The Coverholder application process
An overview of the Lloyd's coverholder application process, how to submit an application and important requirements.
Lloyd’s coverholders need to be approved. Approved coverholders may be based anywhere in the world and usually have authority to enter into contracts of insurance, or issue insurance documents as evidence of risks accepted, under what is known as a ‘registered binding authority’.
Lloyd’s supervises coverholders as part of its statutory role in managing and supervising the Lloyd’s market. This supervision is carried out through the approval process and then through Lloyd’s ongoing supervision of all approved coverholders.
Lloyd’s wants Lloyd’s managing agents to delegate underwriting only to well-managed and financially secure coverholders. This will make sure that policyholders’ interests are properly protected and will also protect and further improve Lloyd’s reputation in the local territory in overseas jurisdictions.