Administrators to stop all Premier Insurance policies

Premier Insurance stopped selling new policies on 31 December 2024 and ceased trading on 14 October 2025, according to Which?¹. The Gibraltar-based insurer, which mainly sold motor policies, entered administration in October 2025, and administrators plan to stop all policies on 1 December 2025¹. The insurer is no longer able to pay claims in full¹.

Customers with a policy from the failed firm have until Monday 1 December to arrange alternative cover or be left unprotected¹. The position is most urgent for anyone who took out car, motorcycle or van cover, because driving without insurance is a criminal offence¹. Penalties for driving uninsured include a fixed penalty of £300, six penalty points, and an unlimited fine and driving disqualification if the case goes to court; police can also seize and potentially destroy the vehicle¹.

Premier Insurance is covered by the Financial Services Compensation Scheme (FSCS), which says it has stepped in to help over 16,000 individual customers and small firms with an annual turnover of less than £1m¹. How much a customer is eligible for depends on the type of policy taken out¹.

The scheme says it will process payments once claims have been approved by the appointed insolvency practitioner, Grant Thornton¹. Customers with a new claim or a question about an existing one should contact claims handling agents Davies Group, which can be reached by calling 0344 856 2176, or by email at premiernewclaims@davies-group.com or premier.claims@davies-group.com¹. The FSCS has set up a dedicated page on its website for updates on the case¹.

Why it matters for households

Anyone still holding a Premier Insurance policy is affected from 1 December 2025, when cover stops¹. For motor policyholders that date matters most: driving without valid cover is illegal, and the penalties above apply even if the gap in cover lasts a single day¹. Households with comprehensive cover, including fire and theft, will be paid 90% of what is owed on claims rather than the full amount, while third-party claims are protected in full¹. Refunds are based on the cost of the insurance premium portion of the policy, alongside payment for any outstanding claims¹. The FSCS says it has helped over 16,000 individual customers and small firms with turnover under £1m¹. General background on how insurance premiums, excesses, cover limits and exclusions operate, and on how insurance premiums are worked out, including Insurance Premium Tax, is available in the site's guides.

What happens next

Policies stop on 1 December 2025¹. Claims payments will be processed once the appointed insolvency practitioner, Grant Thornton, has approved them¹. New claims and questions about existing claims go to Davies Group on 0344 856 2176 or by email¹. The FSCS dedicated page carries updates on the case¹. No further dates for the administration have been reported.