The insurer’s liquidator has written to brokers warning of date when policies will be cancelled
Customers of failed insurer Enterprise have been warned to find new cover before all their policies are cancelled in October.
Enterprise’s provisional liquidator, Freddie White of Grant Thornton, has written to insurance brokers to say he expects to cancel all policies on October 26.
The FSCS said that this gave brokers and their customers about a month to find alternative cover.
If people do not find new insurance before the deadline they will not have cover, and the FSCS protection will no longer apply.
FSCS chief executive, Mark Neale added: “We strongly urge all existing Enterprise motor insurance customers to find new cover as soon as possible.
“FSCS will continue to protect you until the deadline. FSCS has already paid almost £7m in claims mostly on Enterprise motor policies.
“But we cannot pay for claims that happen after the cancellation. Your insurance broker will be ready to help you find a new policy.”
FSCS is paying Enterprise claims, including motor insurance claims now. It will also be covering return of premium claims for Enterprise customers.