Howai: CLICO collapse a lesson for T&T
Story Created: Nov 6, 2013 at 10:53 PM ECT
To date, the Government has paid cash amounts of up to $75,000 to a total of 18,354 depositors/shareholders of the HCU, amounting to approximately $188 million, Howai said.
“We have also paid a total of 41,299 policies in the CLICO offer of relief programme which amounted to a total of $10.8 billion in both cash and bonds.”
He said the credibility of Trinidad and Tobago as a regional financial centre would have been severely undermined without the implementation of appropriate legislative and regulatory arrangements.
“The Government of Trinidad and Tobago has undertaken credible steps towards improving the credibility and integrity of this country as a regional financial centre through the application of best practice standards as advanced in existing legislation, as well as the modernisation of the Securities Industry, with the passage of the new Securities Act 2012.”
“The Insurance industry cannot develop unless its stakeholders have confidence in the system. The meltdown of CLICO and the CL Financial Group placed a significant strain on the industry and has shaken the confidence in which the investing public had in the insurance industry. The Government is focused on building this confidence. To this end we have reintroduced the Insurance Bill in Parliament following its lapse when Parliament prorogued earlier this year.
“I would to take this opportunity to reassure you and the wider community that the Insurance Bill will be reintroduced into Parliament (tomorrow). This bill will lay a solid foundation for the development of the Insurance industry and the wider financial services system,” Howai said.