TRUST FUND DECLARED FINANCIALLY SUFFICIENT

The triennial financial sufficiency assessment of the 1986-1990 HCV Trust Fund (Trust Fund) required under the Settlement Agreement was triggered on December 31, 2019.

By early 2021, the three Courts made the following orders/judgment:

• The Trust Fund has sufficient assets overall to meet its long-term liabilities and has excess capital of between $197,596,000 and $203,578,000 (2019 excess capital) as at December 31, 2019.
• Two of the three notional accounts which comprise the Trust Fund have sufficient assets and excess capital, while the third notional account, the HCV Late Claims Benefit Account, has insufficient assets as at December 31, 2019.
• Excess assets from the Special Distribution Benefits Account be allocated to the HCV Late Claims Benefit Account, such that all three notional accounts of the Trust Fund are financially sufficient as at January 1, 2020.
• The 25% holdback on the benefits payable under the HCV Late Claims Benefit Plan be removed.

The Joint Committee has begun the work required to bring applications asking the Courts to exercise their discretion and allocate the 2019 excess capital for the benefit of class members. It is not known at this time whether the federal government will bring applications asking the Courts to order the 2019 excess capital returned. It will likely be late 2021 before the expert evidence required to bring these applications can be completed.

The orders/judgment of the three Courts in respect of 2019 financial sufficiency are available here: Ontario, British Columbia, Quebec.