The Principles for doing business at Lloyd’s articulate the fundamental responsibilities expected of all managing agents in order to support the market’s overall performance, capital strength, financial and reputational credibility. In line with The Principles, below is market guidance that should be applied across delegated authority arrangements.
Should you require any further guidance please reach out to the team.
Coverholders provide required information to Managing Agents through the annual compliance process.
Lloyd's is keen to promote both high standards and consistency in the audit of its coverholders.
A binding authority is an agreement between a managing agent and a coverholder.
The Code provides an introduction to delegated underwriting in the Lloyd’s market and sets out Lloyd’s expectations of managing agents when delegating underwriting authority.
It is Lloyd's policy that all complaints should be handled quickly, fairly and in accordance with the requirements of the Financial Conduct Authority. View Lloyd's complaints handling arrangements.
A contractual arrangement under which one or more Managing Agents delegate authority to another Managing Agent to enter into contracts of insurance on their behalf.
Lloyd’s permitting continuous binding authority contracts is a key component to a long-term shift in placing binding authority contracts through our platform.
The following information provides guidance in relation to financial crime and Lloyd’s expectations of Coverholders in fulfilling their obligations.
There are various methods and considerations for placing business at Lloyd’s. Please be sure to consider the options and requirements to determine the best path.
This contains the primary rules made by the Council of Lloyd’s regarding delegation of underwriting authority.
The process in which Coverholders are assessed in relation to their active binders on a bi-yearly basis.
An agreement by which a Managing Agent delegates its authority to enter into contracts of insurance to be underwritten by the members of a syndicate managed by it to another Managing Agent or authorised insurance company in respect of business introduced by a Lloyd’s Broker named in the agreement.
To ensure the Lloyd’s brand is used correctly we have produced a set of brand guidelines for approved Coverholders.
In June 2024 Lloyd’s released a market bulletin communicating new requirements for policy documentation issued under delegated authority agreements.
Lloyd’s Oversight Framework creates an efficient and joined-up approach to provide the conditions for the best businesses to thrive and drive decisive interventions for underperforming businesses.
Operational Resilience (OR) is a Financial Conduct Authority (FCA) and Prudential Regulation Authority (PRA) requirement.
Information around the handling of premiums and the fair handling of claims for Coverholder business.
Coverholders, also known as MGAs, have to report on risks, premiums and claims transacted under their binding authority contracts to Lloyd’s syndicates. This page includes various tools to assist with this reporting.
Retrospective endorsements are endorsements where the date inserted for when the endorsement takes effect is prior to the date that there is full and final agreement of the terms, as evidenced by all the parties signing the endorsement.
Typically, binding authorities provide for notice periods of three months, or longer, if the parties wish to bring the binding authority to an early close.
Managing agents are required to notify Lloyd’s of any issue that arises in relation to a managing agent’s delegation of underwriting or claims handling authority to a third party.
Lloyd’s have collaborated with the LMA to produce a template that can be utilized by the market, where confirmation that a specific binding authority is in place, is required.
delegatedauthorities@lloyds.com