If you have a policy with this company, it will come to an end on December 1 – and you will need to find new cover
Thousands of drivers have been urged to find new motor insurance after a provider went bust.
Premier Insurance Company Limited, which is a Gibraltar-based insurer but provided car and motorcycle insurance policies for UK customers, collapsed into administration last month.
If you have a policy with this company, it will come to an end on December 1 – and you will need to find new cover. It is estimated that Premier Insurance covered around 16,000 individual customers and small firms.
The Financial Conduct Authority said anyone affected would be contacted by brokers to discuss finding new cover.
Premier Insurance stopped providing new insurance policies in January 2025. Freddie White and Bradley Chadwick of Grant Thornton have been appointed as joint administrators.
Premier Insurance is no longer paying out claims – instead, customers will be covered by the Financial Services Compensation Scheme (FSCS).
The FSCS is an independent body that protects consumers if a financial services firm fails and cannot pay claims against it.
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 FCFS is working closely with the Insolvency Practitioner, Grant Thornton (Gibraltar) to make sure all eligible UK policyholders are protected.
“FSCS will also protect eligible firms with an annual turnover of less than £1m. Premier Insurance Company Limited customers can be assured that their claims will continue to be considered against the terms of their policy.”
Save money on your car insurance
Car insurance is a legal requirement in the UK and has to be renewed yearly. The three main types are: third party, third party fire and theft, and fully comprehensive.
When the time comes to look for other quotes, you should use a comparison website to check for prices. Some of the most notable ones include Compare the Market, Go Compare and Confused.com.
According to MoneySavingExpert.com, the best time to renew your car insurance is 20 to 26 days before your current policy ends. It is also worth checking quotes with some providers directly, as not all appear on comparison websites.
One of the big brands that doesn’t appear is Direct Line. Once you’ve found the best deal elsewhere, call up your current provider to see if they will beat it.
If you do go with a new policy, you should see if you can get cashback on sites such as Topcashback and Quidco.