Lloyd's Market Association Bulletin
LMA22-020-AH | 31 May 2022
Shaving of Limits: Lloyd’s Best Practice Wording for resolution of FIPI Inter-Insurer Disputes
We are pleased to publish the LMA’s FIPI Claims best practice note on inter-insurer dispute resolution. This is primarily intended to assist where the FIPI insurance claims market cannot come to an agreement on “shaving of limits” type allocation issues. However, its remit can extend to all types of inter-insurer claims disputes, whether solely impacting the FIPI Lloyd’s market or also involving non-Lloyd’s FIPI carriers.
Essentially it provides for a negotiated timely backstop mechanism in the event that the 2010 Lloyd’s Claims Scheme dispute resolution protocol is unable to resolve the matter via market meeting. We would encourage all FIPI professionals to familiarise themselves with the contents of the note, utilise the best practice mechanism where appropriate and reach out with any questions.