Catholic dioceses and religious orders have injected almost $170m into the Church’s insurance company to help pay reparations for abuse carried out by priests, religious and lay people.
Catholic Church Insurance has recorded massive losses – $192.3m last financial year, and nearly $250m in 2019.
In June, 18 current CCI shareholders made up of Catholic dioceses and religious orders contributed $168.9m in order to “solidify” the broader insurance business, but especially the historical abuse claims that CCI covers.
Australian Catholic Bishops Conference president, Brisbane Archbishop Mark Coleridge said bishops and leaders of religious congregations had worked with CCI over decades.
Since the 1990s, that collaboration has included finding ways to provide financial compensation to victims and survivors of child sexual abuse.
“The recent work we have undertaken together means we can assure the Catholic community and wider public that survivors of historical abuse will be treated justly, with no impact on compensation arrangements,” Archbishop Coleridge said.
“The mission of the Church can only be carried out if we show, in concrete ways, that we are deeply sorry for the abuse that has occurred and that we want to bring some healing, where that is possible.”
Marist Brother Peter Carroll, the president of Catholic Religious Australia, that represents leaders of religious institutes and societies of apostolic life, said the cash injection was a correct and necessary step.
“Our Church has a commitment to protecting those who are vulnerable, and part of our history is that some of our members greatly harmed vulnerable people,” Br Carroll said.
“Responding compassionately to reports of abuse, through compensation, pastoral care and other support, is a way to make reparations. This cash injection solidifies one part of that response.”
CCI chair Joan Fitzpatrick said: “We share the commitment of the bishops and leaders of religious institutes in finding and pursuing just responses to abuse claims that come forward.
“Victims and survivors of abuse need support, in some cases financial support, and I’m thankful we have been able to work with the bishops and leaders to secure the future of those payments.”
The company’s core business as an insurer, asset manager and risk manager for policyholders will continue for the settlement of professional standards claims.
