Electronic reform is hampered by a London-centric view
The buzz word of the London Acord Forum so far has been “Londonism” – for example, “we need to get rid of the Londonisms” and “everything we do is dictated by Londonisms”.
The context is this: in order for the London market to remain a competitive force, businesses must adopt electronic reform strategies that fit a global, rather than London-centric mould. The Acord global standards are one step towards this goal – the “oil in the machine”, as one panellist put it.
The Acord London roadmap for implementation should be developed to encompass global strategies. “We have to take out the Londonisms – we write insurance globally. If I have a global roadmap that I can use across the entire business rather than just a London roadmap, I know I can start to reduce risk more effectively”, said Tom Payne of Kiln.
People are beginning to realise that the London market will not survive solely on its strength in face-to-face business. There are many smaller risks that can be placed efficiently if electronic systems are in place, leaving only the more complex risks for face-to-face negotiation.
The lack of history behind the developing foreign markets such as Bermuda has allowed them to develop without the “isms”. In order to modernise to their level, some of the traditions of the London market will have to be left behind.
