Quinn Direct Administration - April 2010

This regularly updated section of the HomeApproved web site will cover the latest trends, research, opinion and developments in the UK car insurance sector. 

Quinn Direct in Administration
There has been shock at the news that Quinn Insurance Limited has been placed into Administration in Dublin, Ireland with effect from the 31st March by order of the High Court.

A recent report from the Irish Times said that Mr Justice John Cooke installed Paul McCann and Michael McAteer of Dublin accountancy firm Grant Thornton joint provisional administrators to the company in the High Court after the Financial Regulator expressed serious concerns about the finances of the company and how it was being managed.

The administrators have confirmed that customers of the insurer will continue to have their claims settled and there is no change to the validity of policies. "The appointment of joint provisional administrators will better protect policy-holders," the regulator said.

"It will allow the firm to remain open for business, to continue to be run as a going concern under different management and to put the business on a sound commercial and financial footing." However, no new policies will be issued or renewed meaning other competitors will take advantage of unexpected new business during this period. This statement applies to policies taken up in Ireland and the UK.

In Britain UK Quinn operates Quinn Direct selling UK car insurance, van, home, fleet and business policies. In recent years, the company had made a name selling competitor insurance to provisional and young drivers. Free breakdown assistance was also included for vehicles up to 15 years old.

The news of the downfall of this established company will send shockwaves around the already fragile financial community which will do nothing to calm the fears of this industry.

ENDS

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