CEO John Neal has unveiled his future strategy for Lloyd’s, focused on six “transformational initiatives” as well as a commitment to lower costs and simplify doing business
Lloyd’s has unveiled its future plans under new CEO John Neal with a “bold new strategy” for the London re/insurance market.
The proposals are focused on delivering higher quality risk protection for the market’s customers, Lloyd’s said.
They also aim to simplify access to the global insurance market, together with lowering costs of doing business at Lloyd’s.
The strategy’s publication marks the next phase of consultation and blueprint development involving Lloyd’s market participants, customers and other stakeholders.
“Work will begin on building and delivering prototypes from October 2019, with some operational in early 2020,” Lloyd’s said.
Six big ideas
Six “transfotmative” ideas within The Future at Lloyd’s plan were outlined, focused on responding to re/insurance market challenges and better seizing opportunities.
Lloyd’s described these as follows.
- · A platform for complex risk that makes doing business easier and enables efficient digital placement of the most difficult-to-cover risks.
- · Lloyd’s Risk Exchange through which less complex risks can be placed in minutes at a fraction of today’s costs.
- · Flexible capital that can simply and effectively access a diverse set of insurance risks on the Lloyd’s platform.
- · A Syndicate-in-a-Box, which offers a streamlined opportunity for innovators to bring new products and business into the market.
- · A next generation claims service that improves customer experience and increases trust in the market by speeding up claims payments.
- · An ecosystem of services that helps all market participants develop new business and provide outstanding service to their customers.
Lloyd’s provided comments on its plans from its own leadership and market stakeholders.
Bronek Masojada, CEO of Hiscox, said:
“These initiatives remind us of Lloyd’s centrality to the global insurance market and its determination to remain central to it as the world evolves. We look forward to working with all our Lloyd’s colleagues to bring these ideas to realisation.”
John Neal, Lloyd’s of CEO said:
“Lloyd’s unique attributes – the ability to access unparalleled underwriting expertise, financial security and market access all in one place – are more relevant today than ever. However, a dynamic risk environment combined with rapid advancements in technology have fundamentally changed the world. Lloyd’s is changing too, driven by a desire to provide the best (re)insurance products and services available anywhere.
“We will succeed by harnessing the entrepreneurial and innovative spirit that is at the heart of Lloyd’s. Together we have a tremendous opportunity to reimagine Lloyd’s and build a marketplace that is future focused, highly responsive to the changing and diverse needs of our global customers, with a culture of inclusivity and innovation.”
Bruce Carnegie-Brown, chairman of Lloyd’s, said:
“Throughout its history Lloyd’s has always sought to reinvent itself by remaining at the forefront of insurance innovation. The proposals we have announced today represent the culmination of months of engagement with stakeholders across the market and around the world. I believe they will set Lloyd’s up for success for the years to come.”
Chris Croft, CEO of the London & International Insurance Brokers’ Association (LIIBA), said:
“At LIIBA we have welcomed the very collaborative approach that Lloyd’s has taken to drawing up these ideas and in seeking our help. We share a common central objective: a strong, vibrant, innovative Lloyd’s market must be a key part of the offering we make to our clients. The ability to find cover for clients that is simply not available elsewhere has always been at the heart of London’s unique offering. We must ensure it retains and grows that ability, and we look forward to discussing what happens next.”
Sheila Cameron, CEO of the Lloyd’s Market Association, said:
“Today’s launch of “The Future at Lloyd’s” demonstrates John Neal’s commitment to put Lloyd’s at the front of the insurance flotilla. It offers an exciting view into how our shared marketplace can evolve and we are excited to work together with Lloyd’s on building out this braver future for the ultimate benefit of our customers.”