Canada's BridgePoint Indemnity Company (BICO) has reached an agreement with FSCO and FICOM to resume operations, effective immediately.
BridgePoint Indemnity Company (Canada) (BICO) Chairman and CEO John Rossos issued the following statement:
We are pleased to announce that BICO has reached an agreement with FSCO and FICOM to resume operations, effective immediately.
The interim solution enables all BICO Legal Cost Protection contracts to be fully administered on original terms, including the payment of claims.
Our primary concern has always been to protect the interests of the tens of thousands of BICO clients and we have worked tirelessly over the past several weeks to achieve this goal.
BICO has consistently maintained that its legal cost protection products are not insurance. However, to avoid a protracted dispute we have worked closely with FSCO and FICOM to create a long term solution that addresses their concerns.
Accordingly, BICO has signed Letters of Intent with both a licensed Canadian insurer and an insurance brokerage. This partnership will allow us to offer our products across Canada with regulatory approval. We expect to have this arrangement finalized within the next 90 days or so.
While our products will now be marketed and sold as regulated insurance policies, they will remain in all material respects the cost protection currently enjoyed by BICO's clients.
The transition to a regulated insurance business will allow BICO to offer a broader selection of services to its clients making it a bigger and stronger company.
We appreciate the tremendous market support we have received during this time, and we will continue to keep you informed.