Immense headway in BAICO repayment
CASTRIES, St. Lucia, July 7, CMC – St. Vincent and the Grenadines Prime Minister Dr. Ralph Gonsalves said that an agreement has been reached through which US$100 million will be used to finance the repayment of annuities held by policyholders of the failed British American Insurance Company (BAICO) operations in the Caribbean.
“We concluded at this meeting a very important limb of the solution which involves resources where the government of Trinidad and Tobago in accordance with a prior arrangement is putting some resources including resources from the Caribbean Community (CARICOM) Petroleum Facility” to finance the measure, Gonsalves told reporters at the end of the CARICOM summit here on Friday night.
He said that while some underwriting will have to be done at the Barbados-based Caribbean Development Bank (CDB), “the total sum of about 100 million US dollars will go towards a solution of the annuities,” he added.
He said the meeting had expressed its thanks to the many stakeholders and that Trinidad and Tobago Prime Minister Kamla Persad Bissessar and her administration “all participated fully in this and we want to thank them and the people of Trinidad and Tobago”.
The announcement by Gonsalves comes on the heels of a recent statement that nearly 17,500 policyholders are expected to benefit from an agreement signed by the judicial managers of BAICO, together with the governments of the Eastern Caribbean Currency Union (ECCU), to sell the traditional life insurance business of BAICO to Sagicor Life Inc (Sagicor), a wholly-owned subsidiary of Sagicor Financial Corporation.
Sagicor is a respected insurance provider operating across 19 countries in the Caribbean as well as in the United Kingdom and United States. Its parent Sagicor Financial Corporation is a listed entity in Barbados, Trinidad and Tobago and the United Kingdom.
(Full details in Politics section)