CLICO Belize Lastest To Be Placed Under Judicial Management

CLICO operations in Belize are the latest to be affected by the financial troubles of parent company, CL Financial.

A judicial order has placed CLICO (Belize) Limited under the management of the Supervisor of Insurance Alma Gomez who has secured the assets of the company and now has full control of its statutory reserves. A government statement said the action had to be taken to protect the interests of policyholders after the Supreme Court of the Bahamas recently ordered that CLICO (Bahamas) Limited, which has operations in Belize and the Turks and Caicos Islands, be placed in liquidation in preparation for operations to wind up.

Under the Belize court order Gomez has placed a number of restrictions on CLICO.

“These restrictions refrain the company from issuing any new insurance contract, but allows the company to continue serving existing insurance contracts which were in effect prior to 25 February 2009; from varying any existing contract; from repatriating any funds out of Belize and from disposing any of its assets without the prior written consent of the Supervisor of Insurance,” the statement said.

“CLICO policyholders can rest assured that their interests are being protected,” it added.

Gomez is expected to meet with the appointed liquidator this week.

The government has sought to assure citizens that CLICO’s problem in the Bahamas is not a reflection of the entire Belize insurance industry.

“At the end of 2007 the insurance companies held BZD$165 million (US$83.7 million) in assets and wrote BZD$111million (US$56.3 million) in gross premium income, of which CLICO only holds five per cent,” it said.

Apart from Belize and the Bahamas, CLICO operations in Guyana have also been facing problems. The Guyana company was placed under judicial management last week, a day after the liquidation order issued in the Bahamas.



One Response to CLICO Belize Lastest To Be Placed Under Judicial Management

  1. Pingback: Lawerence Duprey Ousted From CL Financial Board « Bajan Global Report

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