Another disaster hits The Bahamas as payouts at Insurance RISK FACILITY comes short based on the level of destruction and devastation on Abaco and Grand Bahama!
NASSAU| Bahamas Press is learning CCRIF SPC (formerly the Caribbean Catastrophe Risk Insurance Facility) is set to announce that it will pay the Bahamas Government some $11 million for its disaster relief efforts following the destruction of Hurricane Dorian on Grand Bahama and Abaco.
The risk facility, which began under former PM Hubert Ingraham, was always speculated to be a rip-off in the event of a natural disaster in the Bahamas. The payout is just a mere a couple years payment of annual premiums presently being paid by the Bahamas Government for the Insurance. Those funds clearly are a drop in the bucket following the disaster and could not pay for the support systems presently engaged on the ground in both islands.
Readers should note how Dominica received a payout of some US$19,294,800 under its tropical cyclone policy following the passage of Hurricane Maria on September 19. Marsh Harbour alone is bigger the economy of Dominica and Grand Bahama is even larger. So how is it Dominica gets almost double the amount the Bahamas is expected to collect when damages here and the displacement of thousands are on a far wider scale? What is this?
Early reports tell us that the cost of damages will likely end up in the billions between the twin-island communities.
Additionally, for the scale of damage on Abaco alone, loss adjusters from around the world will bite a pretty penny against claims.
Readers should recall how K Peter Turnquest, the Deputy Prime Minister, back on September 14th, 2017 told the Tribune that the Government wanted to revise the payout “trigger points” with the Caribbean Catastrophe Risk Insurance Facility (CCRIF) to maximise the potential insurance payout following a major hurricane. He renewed the insurance and boasted having renegotiated the terms. At the time of his comments, the Bahamas only received a $234,000 Hurricane Irma-related payout from CCRIF which shocked the nation.
The government will soon make this announcement but, as usual, Bahamas Press tells you the story even before the government can issue its statement on the matter. Maybe they are too embarrassed to discuss this latest disaster.
We report yinner decide!