When you have a subsidiary in the UK, there are three possible solutions for covering the risks inherent in it: Indirect "Police Master" cover; Local "Stand Alone" cover; and "Libre Prestation de Service: LPS" cover, which is the most widely used.
WHY?
Simply because :
Is simplest for Risks located within the European Economic Area.
It offers simple, flexible insurance services through a single point of entry, covering all risks located in the European Union under a single French policy. This coverage enables :
It is therefore the simplest form of cover for your subsidiary in the UK. However, with the decision taken on June 24, 2016 in favor of its exit from the EU "BREXIT", a strong uncertainty hangs over this type of coverage. In the event of England's withdrawal from the European Economic Area, LPS cover is likely to disappear.
With this formula, English insurance companies set up local policies in the countries where the risk is located. You benefit fully from the recognition of a major insurer in this market, providing cover that is perfectly adapted to local legislation.
To set up such a policy:
You can ask your French broker to organize the negotiation of your insurance policy with an English insurer on your behalf, together with his English correspondent;
The local broker will draw up the contract in accordance with local provisions, taking into account specific local legal requirements;
Simple handling and settlement of claims in accordance with local laws;
Contracts underwritten in local currency.
This International Insurance package combines the strengths of global coverage issued from the country of your parent company with the advantages of local policies underwritten in the country where your subsidiaries are based. It guarantees:
Total risk coverage in line with local requirements;
Local claims management;
Coordination from France
An integrated program offering economies of scale.
THEREFORE, if your subsidiary in the UK is covered by LPS, it's best to change the type of insurance and opt for "Stand Alone" or "Police Master" cover.