The number of insurance companies going bust plummeted by 86.1% last month, compared to July 2011, according to statistics published today by Experian.
There was also a month-on-month fall with five companies failing in July, down on the six which became insolvent during June.
In total, July saw 0.04% of the insurance business population fail.
Meanwhile, for the economy at large, some 1,776 companies [0.09% of UK companies] went bust, compared to 1,962 during July 2011.
The biggest improvements in failure rates were recorded by firms with more than 501 employees as well as smaller firms with 11 to 25 employees.
The best performing regions were the South East with which posted a 19.4% drop in insolvencies last month compared to July 2011 and Scotland which registered a 25.3% fall.
However, the East of England saw the biggest rise with an 8.6% increase in insolvencies last month compared to July 2011.
Stable
Speaking about the results, Max Firth, director, Experian Business Information Services, UK&I, said: "Since March this year, when the insolvency rate peaked at 0.11%, it has remained fairly stable - between 0.08% and 0.09%.
"The lack of any real increase is clearly welcome and this picture is unlikely to change in the near future."
He added: "The figures continue to underline the importance of good insight into the financial risks associate with insolvencies among both clients and suppliers and how these issues can affect their business."
For all the latest industry news direct to your inbox, sign up for our daily newsletter.
