Initiatives: what we are doing for you

These have recently been commenced with substantive outputs expected during the first half of 2019:

• Cladding: Cladding: premier concern for those syndicates with large primary UK, Australia, USA & Middle East Construction PI portfolios. Current CAT codes are GREN (for direct Grenfell exposures) and CLAD (for other cladding related exposures). PIFI sub-group will monitor Lloyd's exposure and consider establishing claims handling protocol that should assist with TCF and consistency of legal instructions and subsequent advice (and streamline legal spend). Sub-group includes James Moody, QBE, Rebecca Goddard, Hamilton Insurance and Linda Rothmann, CNA Hardy.
  
  
• Australia Royal Commission: the government established Commission has been primarily investigating the conduct of Australia’s largest banks but attention is also now focused on wealth fund managers and superannuation funds. Insurance companies will also be considered at a later stage. FI Underwriters could have exposures to initial investigation/regulatory costs, as well as follow-on civil fines and customer and shareholder class actions. PIFI sub-group will monitor Lloyd's exposure (including prior awareness/year of attachments issues) and see if it needs a CAT code. A talk is also being arranged with Matt Andrews of Kennedys. Sub-group members to be finalised but will include Tamsin Arthur, Neon.
  
  
• Vendor spend: in tandem with the wider LMA Gemini initiative, a PIFI sub-group will be looking at the percentage of legal/loss adjuster spend compared with indemnity reserves, including analysis as to what this spend is comprised of (including defence and coverage costs splits and where defence costs are in fact part of the indemnity reserve – e.g. on D&O claims). Sub-group will include Tom Fassnidge, Markel, Katherine Burgon, Liberty, Ilka Priestley, Newline and James Sterling, Neon.
  
  
• Liaising with the Under 35s Claims Group: this is a sub-group which reports into the FIPICC and has a similar purpose to the main FIPICC, ensuring the junior claims-handling market is given the opportunity to provide input on key matters.
  
  
• Liaising with the Company market: meetings to be scheduled between a few of the key Lloyd’s and Company market players to discuss key market issues, such as agreeing a common approach on inter-layer disputes, resolving any SCAP claims handling issues and sharing any other valuable market intelligence.
  
  
• Liaising with the new LMA Cyber Panel is now meeting on a monthly basis, chaired by Esther Williams of the LMA and we are encouraging a two way sharing of information between the groups including potential cross attendance at meetings.
   
• AGM to be open to everyone irrespective of attendance at the FIPI Committee to allow for the sharing of ideas, providing an update on current initiatives.
  
  
• Annual Symposium 2019 topics to be announced in due course. Ideas welcome.
   

The last year has seen the finalisation of various project pieces, including: 

• SCAP: a best practice document for the cross-market handling of Single Claims Agreement Party claims. This was a joint Syndicate/Company initiative and we thank all those involved for their contributions. Download the Single Claims Agreement Best Practice document.
  
  
• NDA: a template Non-Disclosure Agreement that the Lloyd’s market can provide to brokers to speed up the claims handling process: specifically, the provision of key claims information when the Insured has confidentiality concerns. Download the Non-Agreement Disclosure template.
  
  
• TOE: a template Terms of Engagement which the Lloyd’s market can use to ensure a minimum standard and consistency when instructing legal experts. This document will be published shortly. 
  
  
• Inter-layer resolution clause: we have now finalised a form of wording which will be inserted into the Lloyd's Claims Scheme Process Guidelines to facilitate a resolution, via Mediation or Early Neutral Evaluation, in the event of a dispute between insurers. Whilst not binding, this wording will hopefully become best practice, amongst the Lloyd’s and even the Company market.
  
  
• Market mapping: an LMA co-ordinated process to clarify (in the absence of broker advice) which carriers participate on a large insurance tower. For further details contact Esther Williams: esther.williams@lmalloyds.com. 
  
  
• Annual Symposium: this third Annual Symposium took place on 10 July 2018: Peter Hollands gave his final speech as Chair, followed by talks on Cladding, Simmons & Simmons law firm, the ‘Me Too’ scandal from Jonathan Bennett, Talbot Underwriting and Natalie Graham, Aon and GDPR update was given by Claire Lofthouse, AXA XL and James Sterling, Neon Underwriting. Claire Lofthouse then hosted an interactive panel debate on insurance cover for civil fines post GDPR: panel participants were Natalie Graham, James Sterling and Matt Newman (a FI underwriter with AXA XL). Good feedback was received from market attendees.