Service levels and standard terms of engagement
Lloyd’s Agents shall use reasonable care, skill and due diligence to perform the services in a professional and efficient manner in accordance with good surveying practice.
Lloyd’s Agents are also required to meet certain service levels unless otherwise specifically agreed with the party that appoints them. The standard terms of engagement when nominating and/or appointing a Lloyd’s Agent are as follows:
- Following first notification of a potential claim, the Lloyd’s Agent will obtain basic information about the type and potential extent of the loss and/or type and value of the affected subject matter
- The Lloyd’s Agent will take all reasonable steps to contact the Insurer (and/or nominated party shown on the certificate of insurance) to confirm:
- whether they are free to accept the appointment without conflict
- the terms and conditions of the appointment
- whether there are any relevant clauses within the policy that need to be considered
(e.g. No Survey clause)
- In cases of evident physical loss or damage, where immediate intervention is required, should for any reason contact with the Insurer (and/or nominated party) not be possible, the Insurer agrees to automatically cover any reasonable costs incurred by the Lloyd’s Agent for any action undertaken and considered necessary to protect Insurers’ interests
- If the Lloyd’s Agent is unable to contact the Insurer (and/or nominated party) within 48 hours, regardless of whether immediate intervention has been deemed necessary, they should automatically seek support from the Lloyd’s Agency Department (LAD) in London
- All fair and reasonable fees, and expenses incurred by the Lloyd’s Agent will be payable by the Insurer
- Agree the terms and conditions under which the instruction is accepted
- Advise the applicant the name and contact details of the surveyor who will manage the instruction
Within 24 hours of acceptance of appointment, at the latest, the Lloyd’s Agent is to contact appropriate parties to agree the time and place of survey and inform the claimant / instructing party in writing of the information and documentation that will be required to commence the Services
- Within 48 hours attend on site/vessel unless an actual survey is not required (e.g. No Survey Clause)
Following survey (or initial survey):
Within 48 hours of the first site / vessel visit, the Lloyd’s Agent shall provide to Insurers an initial advice in an email format if appropriate
Within 48 hours of the first site / vessel visit, the Lloyd’s Agent shall make a written request for any further documents or information needed to complete the survey report
Within 7 days of attendance at site / on vessel, the Lloyd’s Agent shall provide to Insurers a preliminary advice / status report which should include a full and detailed discussion of all considerations listed in the CONTENT OF REPORT section below, as is appropriate and relevant. This report should as far as possible establish the facts surrounding the loss and the Insured's claim and amount of the loss and can be in an email format if appropriate.
Where the matter is complex and is expected to take a considerable amount of time and / or developments warrant, the Lloyd’s Agent is to provide the instructing party with interim reports (at agreed or reasonable intervals) reviewing the claim status. The interim report(s) to include comments on all relevant matters listed in the CONTENT OF REPORT section below including comments on the quantification of the claim / progress of repairs, confirmation of the reserve and information on when the next substantive development is likely to occur (Note: Every such periodic written report should also confirm any changes in the cost budget)
The Lloyd’s Agent should provide a final report to Instructing Insurers, within 28 days from completion of the quantification of the claim or completion of repairs, where applicable
The Lloyd’s Agent is to acknowledge all correspondence including account approvals within 24hrs and fully respond within 14 days, if this is not possible the instructing party should be notified as to why this is not possible and provided with an estimated time for response
Any need to vary the above reporting requirements should be notified to and agreed with the insurers
Content of report:
All reports and advices referred to above shall include as appropriate the following:
- a full account of the circumstances of the loss and the facts giving rise to the claim under the Policy
- the date of loss
- an estimate of the total likely claim / cost of repairs for the purpose of establishing a reserve
- a budget for surveying and expert costs which should reflect the proposed work plan and strategy for handling the claim
- details of the proposed repairs
- an outline of subrogation opportunities
These are general guidelines. Each case will have its own peculiarities but the Lloyd’s Agent is required to:
- keep the instructing principal appropriately informed at all times
- conduct the survey, provide interim reports and issue the final survey report within timeframes that are reasonable or appropriate for the circumstances
- act with due consideration and professionalism at all times
NOTE: Some principals prefer to receive all advices, report and documents in email rather than hard copies / post. An Agent should clarify the type of reporting that will be required.
Technical Performance Team (LAN)
The Technical Performance Team (LAN) is on hand to assist clients to ensure they receive the very best service levels from the Lloyd's Agents. Please contact the team if you require further information.
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