The government is considering changes to regulation to facilitate the transfer of liabilities following the recent deal agreed between Equitas and Berkshire Hathaway.
According to reports, the planned amendments would remove barriers to the transfer of liabilities from Lloyd's Names to Berkshire Hathaway. Under the new system, Equitas would be able to make a High Court application to facilitate the transfer of liabilities.
The transaction, announced in October, will provide a further £3.8bn ($7bn) of reinsurance cover to Equitas and, when finalised, will end liabilities for Names under policies reinsured by Equitas.
Read also...
Equitas deal gives Lloyd's clear competitive edge
Equitas deal puts Lloyd's outlook on positive
Lloyd's welcomes $7bn Equitas deal
