In order to write insurance under the Singapore license, managing agents must set up a service company in Singapore.
Key considerations
Financial considerations
- Premium trust funds are to be set up by the service company, one each for Singapore and offshore policies.
- Lloyd’s Asia statutory deposit of SGD 500,000 or 30% of net premiums from Singapore policies issued the previous year.
- Goods and Service tax (GST) and corporation tax registration and submission fall under the responsibility of the Managing Agent.
Operational considerations
- Co-location with the Lloyd’s Asia office is mandatory.
- There is no centralised accounting and settlement system, therefore managing agents must establish their own processes.
- There is no shared IT platform or common system in place. Managing agents will need to determine individual requirements during the setting up stage.
Employee considerations
- The service company underwriter must have six years or more underwriting experience.
- The service company CEO must be a Singaporean resident.
- Both the CEO and underwriter roles must be based in Singapore and can be met by the same person.
- Underwriters and claims staff must hold ACII or equivalent qualification under Monetary Authority of Singapore (MAS) Notice 211.
- All information relating to Visas can be found on the Ministry of Manpower (MOM) website.
Regulatory considerations
- Quarterly and annual audited reports are required to be submitted to the Monetary Authority of Singapore (MAS), on the insurance activity of the syndicate’s underwriting in Singapore.
- Before submission, the returns must be provided to Lloyd’s for review to ensure accuracy and consolidation purposes.
- These returns are submitted to the MAS electronically (using MASnet – a web-based internet interface), which is performed by the service companies themselves. MASnet and MASTX must be enabled to ensure that regulatory returns and surveys can be submitted.
- Service companies must complete a monthly compliance report to provide assurance to Lloyd’s Asia that Lloyd’s Asia regulations are being met.
Launch Crystal+Benefits of setting up a service company in Singapore
Proximity
Lloyd’s Asia underwriters benefit from being in the same time zone as their Asian clients, allowing for more efficient communication and closer relationships with regional brokers and clients.
No broker restriction
Unlike in London, the MAS allows local brokers to work freely with Lloyd’s Asia underwriters, who can also transact directly with clients, enhancing flexibility and access.
Broker support
Local brokers are highly supportive of Lloyd’s Asia, as it enables them to access Lloyd’s capacity locally, avoiding the delays and costs associated with routing business through London.
Excellent infrastructure
Lloyd’s Asia manages office facilities, regulatory compliance, and brand marketing, offering a streamlined interface with the MAS and strong operational support for participants.
Established procedures
Newcomers benefit from established trading and networking practices, gaining immediate access to a functioning market environment and shared business development opportunities.
London underwriting experience
Lloyd’s Asia participants gain enhanced visibility and access across the Asia-Pacific region, supported by co-location, administrative services, and regular networking events.
Sub-delegate to Singapore and overseas coverholder
Since 2015, Lloyd’s Asia service companies have been permitted to establish sub-delegated underwriting arrangements with both Singapore-based and overseas Coverholders or MGAs.
Local Requirements
This application captures the business proposal pertaining to the Lloyd’s Asia business, proposed staffing of the Service Company, and registration as a Lloyd’s Agent for the regulator Monetary Authority of Singapore. This application is submitted by Lloyd’s Asia to MAS.
Download Lloyd’s Asia application document
Download Lloyd’s Asia application document
This application must be completed for the appointment of all key executive persons and is a requirement by the regulator, under MAS 106.
Download Director/CEO application document
Download Director/CEO application document
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Managing Agents must register the Service Company under the Companies Act.
Register Design HTML
Register Design HTML
The Singaporean Insurance Act (1966) is the primary legislation governing insurance activities in Singapore. The Lloyd’s Asia scheme is a framework established by Lloyd's of London to facilitate the operation of Lloyd's syndicates in Singapore. Both frameworks need to be complied with.
Lloyd’s Asia Scheme
Insurance Act
Lloyd’s Asia Scheme
Insurance Act
Lloyd’s registration process
Initiation
Co-ordinate with Lloyd’s teams to understand country interest, define service company and set timelines.
Register and setup
Managing agents will submit business plans and work with country managers for regional setup according to local regulations. In tandem the service company is registered on Atlas to complete necessary business and company details.
Due diligence
Managing agent’s maturity rating under PBO Principles is used to determine whether an Attestation or Decision Paper is completed, demonstrating satisfactory due diligence has been conducted.
Service Company Underwriting Agreement
Once all registration and set up requirements are met, formal service company underwriting agreement can be signed and service company can start trading on agreed date.
Singapore setup process
Business plan and application
Prepare business plan (business forecast, class of business, HR, office space, etc ) and complete the service company application (include the MAS 106 for Director appointments)
Application submission
Lloyd’s Asia submit application for approval to Monetary Authority of Singapore
Appoint Company Secretarial firm
Appoint a Company Secretarial firm for assistance with company setup in Singapore. Appoint an external auditor, if needed (to seek advice from Company Secretarial or legal firm)