September 23, 2011
Restructuring plan for CLICO, CIL tabled in High Court

A restructuring plan for CLICO International Life Insurance Limited (CIL) was tabled in the High Court of Barbados on Tuesday, September 20, by the company’s Judicial Manager, Deloitte Consulting Limited (represented by Oliver Jordan and Patrick Toppin).{{more}}

The Judicial Manager has recommended several restructuring options believed to be most advantageous in the interest of the Company’s policyholders, with each option having its own funding implications. As such, the Judicial Manager will now engage in discussions with the insurance regulators and the governments of Barbados and the Eastern Caribbean to establish the preferred option and the available funding. Upon confirmation of available funding, the Judicial Manager will seek final approval in all regional courts for the restructuring of CIL.

The High Court of Barbados also approved the recommendation of the Judicial Manager to commission a forensic audit given that a high percentage of the company’s stated assets could not be verified.

The Judicial Manager will shortly commence the hosting of policyholder forums to provide policyholders with a comprehensive update on the financial condition of CIL and the various options considered for restructuring. These forums will be in all the Eastern Caribbean territories where CIL has a presence. Individual letters will also be mailed to all policyholders in the Eastern Caribbean providing policyholders with the potential impact on their policy of the alternative restructuring options.

In the interim, it should be noted that the operations and coverage of CLICO International Life Insurance Limited’s existing policies remain in effect subject to premiums on such policies continuing to be paid by policyholders. These premium payments should be made in the normal manner to the company.

Any and all queries concerning policies can be directed to the company via established lines of communication. Additionally, the Judicial Manager has established a dedicated email address of [email protected] for direct communication concerning the Judicial Management process.