Run on CLICO Barbados, company fighting to keep up

A report in the Barbados NATION newspaper sayd CLICO International Life Insurance Company and its top management are fighting to restore the company after a run on the insurance giant.

It quoted Terrence Thornhill, president of CLICO Holdings Limited, as saying that confidence in the institution had been battered and despite all its efforts, people have been calling on it for their money, making a bad situation worse.

He said CLICO has been forced to pay out more than B$118 million over the past 12 to 14 months. Thornhill said, “The fact that the company has paid out so much cash means its cash position is very weak.”

He said the company "is not in a position to meet the commitment at this time to every single client”.

He added that the CLICO group has been selling some of its vast holdings and “working diligently” to meet the demands of CLICO policyholders.

“There are a number of people who feel a strong loyalty to the company, but their confidence has waned over time because we have not only been battered in the Press, but by friends of policyholders...The constant hammering over time wears people out,” he said.

“It is not everybody who will immediately get their full amount even when we sell down some of our assets,” he added.