“Insurance Law & Regulation: National & International Debates and Future Direction”, organised by Lloyd’s and held in association with the Centre for Commercial Law Studies at Queen Mary, University of London, was a recorded debate designed to give participants in the market an opportunity to hear from those who are at the forefront of the legal and regulatory changes in the international insurance industry.
Introduced by Lloyd’s Chairman Lord Levene, the speakers invited to head up the debates included the heads of the International Association of Insurance Supervisors (IAIS) and the CEA – Europe’s insurance and reinsurance federation, as well as the European Commission’s Karel Van Hulle, who is leading the Solvency II project.
“With the legal and regulatory changes coming our way, we think it has never been more important for the market to stay informed,” said Lloyd’s Director & General Counsel, Sean McGovern. “We wanted this event to be an opportunity for people to engage in the debates and to hear from the individuals leading the changes,” he said. “We also felt that this conference would be of wider interest, which is why we have made recordings of the conference available on our website.”
Colin Edelman, QC, a leading insurance barrister, and David Hertzell from the Law Commission of England & Wales both spoke about the proposed changes to insurance law in Great Britain, which the Law Commission is leading. Edelman emphasised his support for the changes, as the existing law, in his view, is long past its sell-by date and was drafted for a very different era. Hertzell, in giving an update on the consultation process, noted that the Law Commission had the highest number of responses ever to its Consultation Paper, which indicated “a high level of engagement” from the market.
On the issue of Solvency II, Karel Van Hulle stressed that the cutting-edge nature of the reforms being proposed will, when implemented, put Europe ahead of the field. In addition to discussing Solvency II, Van Hulle highlighted the work the EU Commission has done on other insurance issues, including Insurance Guarantee Funds.
In turn, Gérard de La Martinière, President of the CEA, discussed the challenges faced by the industry in the current environment and noted the ongoing debates in the EU, notably Solvency II and the collateral debate with the NAIC in the US. De LaMartinière also discussed the impact of climate change and how this may result in pressure on insurers in the way they invest, as well as creating opportunities for insurers to engage in risk prevention/management.
Sean McGovern, speaking on behalf of Lloyd’s, emphasised the important role Lloyd’s plays in international regulatory debates. In particular, McGovern touched on the ongoing challenges of the collateral debate as well as the growing but still tentative signs of change in the US regulatory regime, which Lloyd’s supports.
He also highlighted how Lloyd’s was looking to ensure open trading rules, preserve cross-border trading rights and, as far as possible, see the removal of overlapping and duplicative and unnecessary regulations.
Audio recordings of the conference can be downloaded by visiting:
www.lloyds.com/insuranceconference
