ICBL records loss, assures clients it’s well capitalised

Yet another locally-listed public company is reporting a half year loss which is being blamed on the COVID-19 pandemic and its associated economic impact.

The Insurance Corporation of Barbados (ICBL), in which BF&M of Bermuda holds a majority 51.6 per cent stake, says it has registered a net loss of $1.5 million for the half year ended June 30.

This represented a worsening position from the comparable period last year when the insurer reported a net loss of $0.4 million.

In a statement from ICBL chairman John Wight that accompanied the financials, he said: “The economic and market conditions remain challenging and further exacerbated by the contraction of the economy impacted by the uncertainty of COVID-19.”

According to the financial statement, ICBL’s net premium written was up slightly on the corresponding period last year, moving from $28.49 million as at June 30, 2019 to $30.97 million this year. Commissions and other income remained steady, however, investment income dropped from $2.59 million for the same period in 2019 to $1.18 million this year.

At the same time, the company’s operating expenditure rose from $17.08 million last year to $18.67 million as at June 30.

Wight, who has served as chairman for several years since ICBL was acquired by BF&M in 2006, told shareholders the company was committed to focusing on what it can control. Those areas he highlighted were “responsible underwriting, conservative reinsurance programmes, expense reduction through transformation, modernization and strong customer service”.

The ICBL chairman also sought to assure customers and shareholders that despite the reported loss, the company was well capitalized.

He stressed that this was important “for policyholders who need the confidence that their claims will be paid”.

Wight expressed gratitude to customers and shareholders who continued to support the company in these “difficult times”.  (IMC1)