The British Association of Insurance Brokers (BIBA) have issued their latest industry bulletin, which includes their thoughts highlighting the potential issues that might arise when using non-UK domiciled insurers, passported into the UK market and without a credit rating.
The Financial Services Compensation Scheme (FSCS) is already in discussion with the Gibraltar Financial Services Commission about the effects on UK policy holders and BIBA will be updating affected brokers as matters develop.
Meanwhile brokers who have arranged cover for their clients with Enterprise, who are based in Gibraltar and have recently been declared insolvent, have been advised they may want to seek an alternative provider and also pursue any claims through the FSCS who will be working with the provisional liquidators to ensure that outstanding claims are processed as quickly as possible. Clients will need to continue to make payments to any premium finance company involved until the end of their credit agreement.
