| The Bermuda Fire & Marine Company Limited ("BFMIC")
was incorporated in Bermuda pursuant to the Bermuda Fire and Marine Insurance
Company Act in 1903 as a Joint Stock Company with limited liability.
Its international business was primarily reinsurance written between 1969
and 1983 through both Weavers and Driver underwriting agents in the UK,
and between 1978 and 1985 through Bermuda London Underwriting Agency Limited
("BLUA"), underwriting agent in Bermuda. BFMIC also wrote a
smaller book of international business in Bermuda ("BFMIC Direct")
from 1964 to 1990.
The principal type of business underwritten was Liability Insurance and
Reinsurance, including General and Product Liability for manufacturers,
Fidelity, Directors' and Officers', and in later years Professional Indemnity
and Medical Malpractice.
Following restructuring in 1991, the company continued the run-off of
its international business, paying agreed claims in the normal course.
Over the next two years the company's financial position deteriorated.
It ceased paying claims on 15 October 1993.
The run-off of BFMIC is managed by KMS Insurance Management Limited ("KMSIM"). |
The Original Scheme of Arrangement provides for the orderly
run-off of BFMIC.
The Liquidators recognised that many creditors of the company are also
creditors of the KWELM companies and, in the Spring of 2004, the Liquidators
proposed, by way of an Amending Scheme of Arrangement (dated 15 April
2004), amendments to the terms of the Original Scheme to achieve early
closure of the Scheme, adopting the same bar date as KWELM.
A copy of the proposals for an Amending
Scheme of Arrangement incorporating the Explanatory Statement and all
Appendices and Schedules can be found under the Documents section of this
website. These proposals include a process to value all unagreed and future
claims and to pay final distributions to all creditors.
Those General and Protected Scheme Creditors whose claims were admitted
for voting purposes unanimously approved the Amending Scheme at Meetings
held in Bermuda on 18 May 2004. The Bermudian and English courts sanctioned
the Amending Scheme on 18 June 2004.
The Amending Scheme became effective on 25 June 2004 and the Bar Date,
by which the Liquidators must have received details of your claim and
ALL supporting information, was 23.59 GMT on 29 September 2004.
Protected Scheme Creditors should continue to present their claims to
KMSIM as they mature.
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