CLICO health insurance policy holders will have to get coverage from other insurers once the company stops providing health insurance in Cayman as of tomorrow [Tuesday, 1 December].
The Health Insurance Commission on Friday reminded individuals and employers insured at Clico (Cayman) Ltd. that they must get health insurance from other approved insurers in order to stay compliant with the Health Insurance Law.
Insurance Commissioner Mervyn Conolly said he was making Friday’s announcement regarding CLICO ‘to keep ahead of the game and inform employers to be proactive and don’t wait until something happens or an employee becomes ill before it is determined there is no health insurance cover. That’s too late.
‘The responsibility is on the employer to ensure there is adequate insurance in place for employees.’
In May, the Cayman Islands Monetary Authority appointed two Deloitte & Touche controllers, Stuart Sybersma and Ian Wright, to assume control of the troubled company, a subsidiary of CL Financial.
The controllers had been processing all premiums and insurance claims submitted.
Mr. Wight said Friday that CLICO would process outstanding claims for the next six months and the office would remain in its current location at Anderson Square on Shedden Road for the time being.
‘Since we took control in May, people have been moving their insurance coverage to other providers,’ he said.
‘Two months ago, we said we would be continuing insurance provision to the end of November, depending on the premium requirements,’ he added.
The controllers have been contacting CLICO clients over the past two months to inform them that they need new insurance providers.
Mr. Wight said the company would be closing down, but the Deloitte & Touche controllers would spend the next few months clearing up outstanding business, such as transferring life insurance and life product business.
‘The office will be open to deal with any claimants for the next few months. In all probability, we will close down the office [at Anderson Square]. It will stay in its present location until the end of February and then move to Deloitte until all matters have been cleared up,’ he said.
Just two or three members of staff remain at the CLICO office, Mr. Wight said.
CLICO is a subsidiary of CL Financial which was founded as Colonial Life Insurance Company in Trinidad in 1932. It developed into one of the largest conglomerates in the Caribbean, with worldwide assets recently estimated at roughly US$100 billion, with holdings in a range of industries including banking and financial services, general and life insurance, energy and petrochemicals, real estate and media and communications.
In January, the Trinidad and Tobago Central Bank bailed out CL Financial and since then subsidiaries of the company have run into major financial woes throughout the Caribbean.