TORONTO, Feb. 2, 2012 /CNW/ - Today, the Ontario Superior Court of
Justice ordered the winding-up of Union of Canada Life and appointed
Grant Thornton Limited as liquidator.
Union of Canada Life, incorporated in Ontario, services approximately
22,000 policies across Canada with most policies being in Quebec. The
company faced unique challenges, business risks and insufficient
capital to ensure long-term viability, which caused it ultimately to
seek court protection.
"We will be focused on arranging the transfer of the policies to another
life insurance company expeditiously in order to ensure the
policyholders continue to be served seamlessly. In the interim,
operations of Union of Canada Life will continue from its head office
in Ottawa", said Michael Creber, the Grant Thornton partner in charge
of the liquidation.
The Liquidator will be working closely with Assuris, the not for profit
organization that protects Canadian policyholders in the event their
life insurance company fails. In general, during the transition
period, policies will continue and benefits will be paid. It is also
anticipated that the policyholders will suffer no loss of benefits.
"However, if full recovery of policyholders' benefits is not achieved
in the transfer process, Assuris is committed to providing its
protection to all policyholders" said Gordon Dunning, President and CEO
All policyholders will be receiving a letter directly from the
Liquidator on how their respective benefits are protected. Other
parties affected by the liquidation order will also be receiving a
separate letter. In the interim, policyholders are advised to continue
paying their premiums as usual in order to ensure there is no
interruption in their insurance coverage.
If you have any questions, visit www.GrantThornton.ca/Union_Canada_Life, call the Liquidator Information Centre at 1-855-390-4200 or email the
Liquidator at Union_Canada_Info@ca.gt.com.
SOURCE GRANT THORNTON LLP
For further information:
| Media contact: || Michael Creber, Senior Vice President, Grant Thornton Limited |
| || Tel.: 416-369-7047; Email: Michael.Creber@ca.gt.com |