The master/group policyholder must have a legitimate interest in providing cover for the defined group of members.
Lloyd’s would not regard the ability of the master/group policyholder to generate a fee, commission or other payment for providing cover to the members as being a sufficient “legitimate interest” for these purposes. The master/group policyholder should not have as its principal purpose or as a core part of its business the procurement of insurance for its members. Implicit in this requirement is that the policyholder provides substantial non-insurance benefits to its members.