The UK High Court has approved the final winding-up of a long-running insurance pool, with a creditors meeting to be held on November 30 in London.

The English and American Pool consists of 16 insurers, including NZ’s Tower Insurance, Fuji International Insurance, the Insurance Corporation of Singapore, KX Reinsurance and Nippon Insurance.

Some of the UK and US insurance companies involved in the pool no longer exist. The parties ceased accepting new business in 1992.

In 1993 the largest member of the pool, the English & American Insurance Company (EAIC), became insolvent. It held a 70% stake.

The failure of EAIC was due to a blowout in marine claims, many of which were not protected by reinsurance.

In 1993, the administrator of EAIC agreed to a run-off of the pool, a move that has been steadily happening during the past 17 years.

According to a KPMG creditor’s report of the pool, in December 2008 there was $US506 million ($498 million) in outstanding claims, of which $US180.3 million ($177.4 million) had been paid to creditors.

But a further $US105.9 million ($104.2 million) of claims had been agreed but no payments to creditors had been made, giving the total liabilities at the end of December 2008 as $US451 million ($443.9 million).

The assets of EAIC and some of the other insurance companies in liquidation only add up to $US15 million ($14.7 million), according to KPMG.

But with reinsurance payments and other income, the total funds held at June 30 last year were $US188.4 million ($185.5 million).

UK-based PRO Insurance Solutions will continue to manage the final run-off of the pool and has set a date of April 11 next year for final claims to be lodged.

Advertisements in Australian media have been calling on potential claimants to finalise their claims before the pool is wound up.