The Danish insurance company Gefion Finans A/S under frivillig likvidation (Gefion) formerly known as Gefion Insurance A/S has been declared bankrupt. Policyholders can cancel their policy, if they wish to do so. The policy will be cancelled 3 months after the declaration of the bankruptcy in the Danish journal, Statstidende. The Danish Guarantee Fund for non-life insurance undertakings will only cover claims from Danish policyholders.
On 7 June 2021, the Maritime and Commercial High Court declared Gefion bankrupt. Policyholders must report their claims to the claims handlers mentioned in their policy. Further information can be found on the homepage of the bankruptcy estate, www.gefioninsurance.com.
Furthermore the bankruptcy means that policyholders can cancel their policy, if they wish to do so. The Danish Financial Supervisory Authority encourages the policyholders to cancel their policy with Gefion and buy a new policy with another insurance company if possible. This is due to the fact that Gefion has been declared bankrupt and unless the policyholder is covered by a compensation body within its territory, it might take several years to be compensated and then probably only partially compensated in the form of a dividend from the bankruptcy estate. The Danish Guarantee Fund will only cover risks (within the scope of coverage) in Denmark for insurance policies written in Denmark. The policyholders must be aware that in the situation that the insurance contract is not covered by a compensation body within its territory it can last several years before the policyholders can get the premium refund repaid, and only in the form of dividend.