Uncertainty over failed insurer assets

Grant Thornton, liquidators of Gibraltar-based Enterprise Insurance Company, has warned that the failed insurer may not have enough assets to pay claims.

Speaking to Post, appointed liquidator, Frederick David John White of Grant Thornton said, ‘I am now managing the company’s affairs under the supervision of the Gibraltar Financial Services Commission and will report back to the Supreme Court within three months.

‘Insurance policies issued by Enterprise have not been cancelled or disclaimed but I am unable to currently pay any claims arising under such policies. It is also uncertain if the company’s assets will be sufficient to meet insurance claims in full.

‘In these circumstances it is advisable for policyholders to contact their brokers to arrange alternative insurance cover.’

He added, ‘I am in contact with the compensation schemes in the various countries in which Enterprise wrote business to coordinate with them the processes by which eligible claims may be paid from the schemes. I will update with further information regarding these processes as it becomes available.’

Reports suggest the insurance business was labelled as ‘hopelessly insolvent’ with liabilities of up to £18 million (€21.5 million).

Enterprise Insurance operated across a number of European markets including France, Greece, Italy, Norway and the UK.