Registered Lloyd’s brokers place risks in the Lloyd’s market on behalf of clients. These brokers use their specialist knowledge to negotiate competitive terms and conditions for clients.
There are over 175 firms of brokers working at Lloyd’s, many of whom specialise in particular risk categories. Each Lloyd’s broker is required to demonstrate that it meets certain criteria required by Lloyd’s including that it has the ability to properly handle business in the Lloyd’s market and that it meets Lloyd’s professional indemnity insurance requirements.
Following the recent changes to the Lloyd's Act 1982, the amended paragraph 27 of the Underwriting Byelaw sets out the methods by which a managing agent may accept business. This includes accepting business from brokers who are not registered Lloyd's brokers.
Lloyd's has implemented rules to ensure that managing agents apply the same prudential standards that are required of Lloyd's brokers to any non-Lloyd's brokers with whom they directly deal.
