Eastern Caribbean officials still negotiating with Trinidad for CLICO/BAICO policyholders
BASSETERRE, St Kitts and Nevis, Thursday, February 2, 2012 – St. Kitts and Nevis Prime Minister Dr Denzil Douglas has stated that the the Eastern Caribbean Currency Union (ECCU) is looking to redress from the Trinidad and Tobago government over the fallout from the collapses of CLICO and British-American Insurance Company (BAICO).
Dr Douglas revealed that the ECCU continues to seek financial relief from the Government of Trinidad and Tobago, both in support of policy holders as well as in support of regional institutions whose investments in British-American Insurance Company (BAICO) now pose a risk to the member countries.
He noted a Health Insurance Fund was in place for most of last year in order to assist affected BAICO health insurance policy holders.
“Even as we continue to pursue the best possible outcomes for policy holders, however, it should be understood that final outcomes for BAICO and CLICO will not be the same - due to the assets held by CLICO,” said Prime Minister Douglas at a press conference.
Dr Douglas, who is also the Minister of Finance said the complex and highly technical undertaking of recapitalizing and selling BAICO is now underway.
“Final negotiations with a preferred bidder should begin this quarter, due diligence being of absolute and utmost importance,” disclosed.
He said that at the end of this process, which could last until the third quarter of this year, regional Governments wish to see “policy holders having received some relief, and a significantly strengthened ECCU insurance marketplace.”
The Prime Minister said it was anticipated that some 2 out of every 3 of BAICO’s remaining policy holders will be assisted as a result of the efforts of the Eastern Caribbean Currency Union.