Sagicor buys BAICO

Dominicans worried about their investments in failed insurance company BAICO – British American Insurance Company, can turn to Sagicor for some relief.

An agreement has been signed to sell BAICO to Sagicor Life Incorporated, according to an announcement from BAICO’s Judicial Managers and the Governments of the Eastern Caribbean Currency Union (ECCU).

The deal is to “recapitalise and sell part of the BAICO business to Sagicor Life Inc”, according to a release on the matter.

“The ECCU Governments have undertaken to provide funding of up to US$38 million to assist in restoring value to the transferring policies,” it says.

The business being sold is reported to be made up of Group Pensions and traditional life policies issued by BAICO in Anguilla, Antigua, Dominica, Grenada, Montserrat, Saint Lucia, St Kitts & Nevis, and St Vincent and the Grenadines.

These life policies include Universal Life policies, Term Life, Whole Life, Endowment and Home Service Life.

BAICO and the governments involved say approximately 17,500 policyholders are expected to benefit from the sale, restoring the policy values for nearly 2 in every 3 BAICO policyholders.

Sagicor is described as a highly respected insurance provider operating across 19 countries in the Caribbean as well as in the UK and US.

Its parent Sagicor Financial Corporation is a listed entity in Barbados, Trinidad & Tobago and the UK.

Policy holders are being advised, prior to the completion of the sale, “to continue to pay, and if necessary bring up to date their life policy premiums, to representatives at existing BAICO branches within the ECCU in order to maintain their policies”.