effective and productive workforce in a customer-oriented
work environment.

CORPORATE PLANNING DEPARTMENT

Consolidates and analyzes data which are vital to company operations and generates reports
that provide valuable support in policy formulation, likewise reinforcing sound management
decision-making and strategic action.

45

Departments & Offices

OPERATIONS GROUP

INSURANCE DEPARTMENT

Designs, develops, administers and maintains insurance products and benefits relative to the
requirements of members, in accordance with the regulations of the Insurance Commission.

MARKETING DEPARTMENT

Provides frontline services to all PSMBFI members. The department is responsible in
communicating and promoting all the benefits and services of the company. It also ensures
that the Regional Extension Offices nationwide efficiently serve all members assigned in the
regions and provinces.

REGIONAL EXTENSION OFFICES

Provide frontline services and assistance to members in the regions. Regional Officers manage
these offices while Field Officers are regularly deployed to extend the company’s services in
the provinces.

INVESTMENT DEPARTMENT

Develops and manages investment activities of the company based on the policies and
approved guidelines of the Insurance Commission.

46 2021 Annual Report

Departments & Offices

FINANCE GROUP

TREASURY DEPARTMENT

Manages the company’s current account funds. The department deals with cash receipts,
disbursements and electronic banking transactions.

ACCOUNTING DEPARTMENT

Maintains the company’s books of accounts. The department generates timely and reliable
financial statements in accordance with Philippine Financial Reporting Standards and Practices
applicable to insurance accounting principles.

ACCOUNTS MANAGEMENT DEPARTMENT

Establishes and implements a well-defined billing and collection system relative to the
business transactions of the company. The department also maintains subsidiary ledgers
of members’ accounts.

47

“No man is an island.” This old adage holds true
in its entirety. Goals are achieved faster if we are
guided by the spirit of cooperation.

The lifeblood of the Public Safety Mutual
Benefit Fund, Inc. are its members which continue
to increase. On the other hand, the Association
maintains good working relationship with its thirteen
partner agencies by being an insurance provider for
the country’s public safety practitioners.

Over the last 24 years, PSMBFI was able to help
thousands of members plan for the future of their
family. They have peace of mind while enforcing the
law and implementing public safety policies knowing
that they have adequate insurance protection,
the privilege to avail of living benefits, and receive
financial assistance in times of calamities.

PSMBFI, in turn, has earned the trust and
confidence of its partner agencies. They have made
PSMBFI among their valuable stakeholder and most
dependable partner.

Presently, we are exploring more ways to reach
as many members onsite, virtually, and through our
social media platforms. Our teams are interacting
with members living in coastlines and assigned in
far-flung provinces to assist them with their PSMBFI
transactions. We shall likewise open the doors of
PSMBFI to welcome new alliances.

We sincerely extend our sincerest gratitude to all
our partner agencies. May you to continue to entrust
to us the future of your public safety practitioners.

“Your theme for this year’s General Membership Meeting and Election, “Continuing Strong
Partnerships,” truly reflects the idea of the Public Safety Mutual Benefit Fund Inc, which is to
foster long-term relationships through efficient quality service and a strong commitment to
your members.

I am confident that you will maintain a strong partnership with the Philippine National
Police, as well as the PNP Information Technology Management Service.

Cheers to our long-term collaborative efforts!” - PBGEN HARRIS FAMA
Director, ITMS

48 2021 Annual Repor t

Continuing

STRONG

Partnership

<a href=’https://www.freepik.com/photos/people-together’>People together photo created by rawpixel.com - www.freepik.com</a>

49

Looking Back on 2021: A Year in Review

Embracing the new normal and redefining
PSMBFI services

The year 2021 prepared us to embrace the new normal. We learned to respond to the needs
of PSMBFI members in this time of pandemic, to maintain strong alliances with partner agencies
despite lockdowns, and how to live our lives in the face of an invisible enemy.

But just like other companies, we too had our
share of struggles. Some of our employees had
to work from home to ensure that the virus would
not further spread to their colleagues. Safety and
cleanliness were the key measures to make our
members safe as they transact in our offices.

Our teams returned to the fields to personally
interact with members. Onsite information drives
and field service operations were conducted
in observance to health protocols and social
distancing, while virtual meetings with members
were done online. More than ever, our social
media platforms were active with quality post and
timely advisories.

On April 17, 2021, the annual General Membership Meeting and Election (GMME) was
conducted via Zoom virtual conference. The registration, nomination, and the election for
the new set of Board of Trustees CY 2021-2022 were done online. The entire proceedings were
witnessed via Facebook Live with heads and representatives of partner agencies and PSMBFI
members in attendance.

Significant upgrades were done to the
PSMBFI website which was relaunched on the
second semester. Members can now easily
navigate into the website and download
various application forms to update their
beneficiaries or apply for loan, all for their
convenience.

50 2021 Annual Report