Lloyd's has said that demand to put new capital into the market is triggering one of the market's most significant periods of mid-year growth.
Lloyd's director of worldwide markets Julian James told an audience of insurers and brokers that as the insurance market is "at its most attractive for a decade" Lloyd's syndicates are rapidly raising capital to take advantage of conditions.
The market's capacity has risen from £12.2bn at the start of the year to a mid-year high of £12.5bn.
Also, £428m of Qualifying Quota Share arrangements have been approved, with £500m more awaiting approval.
James said: "As stock markets around the world take a beating, insurance premiums are rising and are expected to provide positive returns for several years to come. This demonstrates the contra-cyclical nature of insurance markets like Lloyd's. But it is not our intention to allow Lloyd's to be flooded with so much capital that a soft market is created. Indeed, we are very aware of this possibility.
"These strong trading conditions combined with our programme of radical but sensible modernisation proposals are creating a modern, transparent and profitable business fit for the future."
James was speaking at the Western States Surplus Lines conference in Canada.
