Supporting second chances: Yutree’s flexible approach to Liability cover for businesses with CCJs, convictions and liquidations

February 26, 2025

In today’s tough economic climate, even the most well-managed businesses can find themselves facing financial challenges. Unexpected downturns, industry shifts and unforeseen events can lead to issues like County Court Judgments (CCJs), liquidations or even convictions – often leaving these businesses struggling to secure essential insurance cover.

For insurance brokers, finding solutions for clients with past financial difficulties can be challenging, as many insurers view these risks as automatically “out of appetite”.

At Yutree, we take a different approach. We believe that businesses that have faced past challenges – but have taken steps to recover and stabilise – deserve a second chance.

We’ve built a flexible approach to underwriting liability insurance, designed to help brokers support these businesses, while maintaining responsible underwriting practices.

Learn more below about:

A flexible liability market for businesses with past challenges

Many businesses encounter financial setbacks during their lifetime. Economic downturns, management changes or a single costly mistake can result in CCJs, liquidations or other financial discrepancies. But these challenges don’t necessarily reflect the future stability or integrity of the business.

At Yutree, we take a holistic view.

Rather than automatically declining these risks, we evaluate each case on its own merits. We look beyond the surface and consider the full story – asking questions like:

  • Was the issue a one-off event or part of a pattern?
  • Has the business or individual taken meaningful steps to rectify past mistakes?
  • Are there measures in place to prevent the issue from recurring?

We’re proud to offer brokers the ability to secure cover for people and businesses that may have been turned away elsewhere, as long as they present no moral hazard and show that they have made genuine efforts to move forward.

Who we can help

Yutree’s flexible underwriting is designed to accommodate businesses that have faced challenges but are now on a path to stability.

We can consider:

  • Businesses impacted by external factors -such as market downturns, natural disasters, or industry disruptions
  • Companies under new management – where leadership changes have led to improved financial health
  • One-off mistakes – where lessons have been learned and measures have been taken to prevent a repeat
  • Firms recovering from specific incidents – such as a CCJ or insolvency, where the root cause has been addressed
  • Firms where a director might have a prior conviction, provided there is no perceived moral hazard, and the conviction was a mistake, which has been learned from.

These businesses often have stories of resilience and transformation, and with the right insurance cover they can continue to thrive.

Who we can’t cover

While Yutree is committed to offering second chances, we also maintain strict standards to ensure responsible underwriting. We are not able to accommodate:

  • Repeat offenders – i.e. businesses or individuals with a history of recurring financial discrepancies or convictions
  • Moral hazard risks – including sexual offences, fraud, intentional mismanagement or dishonest practices
  • Ongoing instability – businesses that haven’t addressed the issues that led to past financial difficulties

Every case is judged on its individual merits, with a focus on long-term stability and responsibility.

Why this approach matters

In an economy where many businesses face financial uncertainty, giving businesses and individuals second chances isn’t just an act of goodwill – it is a vital step toward sustaining growth, protecting and creating jobs and creating a more resilient society.

By helping viable businesses regain their footing, we contribute to growth, job stability and the overall health of UK industries.

This approach also benefits brokers. Many insurers simply won’t consider clients with past financial issues, leaving brokers scrambling for options. Yutree fills this gap, offering a flexible, collaborative approach that helps brokers find tailored solutions for a broader range of clients.

The role of brokers in securing second chances

Brokers play a crucial role in helping businesses tell their full story. When placing cover for clients with past challenges, brokers can:

  • Provide context around the circumstances that led to CCJs, liquidations, or convictions
  • Highlight improvements – such as leadership changes, new financial controls or improved risk management practices
  • Communicate the business’s recovery strategy and future stability

At Yutree, our underwriters are always available to discuss risks directly with brokers. We value open conversations and collaborative problem-solving, ensuring each case gets the attention it deserves.

If you have clients who could benefit from this approach, get in touch with our team today. Let’s work together to support business growth, resilience, and long-term success.

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