Do I need to tell insurers that I’ve been bankrupt?

Matt Oliver
29 May 2019


I am an avid follower of your website, but I am looking for some specific help. I read something recently that implied that if you have ever been declared bankrupt, then you have to inform your insurers – be it contents or car. I was bankrupt more than 15 years ago and I was discharged within months of being declared bankrupt.

If this is the case, could you please point me towards which companies offer insurance cover for those who have been bankrupt?

SC/via email


Bankruptcy generally won’t affect your car insurance, nor is it a question asked by most car insurers. While a policy may be stopped at the point of bankruptcy, it is not a factor that will impact your access to cover.

However, this is not the case when it comes to your home insurance. Many providers will actually decline to offer a policy to those who have been declared bankrupt in the past. While some insurers may still provide cover, your options will be limited.

You will need to shop around for an insurer in the normal way, checking comparison sites.

However, once you have found a policy that you want to buy, in your case it would be wise to talk to the insurer over the phone and tell them your situation. This will avoid problems should you ever need to claim on the policy.