Question: How does FSCS insurance work for traders? What is the process?
If traders’ funds are not entirely recuperated following the insolvency of 8Safe UK(IronFX), supplementary coverage is afforded to offer protection above the FSCS limit of £50,000 per client.
The policy will be upheld providing that the following causes have been met:
- 8Safe UK is declared insolvent by the FSCS.
- Discovery of a shortfall in segregated customer assets by insolvency practitioners.
- The FSCS paying the first £50,000 of each claim.*
*Now, cover for clients that go beyond the sub-limit of £1,000,000 can be arranged, as IronFX UK has purchased a new insurance in October 2017.