Contractors and consultants hit by the collapse of Independent Insurance have been urged to join a group fighting for compensation.
The Creditors of Independent Insurance Action Group said the more creditors that joined, the cheaper legal action would be and the likelier they would be to recover money.

The action group's chairman, Kevin Young, said: "We want as many firms as possible to contact us and register. If you are not in, you cannot win." The construction industry is set to lose hundreds of millions of pounds following Independent's collapse, from lost premiums and outstanding claims covered by the insurance group.

The group said it had been contacted by 1000 interested parties, including employees, shareholders and policy holders.

The group estimates that the expense of joining the group will be 2% of claims less than £500,00 and 1% for claims of more than £500,000. Claims above £1m will be assessed individually.

Young said that the group knew of companies seriously affected by the collapse, including architects. He said: "Some businesses are certainly teetering on the brink at the moment."

  • The National Federation of Builders has called for a public enquiry into Independent's collapse.

    HBF chief executive Tony Maynard said: "The industry requires reassurance that lessons have been learned so that confidence in the insurance industry may be quickly and fully restored."