AGA insolvency victims petition EU Parliament

A group of about thirty clients affected by the collapse of Assegurances Generals d’Andorra (AGA) has taken its case to the European Parliament’s Committee on Petitions (PETI), seeking protection and an investigation into the handling of the firm’s failure.

The group, made up largely of French nationals—some of whom lived in Andorra for part of their lives and now spend much of their time in France—says AGA, supervised by the Andorran Financial Authority (AFA), was declared insolvent in 2019. They allege that over six years the insolvency has led to the total loss of assets and insurance coverage for hundreds of clients, primarily EU citizens from France and Spain, and that Andorran authorities have not taken effective measures to safeguard policyholders’ interests.

According to the letter submitted to PETI and seen by Altaveu, creditors have been left “without compensation or recourse,” except for ongoing auctions of some AGA real-estate assets and land, which the group says have sometimes sold at around 50% of value. The letter also states that no European protection or compensation mechanism has been applied, leaving affected EU policyholders without remedies under EU frameworks.

The petitioners argue the case reveals a legal gap: Europeans who bought life-insurance products marketed as compliant and secure lacked access to EU guarantees or equivalent supervisory protection when dealing with an Andorran firm. They request that PETI open an investigation or hold a hearing into AGA’s insolvency and the responsibilities of Andorran and European authorities.

Among their recommendations, the group calls on the European Commission to warn Andorra about the absence of protection mechanisms for EU citizens in financial relations with third countries; to consider creating an EU-level alert and guarantee mechanism covering operators from associated third countries; and to promote clear, transparent information for citizens exposed to such risks.

The letter also criticises what it describes as promotional messaging by some Andorran operators promising “safe optimisation of wealth management,” and urges that the social consequences for EU citizens should not be ignored. The petitioners note this particular claim about government advertising appears uncertain and may not reflect official government promotion. They offer to provide further documentation—court rulings, articles, witness statements and audit reports—to European institutions to support their case.