Judicial manager gives CLICO update
Some of the recommendations of CLICO?policyholders during recent consultations with the judicial manager may end up additional proposals to the court on the way forward for the beleagured insurance company.
Oliver Jordan and Patrick Toppin who represent judicial manager Deloitte Consulting said in a recent update that it had completed consultations not only here, but also in Grenada, St Vincent and the Grenadines, Dominica and Antigua.
According to the accounting firm, it was deemed necessary the “views, concerns and suggestions of policyholders”, it would “review its previous recommendations and propose such additional or alternative actions deemed necessary”.
“As such, the judicial manager will be returning to Court in early November to report on the results of the consultative process and its subsequent review. After presenting this report to the Court and obtaining its guidance, further communications will be issued to all policyholders,” statement from Deloitte Consulting noted.
During its series of consultations, Toppin and Jordan said they obtained feedback on the restructuring option highlighted in its Report of July 28, 2011 as well as on the additional four restructuring options, based on possible government funding, outlined in its addendum to the report on September 15, 2011.
In the options revealed by Jordan last month, “base level restructuring option” with no external funding would see policyholders would receive 60 cents in every dollar and the remaining 40 per cent in shares.
However, the addendum suggested four other options available to the region based on government injections of between $56 million and $152 million.
In all four options the full value of traditional policies, including life insurance, would be protected while corporate executive flexible premium annuities would be converted into shares.