The FSA has warned policyholders who have taken out household and building insurance cover with Tribune Risk and Insurance Services Ltd that they are likely to have no effective cover.
The warning excludes those holding Tribune Diamond policies.
A Scottish Court Session in Edinburgh heard that Tribune was operating without authorisation from the FSA and had no reserves or provisions in place to meet future claims.
The company did not have any authorisation from GISC.
Tribune has been placed into liquidation with Dan Schwartzmann and Bruce Cartwright of PricewaterhouseCoopers appointed as the joint provisional liquidators.
The majority of the 40,000 policies sold by Tribune relate to home insurance. The FSA issued a warning to those with a Tribune household insurance policy to contact their broker immediately to arrange alternative cover.
