With top EU officials warning that the chance of a ‘no-deal’ Brexit is increasing, Justin Newton of Towergate Insurance Brokers is urging business owners to keep an eye on their insurance policies but not to start worrying just yet.
British businesses are perfectly justified in their unease over the possible consequences of a ‘no-deal Brexit’, not least of which are those involving their insurance.
According to the EU, insurers are at present continuing to issue renewals for insurance policies that 1) run beyond the 30 March 2019 deadline date set for the UK to be outside of the European Union; and 2) that may be expected to operate in the EU, or be with a European insurer-writing business in the UK.
What is not known is whether those covers provided will still be legitimate after that date or whether we will be faced with a raft of policy cancellations on 29 March and an epidemic of ‘uninsuredness’ in the event of a ‘no-deal’.
At present, until the detailed nature of our estrangement from the EU is laid out, there remains a degree of uncertainty as to what indeed will happen to insurance policies that cover goods or services in the EU or those written by an EU insurer.
However, Towergate’s best advice at present is not to be unduly concerned over the implications of a ‘no-deal’ for your insurance cover. We are constantly monitoring the position and will be contacting our clients if any changes to their current arrangements are required.
Justin Newton is a Commercial Business Director at Towergate Insurance Brokers, one of the UK’s leading insurance brokers with branches in Wales.