Thousands of motorists may find themselves without valid car insurance from today following the collapse of their provider. Premier Insurance Company Limited, a Gibraltar-based firm offering car and motorbike cover to UK customers, went into administration last month.
Anyone holding a policy with the company will find their cover is no longer valid from today (December 1), meaning they must secure alternative insurance immediately. Motorists had previously been alerted that they would need to source fresh car insurance. Those who have already acted and obtained new cover will be protected under their replacement policy.
It is believed that Premier Insurance was covering approximately 16,000 individual customers and small businesses at the time of its collapse. The firm has ceased settling claims; instead, customers will receive protection through the Financial Services Compensation Scheme (FSCS). The company had already stopped issuing new policies in January 2025.
Freddie White and Bradley Chadwick from Grant Thornton have been named as joint administrators. Sarah Marin, chief customer officer at the FSCS, said: 'We understand customers will be worried about how Premier Insurance Company Limited's failure will affect their motor insurance policies. We'd like to reassure customers that FSCS is working closely with the Insolvency Practitioner, Grant Thornton (Gibraltar) to make sure all eligible UK policyholders are protected.'
Motor insurance is mandatory across the UK and requires annual renewal. When seeking alternative quotes, motorists should use comparison sites such as Compare the Market, Go Compare and Confused.com. Based on MoneySavingExpert.com guidance, the optimal period to renew is 20 to 26 days before the existing policy expires. It is also worthwhile checking quotes directly with some providers, as not all feature on comparison platforms.
