PDIC upgrades claims settlement operations

MANILA, Philippines - State-run Philippine Deposit Insurance Corp. (PDIC) is upgrading its claims settlement operations as part of efforts to become a world-class organization in depositor protection.

PDIC president Jose Nograles said the government-owned deposit insurer is in the midst of formulating a quality management system (QMS) for its claims settlement operations to better serve the depositing public.

Nograles said the agency has inked a memorandum of agreement (MOA) with the Development Academy of the Philippines (DAP) to help lay down QMS on PDIC’s claims settlement operations to conform to the International Standard Organization (ISO).

“This is among the measures being undertaken by the deposit insurer to attain its vision of becoming a world-class organization in depositor protection,” he added.

According to him, the establishment of an ISO-QMS would align PDIC’s existing management system relative to claims to ISO 9001:2008 standards.

“The area of claims settlement operations will be the pilot process for the installation of the ISO-QMS. We hope to replicate the system in other processes and services of PDIC,” Nograles stressed.

The ISO 9001:2008 is an internationally-recognized standard which specifies requirements for a QMS where an organization regardless of type needs to demonstrate its ability to consistently provide products and services that meet customer and other applicable requirements.

The PDIC chief added that the move would enhance customer satisfaction through the effective application of the system, including processes for continual improvement of the system as well as the assurance of conformity to customer and applicable requirements.

The DAP, one of the lead agencies that spearheads the promotion of QMS in the government, will provide the technical guidance in documenting and revising procedures and documents required in the development and maintenance of the ISO-QMS.

PDIC is currently overhauling its claim processing in its bid to simplify the scheme after an unprecedented spate of bank closures in December last year.

Nograles ordered a review of the company’s systems relative to claims processing especially after the closure of 12 thrift banks under the controversial Legacy group.

The 12 Legacy banks alone had deposits of around P14 billion in about 135,000 accounts. In comparison, all the 17 banks closed in the whole of 2007 had combined deposits of only P1.6 billion in over 68,000 accounts.