Linking the business plan to related processes: The output of the business planning process, both initially and on an ongoing basis, should be integral with other processes operated by the managing agent including:
- Financial Reporting
- ICA review
- Exposure management
- Reinsurance purchase
- Reserving
- Underwriting and Claims Management
- Syndicate Business Forecast (SBF)
[Please note that the SBF return does not constitute the managing agent's business plan].
Managing agent board review: Reports showing progress against KPIs will normally be reviewed at least quarterly by the managing agent's board to ensure that the business plan objectives remain reasonable.
Effective planning process: The effectiveness of the business planning process will be kept under review by the nominated director with recommendations made to the managing agent's board regarding any required changes.
Advising Lloyd's of variances: Material deviations² from the Business Plan should be advised to Lloyd's and, if requested to do so, the relevant SBF and ICA should be resubmitted to Lloyd's to reflect the deviation as soon as practicable.
[²For example change in the final result, or change in the amount of risk in the plan]
