Key Information on Lloyd's

• Take a tour of Lloyd's

  Take a virtual tour around the Lloyd's building.

   

• Explore Lloyd's history

  Today Lloyd's is the world's leading insurance market, housed in an award-winning modern building in Lime Street in the City of London. Its origins, however, lay in the more modest surroundings of a 17th century coffee house.

   

• Lloyd's at a glance

  Lloyd’s is a face-to-face market, with all the dynamism and innovation that a market generates. Like any market, it enables those with something to sell – underwriters providing insurance coverage – to make contact with those who want to buy – brokers, working on behalf of their clients who are seeking insurance.

  • Together, the syndicates underwriting at Lloyd’s form one of the world’s largest commercial insurers, and a leading reinsurer.
  • However, more important than sheer size is the breadth and depth of specialist broking and underwriting expertise, brought together under one roof at Lloyd’s. That’s why we’re often the first to insure new, unusual and complex risks.
  • Lloyd’s accepts business from over 200 countries and territories worldwide. Our 80 licences, supported by a network of local offices, ensures access to insurance markets large and small.

   

• Market structure

  Lloyd’s is not an insurance company, it is a partially mutualised market where members of Lloyd’s join together as syndicates to insure risks.

  Much of Lloyd’s business is written on a subscription basis, with more than one syndicate taking a share of the same risk.

   

  

• Placing the risks - the Lloyd's broker

  Lloyd’s Registered 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 180 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.

   

• Writing the risks - the underwriter

  As at 31 December 2009, there were 84 syndicates at Lloyd’s. Syndicates operate on an ongoing basis, although they are technically a series of annual ventures. Members have the right, but not the obligation, to participate in syndicates for the following year. In practice, most syndicates are supported by the same capital providers for several years. The stability of the core capital base enables syndicates to function like permanent insurance operations under the Lloyd’s umbrella.

  A large proportion of Lloyd’s business is conducted in the Underwriting Room at Lloyd’s, where most of the syndicates have a presence. Here, detailed negotiations take place regarding the risks brokers wish to place at Lloyd’s. Most of these placements involve face-to-face negotiations, but work is underway to enhance the supporting business processes and develop an electronic infrastructure.

  Some syndicates specialise in underwriting a certain class of insurance, whereas others write a range of classes. Having direct access to this concentration of underwriting skill gives Lloyd’s its excellent reputation for expertise, innovation and quick decision-making.

   

• Writing the risks - the coverholder

  A coverholder is a firm, either in the United Kingdom or overseas, that is authorised by a managing agent under the terms of a binding authority to enter into contracts of insurance to be underwritten by members of a syndicate managed by the managing agent. A Lloyd’s broker may act as a coverholder. The coverholder underwrites and issues Lloyd’s cover on behalf of the syndicate in line with this agreement.

  This allows syndicates, which are largely based in London, to do business worldwide, subject to Lloyd’s licences. The managing agent is responsible for monitoring the operation of binding authorities and we must approve the coverholders themselves.

• Lloyd's ratings

  Lloyd's currently enjoys an A rating from A.M. Best and A+ ratings from Fitch Ratings and Standard & Poor's. Find out what these ratings mean and why Lloyd's is rated as a market, rather than a business.

   

• Lloyd's syndicate and financial results

  There is a wealth of financial reporting information available on the Lloyd’s market and the individual businesses that operate within it. Please find information on:

  Financial results  – an archive of Lloyd’s financial results including related press releases, presentations, webcasts and contacts.
  Annual reports – Lloyd’s market results, annual reports and annual accounts for years ended 31 December 2005 to 31 December 2009.
  Syndicate forecasts – information about syndicate forecasts and access to the syndicate forecasts spreadsheet.

   

• Lloyd's events

   Please search the events diary to find events that Lloyd's registered brokers are invited to attend.

   

If you are unable to find what you are looking for please contact the Broker Relationship Management Team.