---
title: "Independent Insurance Claims Handling Services"
ocid: "ocds-h6vhtk-04d43f"
canonical_url: "https://d3tenders.com/contract/?ocid=ocds-h6vhtk-04d43f"
markdown_url: "https://d3tenders.com/contract/ocds-h6vhtk-04d43f.md"
json_url: "https://d3tenders.com/contract/ocds-h6vhtk-04d43f.json"
source: "Find A Tender Service"
current_stage: "Award"
buyer: "FINANCIAL SERVICES COMPENSATION SCHEME"
published: "2025-01-17"
---

# Independent Insurance Claims Handling Services

Buyer: FINANCIAL SERVICES COMPENSATION SCHEME  
Current stage: Award  
OCID: ocds-h6vhtk-04d43f

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## Summary

The Financial Services Compensation Scheme (FSCS) has completed the procurement process for Independent Insurance Claims Handling Services, awarding the contract to Western Mortgage Services Limited. This contract focuses on the insurance services industry and is specifically for handling FSCS protected claims for the Independent Insurance Company Ltd., which is in liquidation. The contract, valued at £4,005,600, was signed on 12th December 2024 and is set to run until 31st March 2027, with options to extend the term for up to two additional 12-month periods. The procurement was conducted through a limited procedure without prior publication due to the absence of competition for technical reasons, ruling out other alternatives.

This tender creates significant opportunities for businesses specialising in complex and bespoke insurance claims services. Companies with experienced and skilled staff capable of handling intricate claims and managing historical and technically challenging documentation would be well-positioned to compete in similar future contracts. The awarded contract underlines the importance of possessing unique technical knowledge and capabilities, as well as the ability to navigate the intricate requirements and confidentiality obligations associated with FSCS's statutory functions.

## Notice

Handling of FSCS protected claims in respect of Independent Insurance Company Ltd.

### Lot Information

Lot 1

For the provision of claims handling services in relation to IICL

### Procurement Information

FSCS has awarded the contract to Western Mortgage Services Limited (WMSL) under Regulation 32(2)(b)(ii) of the Public Contracts Regulations 2015 on the basis that the services can only be provided by that firm as competition is absent for technical reasons and no reasonable alternative exists. This is for two principal reasons. Specifically, this contract is for Independent Insurance Company Limited (in liquidation) ("IICL") insurance run-off claims handling for FSCS in the context of FSCS carrying out its public law statutory function. It is a technical exercise requiring a unique set of knowledge and skills and not simply an administrative or straightforward claims handling. The complex and bespoke nature of the service (and vulnerable nature of individuals benefitting from it) means that a particularly experienced and skilled cohort of staff is essential for the delivery to the required quality standards. FSCS does not consider that it would be possible for any other provider to develop sufficient skills and knowledge nor to recruit and train sufficiently qualified staff within an acceptable time period, leading to an unacceptably long transition period, given the initial contract term of only two years. Such a long transition period would have an adverse effect on timely meeting of claims and risk destabilising service provision. FSCS therefore considers that to award the contract to an alternative provider would lead to an unacceptable degree of risk to performance of the services and FSCS being able to discharge its statutory duties. The documentation and data required for the ongoing work is held across a number of platforms, some dating back many years and incompatible with current technology. The firm appointed needs full access to, and ability to use, all such documentation and data as it relates to FSCS "protected claims" to carry out the work. As a result, the identification, conversion, extraction and migration of the relevant data to a state and platform which would be usable by any service provider other than this company (or an associated company) would be so complex, time-consuming and costly as to be prohibitive. In addition, aspects of the arrangement are subject to confidentiality obligations to which FSCS is not a party, adding further complication. All of FSCS's requirements for this service are objectively justified by the nature, complexity and context of the services, factors relating to the individuals making the relevant claims, the way in which documents and data are held and the existence of third party confidentiality arrangements to which FSCS is not a party. The absence of competition is not the result of an artificial narrowing of the parameters of the procurement and no reasonable alternative exists. It is not reasonable to relax any of the above requirements as this would expose FSCS and its customers to an unacceptable degree of risk.

## Key Details

| Field | Value |
| --- | --- |
| Publication source | Find A Tender Service |
| Latest notice | https://www.find-tender.service.gov.uk/Notice/001714-2025 |
| Notice type | Award Notice |
| Procurement type | Standard |
| Procurement category | Services |
| Procurement method | Limited |
| Procurement method details | Award procedure without prior publication of a call for competition |
| Tender suitability | Not specified |
| Awardee scale | Large |
| All stages | Award |

## Dates

| Field | Value |
| --- | --- |
| Publication date | 17 Jan 2025 |
| Submission deadline | Not specified |
| Future notice date | Not specified |
| Award date | 12 Dec 2024 |
| Contract period | Not specified |
| Recurrence | Not specified |

## Values

| Field | Value |
| --- | --- |
| Tender value | Not specified |
| Lots value | Not specified |
| Awards value | Not specified |
| Contracts value | £4,005,600 |

## Status

| Field | Value |
| --- | --- |
| Tender status | Complete |
| Lots status | Cancelled |
| Awards status | Active |
| Contracts status | Active |

## Buyer

| Field | Value |
| --- | --- |
| Main buyer | FINANCIAL SERVICES COMPENSATION SCHEME |
| Locality | LONDON |
| Post town | Central London |
| Postcode | EC3A 7QU |
| Country | England |
| ITL 1 | TLI London |
| ITL 2 | TLI3 Inner London - West |
| ITL 3 | TLI35 Westminster and City of London |
| Local authority | City of London |
| Electoral ward | Portsoken |
| Westminster constituency | Cities of London and Westminster |
| Delivery location | Not specified |

## Supplier

| Field | Value |
| --- | --- |
| Number of suppliers | 1 |
| Supplier names | WESTERN MORTGAGE SERVICES |

## CPV Codes

### Divisions

- 66 - Financial and insurance services

### Codes

- 66510000 - Insurance services

## Release History

- 17 Jan 2025 at 14:05 - Award - Award Notice - https://www.find-tender.service.gov.uk/Notice/001714-2025

## Notice URLs

- http://www.fscs.org.uk
- https://www.delta-esourcing.com/delta/viewNotice.html?noticeId=861817177

## Provenance

This Markdown file is an alternate public rendering of the D3 Tenders contract record. The canonical page is https://d3tenders.com/contract/?ocid=ocds-h6vhtk-04d43f. The underlying structured data is available as OCDS JSON at https://d3tenders.com/contract/ocds-h6vhtk-04d43f.json.