News release

Elite Insurance - statement

We are aware that Elite Insurance has announced that it will not write any new business. As part of its business Elite provided professional indemnity insurance (PII) and after the event (ATE) insurance to clients of firms we regulate.

Elite Insurance is regulated by the Gibraltar Financial Services Commission (GFSC). It entered the solicitors PII market in 2012 and had previously announced in March 2016 that it was pulling out of that market saying all existing policies will continue until expiry but that renewal terms would not be offered.

There are around 20 firms who currently have insurance with Elite with these policies due to expire between now and the end of the year. There will also be firms with run-off insurance with Elite. Elite have said that all policies issued to date will remain in force and policyholders will not be affected. All existing claims and new claims will continue to be managed by the company’s claim handling agents as stated on policy documents.

We anticipate firms will already be looking to get insurance in place with another insurer in the light of the March announcement, under our minimum terms and conditions. Separately, firms will need to find another insurer if they buy ATE for clients who need it in the future.