Draft: Joint LMA/Lloyd's guidance on Lloyd's Bulletin Y4567   

Distribution costs, broker remuneration and additional charges

Broker Remuneration
On 22 February 2012 Lloyd’s issued Bulletin Y4567. That Bulletin provides important guidance on the legal risks arising from the application of the Bribery Act regarding various forms of broker remuneration; and also additional reporting obligations to Lloyd’s.

Several managing agents have contacted Lloyd’s and the LMA seeking further clarification on certain matters arising from that Bulletin. Following consultation with LIIBA, Lloyd’s and the LMA have decided to provide the following clarifications. This guidance note is therefore supplementary to the Bulletin and is issued jointly by Lloyd’s and the LMA.

This guidance is being provided to managing agents in draft at this time so that managing agents have an opportunity to make any comments or discuss matters raised with the LMA or Lloyd’s before the guidance is issued in final form.  

If managing agents wish to discuss any points at this stage they may contact me, kees.vanderklugt@lmalloyds.com; or Paul Brady at Lloyd’s, paul.brady@lloyds.com

Download the guidance

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LMA Bulletin

Date:  26 March 2012

From: Head of Legal and Compliance

Ref: LMA12-009-KvdK

Contact us

Kees van der Klugt
Legal and Compliance Director