Thousands of motorists could find themselves without valid auto insurance today following the collapse of a major provider. Premier Insurance Company Limited, a Gibraltar-based insurer serving UK customers, recently entered administration, rendering policies ineffective starting December 1. Affected policyholders must secure new coverage promptly. It is estimated that approximately 16,000 individuals and small businesses were insured by Premier Insurance before its collapse.
Claims under Premier Insurance policies are now covered by the Financial Services Compensation Scheme (FSCS) since the company is no longer honoring payouts. Customers who have transitioned to alternative insurers are safeguarded under their new policies. The appointed joint administrators for Premier Insurance are Freddie White and Bradley Chadwick of Grant Thornton.
Sarah Marin, FSCS’s chief customer officer, reassured policyholders that the FSCS is diligently working with Grant Thornton to protect eligible UK policyholders and small businesses with turnovers below £1 million. The FSCS pledges to continue evaluating claims in accordance with policy terms.
In the UK, car insurance is compulsory and must be renewed annually. The primary coverage types are third party, third party fire and theft, and fully comprehensive. To secure competitive rates, consumers are advised to utilize comparison websites like Compare the Market, Go Compare, and Confused.com. MoneySavingExpert.com recommends renewing insurance 20 to 26 days before expiration and suggests checking directly with providers not listed on comparison sites, such as Direct Line. Furthermore, individuals should explore cashback options on platforms like Topcashback and Quidco when switching policies.