More than seven years after CLICO (Bahamas) Limited went into liquidation, Prime Minister Perry Christie announced on Monday that policyholders who are still current will begin to receive payouts before the end of the month.
During his mid-year budget communication, Christie said cash payouts are estimated at $16 million, according to a report by Caribbean News Now.
“The liquidator of CLICO has proposed and the government has agreed to a plan to make all existing policyholders whole,” he said.
Christie said under the plan, surrendered policies, death benefits, medical claims and staff pensions will be paid in full, while Executive flexible premium annuities holders and surrendered pension policies will be settled in cash to a maximum of $10,000 per person, and the balance will be supported by seven-year promissory notes with interest at prime payable quarterly.
There were approximately 13,000 Bahamian policies when CLICO was liquidated.