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TURKS AND CAICOS ISLANDS NATIONAL INSURANCE BOARD
Notes to Financial Statements, continued Year ended March 31, 2013
29. Commitment, continued
The amount transferred was to be the NIB actuarially assessed amount pursuant to the provisions of section 49 of the Ordinance and Section 43 of the Benefit Regulations.
At April 1, 2010 the actuarially assessed value of the compensatory transfers for medical services to beneficiaries arising from employment injury was estimated at US$612,000 for the year ended March 31, 2011. During the year ended March 31, 2011 NIB paid the total assessed value to NHIB which was included as a benefit expense in the statement of income, expenses and reserves. No amount was paid or provided for the period April 1, 2011 to March 31, 2013.
Before agreeing to any further payment of medical care costs, to NHIB or TCIG, NIB is attempting to establish the basis upon which any such payment should be made and to whom. At March 31, 2013 no support for actual medical costs incurred in relation to employment injuries for the period April 1, 2010 to March 31, 2013 had been provided to NIB. In the absence of any evidence to the contrary NIB believes the amount of US$612,000 recognised in 2011 represents its best estimate of the total costs incurred (note 19).
30. Subsequent event
On April 30, 2013 the liquidator of TCI Bank proposed to pay a rate of 8% interest on the US$5,500,000 debenture loan compounded every six months from the date of default until August 20, 2012, being the date the liquidator repaid the debenture, less US$300,000 unpaid liquidator’s costs and expenses incurred in relation to the debenture (note 8(a)). On May 30, 2013 the Board of Directors of NIB agreed to the liquidator’s proposal which was formally agreed on June 18, 2013.
At March 31, 2013 the total unpaid interest on the debenture loan was US$1,044,695. This unpaid interest was subsequently collected on June 18, 2013, net of the aforementioned US$300,000 liquidator’s cost and expenses of collection and US$78,000 legal fees incurred by NIB.
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