Towergate Insurance has been put up for sale after bosses revealed they have been approached about a takeover.

The Maidstone-based broker, which handles more than £3bn of premiums, has appointed Evercore and Rothschild to consider offers made for the firm.

The identity of the bidders was not revealed and no timescale has been set for any decision.

The company – the UK’s largest independently-owned insurance firm – also revealed pre-tax losses of £112.7m in the nine months to the end of September, up from £19.1m during the same period last year.

This was compounded by a marginal decline in income of £328.5m, a drop of about 1%.

Interim executive chairman Alastair Lyons, who took over the running of the company after Mr Hodges departure, said: “Towergate is a unique asset for someone to own in this industry.

“The approaches we have received underline this and are testament to the group’s strength in its primary markets.

“Whilst there can be no certainty that these approaches will result in a sale, it is our responsibility as a board to evaluate them thoroughly...” - interim executive chairman Alastair Lyons

“Whilst there can be no certainty that these approaches will result in a sale, it is our responsibility as a board to evaluate them thoroughly.”

The revelation comes at a turbulent time for the business, following the resignation of chief executive Mark Hodges last month.

Its advice arm Towergate Financial is under investigation by the Financial Conduct Authority regarding some of its products.

The FCA is reviewing its transfer value exercises and unregulated collective investment schemes to “identify whether any deficiency in the sales process has caused customer detriment”.

Towergate, based at Eclipse Park in Maidstone, also owns mortgage broker John Charcol and Paymentshield, which offers insurance to mortgage brokers.

The business employs more than 5,000 people across more than 100 offices across the UK, including Sevenoaks and Whitstable.