This follows the decision of the Board of Catholic Church Insurance (CCI) to voluntarily place the organisation into ‘run-off’.
In a statement issued on May 30 the Board said “despite every effort, CCI has been unable to secure sufficient capital contributions from shareholders to enable its business to continue operations in line with regulatory requirements”.
“CCI remains an Australian Prudential Regulatory Authority (APRA) authorised insurer, and as such will continue to manage claims from existing policyholders using its capital reserves. It will not issue any new or renewal policies for all insurance business,” the statement said.
The Australian Catholic Bishops Conference and Catholic Religious Australia reiterated their apology for the abuse that has occurred in the Church and said they would “continue to work towards justice and healing for the crimes and sins that took place, where that is possible, including through the payment of compensation”.
“The Catholic Church Insurance run-off also means that Church entities that have been insured with CCI will need to find new insurers,” said ACBC president Archbishop Timothy Costelloe SDB and CRA president Fr Peter Jones OSA.
“We are supporting Catholic ministries currently insured with CCI to ensure continuity of general insurance cover, and we are confident that will be achieved.”
In a letter to schools and parishes in the Archdiocese of Adelaide, Archbishop Patrick O’Regan said the Diocesan Office was working closely with CCI to ensure an orderly transition to alternative insurance arrangements as policies expire. He said the Archdiocese was also working closely with other dioceses across Australia.