BAF Insurance Company (Cayman) has acquired CLICO Cayman’s life insurance portfolio for an undisclosed sum.
The deal has been formally approved by the Cayman Islands Monetary Authority and the Grand Court.
In May CIMA put CLICO under controllership, after the insurer’s holding company Trinidad-based CL Financial had run into financial difficulty.
The purchase will ensure continuity for the policy holders as the conditions agreed with the former provider will remain unchanged with BAF Cayman.
The acquisition of the life insurance portfolio concluded with the controllers of CLICO will grow BAF Cayman’s share in the life insurance market by hundreds of policies, Jason Borrino, managing director of BAF Cayman confirmed.
“We are pleased to announce that all the rights and privileges of the policyholders will be protected under the terms of the agreement,’ Mr. Borrino said.
‘We felt this was a natural step not only in growing our local business, but also proving our commitment as a responsible corporate citizen of the Cayman Islands community,’ he stated.
BAF Cayman was formed in November as a result of the acquisition of BAICO Cayman’s health insurance, life insurance and pensions business by Bahamas-based BAF Global Group.
BAF Cayman is currently introducing new IT systems, state-of-the art infrastructure and client services as part of the integration into BAF Global Group and CLICO life insurance policy holders will directly benefit from that, Mr. Borrino added.
Deloitte’s Stuart Sybersma, controller of CLICO Cayman, welcomed the transaction, saying the controllers ‘viewed [it] to be in the best interests of the policyholders”.
The policies concerned will be transferred to BAF Cayman during the next days and a formal written notification is going to be sent to policy holders in due course, BAF Cayman said in a statement.