Lloyd’s launches Blueprint One to build ‘most advanced’ insurance market in world
Lloyd’s launched its Blueprint One strategy yesterday (September 30) to “create execution certainty through phased delivery” in a bid to “build the most advanced insurance marketplace in the world”.
It detailed initiatives that will be delivered in phase one during 2020, including the introduction of an electronic risk exchange which could eventually process as much as 40 percent of Lloyd’s risks.
The market will also pilot a solution that “automatically triages claims” to speed up settlement and introduce simplified onboarding for Lloyd’s coverholders.
The much talked about ‘Syndicate-in-a-Box’ (SIAB) initiative, will see its first launch in 2020 with Munich Re at the helm. SIAB has been hailed as a new way to bring innovative, accretive, and profitable business into the market for a set period, without the need for a physical presence in Lloyd’s. The global reinsurer will launch its SIAB through its Lloyd’s vehicle Munich Re Syndicate Limited, and the Munich Re Innovation Syndicate will begin underwriting on January 1, 2020 “with no physical presence in Lloyd’s”. It will underwrite a range of innovative lines of business such as renewable energy and parametric insurance for weather risks.
The blueprint also outlined plans for a ‘complex risk platform’, which will enable risks to be bought and placed using standardised data. Lloyd’s said: “Initially, we will invest in a next generation of PPL to deliver a ‘document-plus-data’ platform with an improved user experience and a core data record.”
It added that it would “simultaneously prototype and develop a ‘data-first’ capability” to deliver an improved broker, customer and underwriter experience, a more efficient and transparent claims service, and optimised support processes and insights. Lloyd’s said that “over time” the market will switch to a data-first platform.
The fifth planned idea highlighted in the blueprint was a ‘capital solution’ to offer capital providers more options to attach to risk more flexibly. While the final and sixth idea is to introduce a ‘services hub’ offering high-quality value-add services to support the market’s business. This will include access to Lloyd’s data, insights and analytics, business support functions and product innovation accelerators, accessed via an online portal.
John Neal, Lloyd’s CEO, said: “The extensive feedback we have received in progressing the blueprint has confirmed the preeminent place Lloyd’s holds globally in insurance and reinsurance. The plans unveiled today create execution certainty through phased delivery. The support we have enjoyed to date has been essential to delivering Blueprint One and we are seeking the renewed commitment of all market participants to partner with us to achieve our vision to build the most advanced insurance marketplace in the world.”
Blueprint One follows on from the Future at Lloyd’s prospectus published on May 1, 2019, and is the first in a series of updates which will be issued at least once a year.
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