Cessation of payments and bankruptcy of Assegurances Generals, SA



On October 17, 2019, the special administrator appointed by the Andorran Financial Authority (AFA) submitted to the Court of Andorra (Batllia) the request to declare the cessation of payments of Assegurances Generals, SA. This demand, justified by the impossibility of the companyto face payable debts, was aimed at protecting the interests of the insured clients of the company.

By means of the Edict dated December 2, 2019, published in the BOPA number 105 extra, of December 4, 2019, it is announced that, by court order dated November 26, 2019, it is announced that, the cessation of payments and the bankruptcy of the company Assegurances Generals, SA have been declared by Court Order dated November 26, 2019.

This resolution is appealable to the Superior Court of Justice (Tribunal Superior de Justícia) within 13 business days.

As part of the bankruptcy proceedings, the Honourable Judge (Batlle) has appointed the Andorran Financial Authority as the judicial administrator, has enabled it to proceed with the operations provided for in articles 60 and related of the Decree of cessation of payments and bankruptcy dated October 4, 1969, and has authorized it to carry out any necessary actions to ensure the continuation of the activity which is considered as not being entirely stoppable.

By virtue of the above, this Authority informs the creditors of the company that they have 30 business days after the publication in the Official Gazette of the Principality of Andorra (BOPA) to present to the judicial administrator the supporting documents of their credits. For this purpose, creditors can contact the AFA by visiting its offices at Carrer Bonaventura Armengol, 10, Edifici Montclar, block 2, 4th floor, Andorra la Vella (AD500), by phone at (+376) 80 88 98 or by email at fallidaAGA@afa.ad.

In the current non-life and life-risk insurance contracts granted by Assegurances Generals, SA, the rights of the insured are duly guaranteed until the expiration of their policies through the  Decree dated 14-10-2019 of measures to help mitigate the effects of the financial hardship on the non-life and life-risk business of Assegurances Generals, SA.

As for the life insurance savings / life investment contracts, the declaration of bankruptcy of Assegurances Generals, SA must allow the orderly and equal treatment of its credits.

 Check the BOPA

Source: Andorran Financial Authority