Proposed Part VII Transfer

Proposed transfer of insurance business from Southern Rock Insurance Company to Alwyn Insurance Company

Information About the Transfer

Southern Rock Insurance Company Limited (“SRICL”) is a member of the Arch Capital Group Ltd (the “Arch Group”). SRICL sold motor insurance policies through third parties. Alwyn Insurance Company Limited (“Alwyn”), is also a member of the Arch Group. Both SRICL and Alwyn became part of the Arch Group in 2021. Both entities had been working together on the same insurance business since 2011.

The Arch Group decided it was unnecessary to have two companies conducting the same business within its group, so SRICL ceased taking on new business from 1 July 2023. SRICL is now proposing to transfer its remaining claims and expired policies to Alwyn (subject to regulatory and court approval) (the “Proposed Transfer”).

The Proposed Transfer process is governed by UK Law.

Why are there two processes? Will my policy be transferred twice?

Both SRICL and Alwyn are insurance companies incorporated in Gibraltar. Therefore, in addition to the Part VII process, under Part 23 of the Financial Services Act 2019 of Gibraltar, a Gibraltar insurance company, such as SRICL that wishes to transfer all or part of its insurance business to another Gibraltar insurance company must do so by following the requirements and process in accordance with Part 23 (the “Part 23 Transfer”) as well. Details of the proposed Part 23 Transfer that will run alongside can be found here If you are a policyholder who holds a policy with risks situated in UK, your policy is proposed to be transferred pursuant to the proposed Transfer under Part VII of FSMA 2000 as well as the Part 23 Transfer.

The Transfer Process

The Proposed Transfer of SRICL’s business to Alwyn is being carried out under a legal process known as a “Part VII Transfer” in accordance with Part VII of the UK Financial and Services and Market Act 2000 (FSMA).

The Part VII Transfer is designed to help safeguard your interests and ensure that SRICL is complying with its duties to its policy holders. Under Part VII, an Independent Expert needs to carry out a report on the impact and effects that the Proposed Transfer could have on our policy holders and any other interested parties (the “Report”). Therefore, Christopher Clarke, a Fellow of the Institute and Faculty of Actuaries has been appointed as an Independent Expert to review the likely effect of the proposed Transfer on policyholders and has prepared a report on the same. Mr Clarke’s appointment was approved by the Prudential Regulatory Authority (“PRA”) on 26 March 2025 after a consultation between the PRA and the Financial Conduct Authority (“FCA”). The Independent Expert has concluded in his report that the implementation of the proposed Transfer will not materially adversely affect the security of the benefits of policyholders of SRICL or Alwyn, or have any impact on service standards experienced by policyholders. A copy of the report can be found below. A summary of the report is also available below

The Proposed Transfer will not proceed unless the High Court of Justice of England and Wales (the “Court”) approves it. As such, a Court hearing will be held where the Cout will consider the Proposed Transfer. You have the right to attend the Court hearing that will consider the Proposed Transfer and to present any objections or concerns that you may have directly, or appoint legal counsel to attend on your behalf. The hearing is currently scheduled for 28 November 2025. If the Court sanctions the application for the Proposed Transfer, the transfer will take effect from 23:59 (London Time) on 31 December 2025.

If there are any changes to the process, the date of the Court hearing or Proposed Transfer timeline, we will post updates of such on this webpage.

Key Dates

28 November 2025 –
The Court hearing at the High Court of Justice will hear the application for approval of the order sanctioning (i.e. approving) the proposed Transfer and decide whether or not to approve it. Should this hearing date change, we will update this webpage
31 December 2025 –
If the High Court approves the transfer, it will become effective at 00:01 (London Time) on this date. We will publish the outcome of the Court hearing on this webpage.

Important Documentation

Copies of the key documentation relating to the Proposed Transfer can be found below:

Legal Notice with details of Court hearing – Download
Independent Expert Report, dated 16 July 2025 – Download
Summary of the Independent Expert Report 16 July 2025 – Download
The Scheme Document – Download
A Summary of the Scheme Document – Download
A copy of the letter giving notice of the Proposed Transfer to Policyholders – Download
A copy of the letter giving notice of the Proposed Transfer to Claimant Solicitors – Download
A copy of the letter giving notice of the Proposed Transfer to relevant third parties – Download
Copy of the letter giving notice of the Proposed Transfer to PPO Claimants – Download

FAQs

Please click here for the FAQs along with our responses.

Contact Details

If for any reason you require further information, you can contact us in writing at:

Part VII Lysander House
Catbrain Lane
Cribbs Causeway
Bristol,
England
BS10 7TQ

By emailing us at:

transfer@sricl.com

Or by calling the dedicated helpline on:

0808 168 6810

The helpline will be open from Monday through to Friday between 09:00 and 17:00 London time.