A new multi-million-pound class action is being mounted against another Isle of Man-based insurance firm.

The proposed case against RL360 involves a number of claimants who invested in fund products which either failed or suffered significant losses.

It is alleged that many investors may have lost all or part of their life savings.

The proposed class action comes as hundreds of claimants await the delayed outcome of another case against island-based insurers Utmost and Friends Provident International (FPI).

Sixteen claimants in that £100m class action have died before seeing judgment handed down, Isle of Man Today reported in March.

Judgment is now expected on June 8, more than two years after closing submissions concluded following a seven-week trial in Douglas High Court.

An even larger class action against the same two firms is due to be heard in a 10-week trial in March next year. Some 1,600 claimants from 40 countries have lodged claims totalling more than £270m.

A third-class action is now being prepared against RL360, which, like FPI, is part of Isle of Man-based International Financial Group Ltd (IFGL).

The claims will seek compensation for losses on the basis that RL360 allegedly failed in its duties to investors by not adequately vetting the funds it marketed.

Expressions of interest are being sought from investors who wish to join the action being prepared by Australian investigation firm Coburn Corporate Intelligence.

This is the same company assisting in the management of the claim against Utmost and FPI.

Principal Niall Coburn said: ‘We will shortly be filing a claim in the Isle of Man against RL360 (a subsidiary of International Financial Group Limited) on behalf of a group of individuals.

‘These individuals lost significant sums in RL360 products, including in some cases their life savings and retirement funds.

‘The claim will allege that RL360 failed in its duties to investors by not performing a minimum level of due diligence on funds linked to its products, which either failed or suffered large losses.

‘We are looking forward to assisting these individuals and will provide further updates when proceedings are commenced.’

RL360 is an offshore savings, protection and investment provider headquartered at International House on the Isle of Man Business Park in Braddan, serving clients in the UK, Europe, Asia, Africa, the Middle East and Latin America.

Investors who placed money in portfolio bonds linked to failed funds on RL360 platforms are being invited to join the action.

Those funds include Premier New Earth, Premier Eco Resources, Axiom Legal Financing Fund, LM Managed Performance Fund and other LM Group funds, Kijani Fund and EEA Life Settlement.

Those who invested directly in the failed funds are not eligible to join the action, which is limited to those who invested through an RL360 product.

The group action is being managed by a committee including investors who suffered losses.

They have secured litigation funding to cover legal costs, meaning those joining the action will not be required to contribute financially to pursue their claim.

RL360 declined to comment.