The Financial Services Compensation Scheme is to protect...
The Financial Services Compensation Scheme (FSCS) is to protect customers of Monarch Insurance Services, which has gone out of business.
The FSCS said it was expecting most claims for compensation to relate to returning premiums paid to Monarch Insurance Services, where no insurance cover was put in place.
“Most customers appear to have been small businesses that took out property insurance, for example, insurance cover for buildings,” it said in a statement.
For claims against general insurance intermediaries the FSCS can pay compensation of 100% of the first £2,000 plus 90% of the balance. Compulsory insurance is protected in full.
The FSCS has written to known customers of Monarch Insurance Services asking them to check with their insurers that they have valid insurance cover.
