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Written Question
Alpha Insurance
Tuesday 29th October 2019

Asked by: Peter Heaton-Jones (Conservative - North Devon)

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what assessment he has made of the effect on Alpha insurance customers of the decision by the Financial Services Compensation Scheme to award only premium insurance refunds to those people following the bankruptcy of that company.

Answered by John Glen

The Financial Services Compensation Scheme (FSCS) protects customers when a financial services firm fails, and is independent from government and industry. It is accountable to both the Financial Conduct Authority and Prudential Regulation Authority for the effective operation of the scheme.

Her Majesty’s Treasury has conducted no formal assessment of the effect on the customers of Alpha insurance of the decision taken by the FSCS to award return of premium refunds following its insolvency. The rules setting out the operation of the scheme allow for premium refund compensation, where a suitable replacement provider cannot be found to take on the policies of an insolvent firm.

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Speech in Commons Chamber - Mon 18 Mar 2019
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Speech in Commons Chamber - Tue 11 Dec 2018
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Speech in Commons Chamber - Wed 21 Nov 2018
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Speech in Commons Chamber - Thu 23 Nov 2017
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Speech in Commons Chamber - Thu 23 Nov 2017
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Speech in Commons Chamber - Thu 11 Feb 2016
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