Clients at risk of invalidating insurance protection following BT signalling service withdrawal announcement

11 April 2024

11th April 2024: General insurance provider Berkeley Alexander urges intermediaries to contact their customers who have maintained BT Redcare Alarm Signalling Systems, following the announcement that BT’s services will be completely withdrawn from the market by August 2025. This will impact primarily commercial and mid/high net worth customers.

BT has stopped selling new Redcare alarm signalling products and will stop maintaining remaining products and services by 1st August 2025, or when contractual services expire before that date. This means potentially thousands of customers with maintained electronic fire and security systems that utilise BT Redcare signalling will need to make alternative arrangements to ensure that not only do they have adequate security in place, but that they also continue to meet insurance requirements to remain protected in the event of fire or theft.

Primarily impacting Mid & High Net Worth clients and commercial premises where an intruder and/or fire alarm is an insurance requirement, it is essential that any changes meet with the insurer’s minimum standards as specified within the insurance contract. Customers need to engage with their insurance provider to ensure changes that are needed continue to meet those minimum standards.

Whilst 1st August 2025 feels a long way off, those impacted should act now.

Speaking about the Redcare withdrawal and the insurance implications of non-compliance, Geoff Hall, Chairman of Berkeley Alexander, said: “It’s fair to say the announcement by BT will impact thousands of customers in the UK. It’s vital that intermediaries speak to those clients with Redcare contracts as soon as possible to ensure continued compliance with insurance requirements. Failure to comply could mean a claim is rejected in the event of a theft or fire incident.”

“Likewise, intermediaries need to work in partnership with their GI provider to ensure they can deliver the best cover at the right price. The advice and support of a GI provider will be critical, as we anticipate insurers will see a peak in demand from commercial customers. Those providers like us with strong relationships with insurers will be key to securing and maintaining the best policy cover possible.”