GAP Insurance - Car 2 Cover FSA Protection ?

tangleteeth

I'm looking at getting some GAP vehicle replacement insurance for 3 or 4 years and have found that Car2Cover offer a £50K claims limit. All the other insurers seem to offer a maximum of £25K, but 3 or 4 years down the road I don't think this will be enough to cover the gap.

My question is about the FSA protection I will enjoy:

In the Ts&Cs Car2Cover is the website name of Click2Protect
Click2Protect is authorised and regulated by the Financial Services Authority - so protection is normal under Finanaia Services Compensation Scheme

HOWEVER
The Insurance is underwritten by Enterprise Insurance Company Plc, registered in Gibraltar, authorised and regulated by the Financial Services Commission in Gibraltar and is licensed to operate in the United Kingdom by the Financial Services Authority
- SO WHAT PROTECTION IS THIS ?

Thanks for taking the time to read to the end of this post. Any financial advisers out there know the answer ?
Jimbo

System

tangleteeth wrote: »

....

The Insurance is underwritten by Enterprise Insurance Company Plc, registered in Gibraltar, authorised and regulated by the Financial Services Commission in Gibraltar and is licensed to operate in the United Kingdom by the Financial Services Authority
- SO WHAT PROTECTION IS THIS ?

Enterprise Insurance Co is authorised by the FSA as an EEA registered firm (Reg No: 402277)

Thus, the rules for their home European country will apply.

For Gibraltar, I found this link : http://www.fsc.gi/fsclists/Details.aspx?EntityID=7399

Which is the authority in Gibraltar, but the Key Facts document for the GAP policy underwritten by Enterprise does say :

Financial Services Compensation Scheme (FSCS)
The Insurer is covered by the FSCS. You may be entitled to compensation
from the scheme if the Insurer cannot complete Their obligations. This
depends on the type of business and the circumstances of the claim. For
claims against insurers 90% of the claim is covered with no upper limit.
Further information about the compensation scheme is available from
www.fscs.org.uk or by phoning 0800 678 1100 or 0207 741 4100

And the Enterprise website is : http://www.eigplc.com/who-are-we.html

Where it confirms :

Enterprise Insurance

Enterprise Insurance Company Plc was established in July 2004 by the current Managing Director, Andrew Flowers. Using its position as a fully admitted EU insurer the company, utilising its unique skill sets, has sought and successfully established a broad portfolio of general insurance products spanning the requirements of several markets.
The company is regulated by the Financial Services Commission in Gibraltar. The FSC keeps abreast of legislative and regulatory developments in the UK in order to ensure that the Gibraltar insurance supervisory standards continue to match those imposed by the FSA in the United Kingdom.
As such our UK policy holders enjoy the benefits of UK Policy Holders Protection and the Financial Services Compensation Scheme which provides cover should an insurer be unable to meet its liabilities.

tangleteeth

Thanks for taking the time to respond so quickly.
I've spent a bit more time researching the FCS (Gibraltar), EEA passports, etc. and examining the policy wording and it would seem that the protection is the same as the UK FSCS scheme - I think :undecided

BJV

Hi

You are right Enterprise is a big company and you are protected under the financial services compensation scheme. Just remember that the compensation scheme does not mean that you will get all of your money back. Depending upon what you bought you may only get a proportion.
I can not post links yet, buy you can type Financial compensation scheme limits into Google.

They also supply a number of other on line companies such as directgap.co.uk and gapinsurance123.co.uk as well. I am not a football person so don't know if it is good or bad but they sponsor Leeds United as well! ( sorry My hubby said thats bad) ha ha :j