Insurer Equitable Life has denied a report that it is secretly planning for insolvency - a move which would put the savings of its 1.5 million members at risk.

The Sunday Times newspaper claimed to have leaked boardroom papers, suggesting that the firm had sounded out accountants Deloitte & Touche as possible administrators.

Equitable strenuously denied every aspect of the report, calling it "fundamentally inaccurate".

"The society continues to meet its regulatory requirements. Equitable Life is and always has been solvent," it said in a statement.

Equitable ran into trouble two years ago after losing a legal battle over pension policies with guaranteed returns, which forced it to close to new business and slash bonus payments.

Wiggle room

The company also denied the Sunday Times' claim that it had temporarily breached the solvency requirements set down by the Financial Services Authority on one day in June.

While denying the report, Equitable left itself some room for manoeuvre.

"It is no secret that Equitable Life has - and still does - require careful financial management and that is what the board is committed to providing in the interests of policyholders," the statement said.

"We continuously review our strategy and in that respect we are little different from any other major business."