Bermuda domestic insurer BF&M Ltd. is in negotiations to buy a public insurer in Barbados, according to CEO John Wight.

Mr. Wight told The Royal Gazette the deal was not yet finalised, when contacted about Barbados news reports indicating that country's government had decided to sell its remaining shares in the Insurance Corporation of Barbados (ICB) to BF&M.

"All I can say at this time is that we have been in negotiations to buy the shares of Insurance Corporation of Barbados from the Barbadian Government for several months, but have not yet signed an agreement to do so," Mr. Wight said.

A report in the Barbados Advocate said Barbados Prime Minister Owen Arthur had spoken of government's policy of privatisation, during debate on the annual estimates of revenue and expenditure in the Barbados Parliament.

BF&M was said to have been chosen on the basis that the government wanted "ICB to be built out and developed rather than to be absorbed into another insurance company".

Mr. Arthur was reported in the Advocate as saying the sale of ICB shares would bring into the island's treasury another $66 million this year. He praised BF&M as having "the expertise to bring product development to the ICB, increased service for customers".