Lloyd’s to be broker-friendly

Lloyd’s three-year plan proposes to broaden its product range away from large catastrophe risks, to target new markets in Russian andChina and make trading easier for brokers, the FT reports.

“It is the market participants – the underwriters and the brokers, rather than the corporation – who take first responsibility to ensure they are well positioned to reap future gains,” Richard Ward, chief executive, said.

More volatile US catastrophe risks have come to dominate the market in the past decade, while less volatile and lower margin risks such as motor, accident and health insurance have declined.

Geographic spread

“The market is working to improve its geographic reach and product diversification with the aim of improving its overall risk profile,” it said. The Lloyd’s announcement also said a priority was to increase the adoption and use of The Exchange and to speed the way the Lloyd’s market handles claims.

“Lloyd’s is a broker market; they are central to the market’s ongoing success. We also need to work to improve and streamline how coverholders access the market,” Ward said.

The FT said Ward and others in the market will continue to lobby to ensure that London remains a competitive financial services centre, as increasing numbers of companies look to move their domiciles to other countries.