Q&As about Insurance

What would the FSCS do if a large insurer were to become insolvent?

How long would it take to settle claims and make payments to policyholders?

Does FSCS protect businesses?

Jargon Buster

  • Eligible

    qualifying for compensation under Scheme rules.
  • In default

    A firm unable, or likely to be unable to pay claims against it. This will generally be because it has stopped trading and has insufficient assets to meet claims, or is in insolvency.
  • Insolvency

    having insufficient assets to meet due debts or liabilities.