The Provisional Liquidator of Enterprise Insurance Company Limited (Freddie White, appointed 25 July 2016) has today (30 September 2016) written to all insurance brokers to advise that he intends to terminate all Enterprise Insurance policies on 26 October 2016.
This means that policyholders now need to take action to find new insurance cover before 26 October 2016.
Policies remain valid until 26 October 2016. After this deadline and following the termination, Enterprise insurance policies will not be valid and Enterprise motor insurance policyholders will no longer be able to legally drive under these policies.
Brokers will be contacting policyholders to advise on finding alternative cover. If policyholders have any questions they should refer to their broker.
If you have any queries, please direct these to the Provisional Liquidator at [email protected] or 00350 200 50150.
The Gibraltar Financial Services Commission (FSC) has more information on Enterprise Insurance Company and the termination of Enterprise Insurance policies on 26 October 2016.
The UK's Financial Services Compensation Scheme also has information for customers of Enterprise Insurance Company.
Update: Enterprise Insurance Company is now in liquidation
On 26 October 2016 the Provisional Liquidator issued his report to the Supreme Court of Gibraltar and has now been appointed as Liquidator of Enterprise Insurance Company Plc (‘Enterprise’). Enterprise is now in liquidation. This means that anyone with a motor insurance policy from Enterprise is no longer covered by the policy.
The Liquidator has now disclaimed (i.e. terminated) all Enterprise motor insurance policies under insolvency law which means these are no longer valid and it is against the law to drive under these policies. Your insurance broker (the person who arranged your Enterprise insurance policy for you) should have already helped you arrange alternative insurance cover but if you have not done so you should immediately contact your broker or another insurer directly to seek alternative cover. This only applies to motor insurance policies.
More information for Enterprise policyholders can be found on the Gibraltar Financial Services Commission's (GFSC) website including a Q&A on how disclaiming of motor policies affects you and what to do if you have a claim.
The UK’s Financial Services Compensation Scheme has also provided information on its website on how it will pay compensation to affected Enterprise policyholders.
The Liquidator continues to work with Enterprise staff and claims operations to ensure that the insurance business continues to operate.
It is also the Liquidators intention to disclaim other types of Enterprise insurance policies (as it has already done with motor policies) at a later date and more information on this will be provided in due course. In the meantime these policies remain valid and claims should be reported in the normal way. You should however contact your broker to discuss your options with regard to these other policies as soon as possible.
GFSC to launch major probe into Enterprise and its Directors
The FCA is aware of the announcement today of a major investigation into Enterprise and its Board of Directors by the GFSC following the financial collapse of the company. Enterprise was registered and authorised for insurance business in Gibraltar and carried on business in a number of EU states, including the UK, via an EU freedom of services passport. As such the primary regulator for Enterprise is the GFSC and they will lead the investigation.