Lloyd's in Kentucky - An Update
8 February 2007 - Patrick Talley - Lloyd's Kentucky Inc
Lloyd’s is a licensed insurer in Kentucky under the name of ‘Underwriters at Lloyd’s, London’. Lloyd’s underwriters may therefore underwrite all classes of insurance from Kentucky except life, mortgage guarantee and title business on an admitted basis. Lloyd’s admitted status means that underwriters cannot accept business from Kentucky on a surplus lines basis.
All Lloyd’s syndicates underwriting insurance from Kentucky must maintain a
Kentucky Trust Fund, protected by a Kentucky Trust Deed, to which a syndicate’s
managing agent is party. Underwriters transacting Kentucky insurance risks are
subject to the same requirements, such as rate and form filing, as other licensed
insurers, and every Kentucky transaction must be reported to Lloyd’s Kentucky
office. Further information on writing insurance and reinsurance business from
Kentucky can be found on the Kentucky pages of Lloyd's Worldwide. Lloyd’s Representation in Kentucky Lloyd’s is represented in Kentucky by Lloyd’s Kentucky Inc., a Lloyd’s subsidiary
company. The President of Lloyd’s Kentucky is Patrick Talley, who joined Lloyd’s in June 2006.
Lloyd’s Kentucky office is located in downtown Frankfort, Kentucky’s capital, in
close proximity to the Office of Insurance and the State Capitol. The office probably established a record for stability among Lloyd’s premises: from 1937 to 2004, it was at the same address. Eventually, in 2004, the office moved to the historic Owsley House at 314 West Main.
Lloyd’s underwriters and brokers are welcome to contact Lloyd’s Kentucky for
intelligence or assistance and are encouraged to call into the office if they are
traveling in the area.
Some recent developments for Lloyd’s in Kentucky are discussed below. Electronic Initiatives Roll-out Lloyd’s Kentucky is scheduled to begin offering secure electronic countersignature
and processing of insuring documents during the first quarter of 2007. The office
already receives a significant portion of its business electronically, and this
innovation will fully capitalise on that by eliminating production of hardcopy during
the processing cycle.
Lloyd’s Kentucky also participates in the Kentucky Office of Insurance’s eServices
program. This service enables online management of producer appointment and
financial responsibility filings, and also permits many regulatory fees to be paid
electronically. These initiatives will further increase efficiency, and are important steps in our
efforts to enhance operations and to expand the services provided.
Regulatory Developments Kentucky’s annual legislative session began 2 January 2007 and continues through to 27 March 2007. Lloyd’s Kentucky closely monitors the legislative process for any developments that might affect Lloyd’s, and staff regularly attend meetings of the Banking and Insurance committees. We are also a member of the Kentucky Insurance Council, an association of insurers that monitors the legislative and
regulatory environments, and works collectively to help maintain a stable and
vibrant marketplace. It is expected that the 2007 session will be relatively quiet from an insurance
perspective. Much of the current political focus rests on the forthcoming May
gubernatorial primary and general election in November. Embattled Governor Ernie
Fletcher – the first Republican to hold the office in more than 32 years – is running
for re-election, and the Democrats are eager to regain the office.
One issue we will be tracking is the formal confirmation of Julie McPeak’s
appointment as the new Executive Director for the Office of Insurance. Although
she has held the position since July 2006, state law mandates Senatorial
confirmation. Under Kentucky law, a governmental ‘department’ is typically headed
by a Commissioner, whilst an ‘office’ is led by an Executive Director. As part of a
2005 governmental reorganisation, ordered by Kentucky Governor Ernie Fletcher,
the ‘Department of Insurance’ was changed to the ‘Office of Insurance’. Lloyd’s
Kentucky maintains excellent relationships with Director McPeak and the Kentucky regulatory staff.
Contacts
Patrick Talley, President, Lloyd’s Kentucky Inc. Pat.Talley@lloydskentucky.com.
Charles Moore, Senior Vice President, Lloyd’s Kentucky Inc.
Charlie.Moore@lloydskentucky.com
Telephone +1 502 875 5940
Last updated on 23 Feb 2007
