When handling claims, DCAs play a critical role as the face of the Lloyd’s market to many of Lloyd’s policyholders, providing a core service and representing and promoting the Lloyd’s brand worldwide.
Lloyd’s has introduced changes to the way that DCAs are appointed and managed. These changes support improved policyholder outcomes and reduce operational expenses for managing agents and DCAs. From 30 September 2020 all DCAs require Lloyd’s approval before they can be appointed by managing agents to determine claims. Lloyd’s has put in place a standardised due diligence process for all DCA approvals.
These changes form part of Lloyd’s vision for delegated authorities: to create a seamless and well-managed ecosystem that enhances customer experience, making it easier, faster, and more cost-effective to do delegated authority business.
The DCA approval framework and process is summarised below.