Gibraltar insurer collapsed after realising it had absolutely no capital backing
Gibraltar-based Hill Insurance Company is in liquidation, the Rock’s second insurer to collapse in just a few weeks, Insurance Times can reveal.
Court documents for the winding-up of the company, obtained by Insurance Times, reveal the bonds it used as shareholders’ equity were either “non-existent or did not belong to the company”.
And Hill’s website said that it had been the victim of “serious external fraud”.
Hill’s collapse last month follows hot on the heels of the liquidation of Lemma Insurance Company Europe.
Lemma froze payments to policyholders, including UK customers, and then went into liquidation last week.
Insurance Times understands that Hill, which underwrote aviation and surety bonds, has a license to operate in Italy, Bulgaria and the UK.
Hill said it was working with the Gibraltar Financial Services Commission to establish the facts of the case and was co-operating with the relevant authorities.
Hill was put into liquidation by the Supreme Court of Gibraltar last month and Deloitte was appointed as provisional liquidator. Deloitte has not responded to emailed questions about Hill.
For more read this week’s Insurance Times.
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