The Delegated Authorities (DA) oversight model is being developed to support the wider DA strategy.
Lloyd’s aim for the DA strategy is to be the market of choice for sustainable, profitable delegated business partnerships where interests are aligned. Provide products and services that deliver good customer outcomes and use data effectively to oversee and manage performance. Lloyd’s infrastructure and shared services support and facilitate the ease of doing business for Coverholders and Syndicates making Lloyd’s an attractive place for new and innovative business opportunities.
The assessments of Managing Agents under the Principles for Doing Business (project Rio); specifically, the Customer Outcomes principle and its DA sub-principle, means Lloyd’s are now in the position to utilise this evidence to confirm Managing Agents are meeting our expected maturity rating.
These assessments have allowed Lloyd’s to simplify the process for Coverholder approval (onboarding), changes to permissions and ongoing compliance.
As of 1st November 2022, if the Managing Agent sponsoring the Coverholder application, is meeting their expected maturity rating under the Customer Outcomes Principle, then they no longer have to submit a decision paper with the ATLAS application. An attestation will be provided by the Managing Agent instead.
The Managing Agent, must contact the Country Manager at the point of starting their due diligence of that firm and at this stage, also review the published, Referral criteria, to assess if any of the high risk items listed are within the firm’s business proposal.
Lloyd’s have created detailed guidance on these changes for Managing Agents and Brokers. This document provides comprehensive information on the new processes for Coverholder applications and change in permissions. We would encourage delegated authority teams to read this through and familiarise themselves with Lloyd’s new oversight approach.
View guidance
coverholders@lloyds.com
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