If you paid for cover with an insurer that has failed, we may be able to compensate you. This is subject to conditions, limits and requirements set out by the Prudential Regulation Authority (PRA) in its rulebook.
To be eligible for protection, the company that failed must have been regulated by the Prudential Regulation Authority (PRA).
How we protect customers
There are three ways that we can protect eligible customers of failed insurers.
1. If the policy is replaced by a new policy with a different insurer, we can pay the new insurer towards the cost of this.
2. If the policy is not replaced and eligible customers are entitled to the remaining portion of their insurance policy premium, we'll fund and process this payment.
- Note we can only repay 90% of the calculated refund.
- If the insurance policy is in your name but paid via a loan from a finance company that required you to assign your rights to them, we will pay any return of premium payments to them.
3. We pay either 90% or 100% of the claim value if policyholders have valid claims under an insurance policy with a failed insurer.
What happens when an insurance firm fails?
An insurance firm failure can be worrying - we explain what we'll do to cover you.
Who gets involved?
Find out who does what when an insurance firm fails.
Failed insurance companies
Find the company on this list of insurance firm failures.