The Australian, Health International Holdings Group

Gill puts forth his four pillars of excellence in which he thinks every good board possessed. These pillars are Board Development, Management of board work and meetings, decision making and . board and organizational culture.Throughout this paper I will show how after the departure of sarah the league designed and created a good board by implementing each pillar.

Date back to 1960, a Hungarian immigrant Larry Adler founded an insurance company named FAI Insurance. After he dead in November 1988, his son Rodney Adler was inherited the company become Executive Chief by the board of FAI Insurance. After struggling in the stock market crash 1987, in September 1998 HIH Insurance has takeover bid $280 million cash and shares of FAI Insurance without due diligence. After that, HIH sold out FAI’s assets, several companies and one hotel in New York about $450 million. At that time, Adler became a director of HIH. However, after a magnate loose in both London and US insurance, HIH almost collapse in March 2001. In that situation, HIH try to sell FAI business to get much-needed cash. It’s sold $320 million to

To ensure that the company thrives and overcomes the crisis that may come on the way, the company has various strategies and ways to overcome that and to keep the company on the track which includes constitution and board of directors which has various roles and responsibilities. The company has got a constitution and also corporations’ act. The companies’ values are the trust, integrity and honesty. The board carries out the duties in regard to the interest of the companies’

Various attempts have been made by Equitable Life to avoid insolvency, primarily at the expense of policyholders, but it was too late. The liability, worth £1.5 billion at the time it froze the value of all current with-profit policies, was going to swell even more if interest rate were to fall further, and nothing could possibly stop this from happening. There is still a lot of debate about the adequacy of regulation, and possible measures the Financial Services Authority (FSA) should have imposed on Equitable Life and other life insurers when it formally took over responsibility for the regulation of insurance in January 1999. There are also many fingers pointed at regulators who did not express any concern over the liabilities of Equitable Life in the early 1990s, when there was possibly still enough time to reverse the misfortune. One thing for sure: by failing to properly hedge its liabilities, Equitable robbed its policyholders of their peaceful retirement, and mistakes of such an enormous scale should never happen again. On 2/12/00, The Times published a

It is essential that the role, duties and responsibilities of directors are clearly defined. The Combined Code (2006) states that “the board’s role is to provide entrepreneurial leadership of the company within a framework of prudent and effective controls which enables risk to be assessed and managed”.

Aflac has grown not only in the United States but also in Japan, as well. Aflac was sprouted from the idea of three brothers who believed people needed protection when a medical problem arose (“Aflac Supplemental Insurance”, 2015). Their core value was always held to high standards and that was to “put the policyholders first (“Aflac Supplemental Insurance”, 2015).” Aflac also strives themselves to be comprised of a diverse group of individuals. This idea buds the notion that each individual person brings different strengths to the table and for this reason is why Aflac has been so successful over the decades.

With a strong sign of the success of the business in October 2003, JB Hi Fi was floated on the Australian Stock Exchange.

In large corporations the success or failure of the company is the responsibility of the board of directors. According to Richard DeGeorge, “The members of the board are responsible to the shareholders for the selection of honest, effective managers, and especially for the selection for the CEO and of the president of the corporation.” (p. 202). The board members have a moral responsibility to ensure the corporation is run honestly, in respect to its major policies, and to ensure the interests of the shareholders are satisfied. The next responsibility within a corporation is the responsibility management has to its board of directors. DeGeorge writes, “It must inform the board of its actions, the decisions it makes or the decisions to be made, the financial condition of the firm, its successes and failures, and the like.” (p. 202). The management of the corporation is morally obligated to

Medibank was established by the Australian Government in 1976 and is Australia’s largest health insurance and a leading healthcare service provider. Though, Medibank has been stable in the economy, the reforms to privatise the insurance company has been reported for a number of years. In November 2013, The Australian Government had announced that it will proceed with the sale of Medibank. Thus, Medibank welcomes the Government’s announcement and they see this is as great opportunity for the business and the customers. It is assumed that subject to market conditions, Medibank Private will be sold through an initial public offering in the 2014-15 financial years (Medibank). While Medibank has been operating as a commercial business for some time, it is believed the sale will promote more competition within the private health insurance industry, ultimately driving better value and health outcomes for all Australians (Medibank). Provided, with the learnings achieved in this government business relations unit, this essay will draw upon the debates and media news reports on privatisation of Medibank and argue the perspective that the government should not privatise Medibank.

It is the board's responsibility to consider and authorize a suitable remuneration package for the company's chief executive officer (CEO), make recommendations with respect to the attractiveness of dividends and dividends pay out, approve stock splits, form the audit committees, approve the company's financial statements, oversee management’s involvement in the shareholders and other stakeholders long-term interests and recommend or discourage major decisions such as acquisitions and mergers.

The health sector is among the most important sectors in the United States economy. The government has enacted certain laws that affect the corporation’s activities and the insurance industry in general. The regulation affects competition among the health insurance companies, and the insurance industry in general.

The company adopted an aggressive acquisition strategy, a growth-at-all-cost attitude and a culture of never to give “bad news”. This resulted in conflicts between profit maximization and sound corporate governance procedures. The cause of the collapse may also be due to the lack of independent directors to the point where the directors were also the former partners of their company’s auditors, Arthur Andersen. On a whole, it was more of a lack of company monitoring, poor system and gross mismanagement which lead to the Australia’s biggest failure.(LongDog &

HiH lacked a systematic strategic planning process. Because of the organization’s holistic approach to development, the management team was continually faced with resource allocation decisions.

This essay discusses about the corporate collapses in the new millennium. In recent years the Australian corporate sector has witnessed the failure of number of corporations, including HIH Insurance, Harris Scarf, One. Tel, Ansctt Australia. This paper focuses on the financial audit of HIH insurance, which collapsed on 15th March 2001. This was the largest failure in Australian business history. Royal commission was appointed investigate re-issue of HIH Insurance collapsed with debt estimated $5.3 billion Australian dollars (Mirshekary, S, 2005). A brief review of the incidence of corporate failure will be provided prior to an analysis of the collapse of Health International Holding (HIH) and the involvement of its auditor,

The Board of Directors and leadership at HSBC Finance Corp is expected to promote the company’s values as stated in the Corporate Governance Standards, and come from a diverse background of top rated financial leadership. The Directors have and act with professional and personal integrity, and base all decisions around ethical thinking. The directors are required to act in the best interest of the company and its customers, promote the brand image to the world and spread the values of the corporation through every day actions, decisions and strategies. All information on the hiring and expectation of top leadership and board members is written in the company’s annual 10K report.