Whittington has arranged a solvent scheme of arrangement between Reliance National Asia Re and its creditors.
Claims from hundreds of Asian insurers are expected to follow. RNA Re ceased trading in 2000 and was purchased by Whittington in 2004.
Simon Birch, Whittington Asia chief operating officer, commented: “This is a significant moment for Whittington as the court approval for the solvent scheme for RNA Re is the first time such a scheme has been set up that will benefit claimants largely from the Asia insurance markets.
“The approval paves the way for finality for the RNA Re claimants who come from all over the region and we believe the claims process will be fast and efficient.”
The scheme of arrangement has the approval of the Monetary Authority of Singapore.
Any disputed claims will be settled by an independent adjudicator whose decision will be final and binding on both parties. Claimants now have the potential to have their claims paid in full.
Birch added: “This process has been a big step forward for our group since we relocated our global headquarters from the UK to Singapore a year ago.
“We believe the successful approval of this scheme, together with the Lion City Run Off scheme, shows that our group leads the way in this region in run off application. Our track record here in Asia and in Europe speaks for itself.”
