The question – an uninsured insolvency
A business enters into insolvency or receivership and its insurance cover can immediately become invalid, exposing it (and its creditors) to potential losses whether it’s stolen equipment, property damage or liabilities such as an injured employee. How does the insolvency practitioner/receiver appointed manage the insolvency to protect the firm's existing assets and limit any further liabilities?
The answer – open insurance cover
Aon understands that the priority of the appointed insolvency practitioner is to protect the interests of the insolvent firm's creditors. It is why we have worked closely with the insurance market to develop an immediate cover insurance facility to cover the assets and liabilities of insolvent individuals/companies and properties in Receivership.
Blanket cover from day one
We know speed is everything and insurance cover is provided automatically from the moment you are appointed. From day one of the insolvency, our clients are insured, supporting whatever outcome strategy the Insolvency Practitioner or Receiver is looking to achieve.
Key benefits include:
- Automatic trigger – the policy starts as soon as our client is appointed, providing peace of mind
- Open cover – no underwriting information required to trigger the policy
- Reduced excess levels – reduces the uninsured losses to the appointment following a claim
- Full perils cover on unoccupied property – no restrictions to cover following vacancy
- Only pay for what you use – insurance is charged on a pro-rata basis and only paid on cover cancellation, preserving cashflow
Who is it for?
- Insolvency practitioners and debt advisors
- Banks/finance houses
- Private equity
Other services we offer
In addition we offer a variety of other services including:
- Risk management advice
- Probate solutions
- Restructuring solutions