A group formed to claim insurance pay-outs owed to them by Syn Mun Kong Insurance (SMK) is looking to stage a gathering on Monday after the company’s rehabilitation petition was accepted by the Central Bankruptcy Court on May 18.
SMK has issued a statement explaining that it owes 41 billion baht in pay-outs related to Covid-19 insurance policies. The company has so far paid out 11.875 billion baht using its profits, but still owes approximately 30 billion baht to another 350,000 policyholders.
According to the company, it is unable to honour the remaining pay-outs due to impact on its liquidity.
The Central Bankruptcy Court’s decision to accept SMK’s rehabilitation petition, filed on May 17, grants it an Automatic Stay on having to continue pay-outs until otherwise ordered.
In response, a Facebook page setup to bring together those policyholders still awaiting pay-outs from SMK has called for a gathering to take place this Monday in front of the Central Bankruptcy Court. By law, the group is permitted to oppose the acceptance of the rehabilitation petition.
Several comments posted on the page have accused SMK of irresponsibility and voiced concern that its entering into a rehabilitation process will allow it to avoid payments or delay further payments by three to five years.