SPA Application Process:
Likely duration of application: 3-6 months
A new SPA application starts with a discussion with the Business Development Team (new entrants). The managing agent may present a High Level Pitch to the Business Opportunities Committee (BOC) to validate the opportunity in the context of both the host syndicate and the SPA.
If the High Level Pitch gets positive feedback from BOC, then a Detailed Plan Presentation (DPP) to the BOC will be arranged. If successful, the managing agent will need to submit a Syndicate Business Forecast (SBF) for both the host syndicate and the SPA.
Review and "in principle" approval
The internal review of an SPA business plan and capital assessment may involve multiple teams within Lloyd’s. The New Entrants team will liaise as necessary to co-ordinate the review. The Capital & Planning Group will review the host and SPA SBFs and agree the SPA capital figure, as modelled by Lloyd's. The BOC and Lloyd’s Council will review the proposal with a view to granting “in principle” approval.
Making it Happen / Permission to underwrite
After the Council have agreed “in principle” approval of the new SPA, then a proportionate Minimum Standards review will take place along with establishing defined operational and administrative deliverables e.g. legal agreements, corporate member application and lodging Funds at Lloyd's (FAL). When this work is satisfactorily completed the BOC will be asked to grant “Permission to underwrite”.
Once you have begun trading we will follow up on any deliverables set out in a post approval action plan. We will regularly review how your business is performing against your business plan, Lloyd’s Minimum Standards and Lloyd’s Guidelines.