Lloyd's cuts red tape for brokers
Lloyd’s has taken measures to ease the passage of brokers wishing to access the market as it continues to execute its rolling three-year strategy of delivering the “platform of choice”.
The Society said it had streamlined the authorisation procedures for broker entrants to “make it quicker and more efficient”, eliminating duplication with UK regulator the Financial Services Authority.
This would cut the process from 6-8 weeks to just 1-2 weeks, Lloyd’s director and general counsel Sean McGovern told Insider Week.
The changes also see the removal of routine annual reporting requirements for registered Lloyd’s brokers, including the annual broker questionnaire, said the Corporation.
At the same time, Lloyd’s said it had made it easier for broker subsidiaries in a group to become Lloyd’s brokers in their own right.
“It is hoped that improvements in electronic trading and business processing will increasingly facilitate direct access for UK regional or overseas group companies,” said Lloyd’s in a statement.
McGovern said the move anticipates a change in the traditional role of the London broker, with business placed directly rather than through wholesale avenues.
The measures were taken following consultation with the Lloyd’s Market Association’s Regulatory Committee, the London Market Insurance Brokers’ Committee, and market participants.