Airmic supports a five-point-plan published by the London Market Group (LMG), which asks for regulatory and legislative changes to help grow the London insurance market, and take full advantage of opportunities open to the UK.
The five-point plan calls for government, regulators and industry to work together to:
- Recognise the nature of the large complex risks covered by the London market and the sophisticated corporate buyers it serves, through a more proportionate approach to regulation.
- Ensure that the London Market retains its attractiveness as a home for large risks through an international competitiveness duty for UK regulators.
- Making London a “natural home” for overseas-domiciled re/insurance companies by reforming the Solvency II regime.
- Increase the choice of buyers and growing the market by developing and promoting a market for UK captive insurance
- Gaining access to emerging markets around the world, to help them build resilience against natural disasters and climate change events through trade negotiations, regulatory dialogues and market promotion.
It is the LMG’s role to bring together the London insurance market’s core constituencies: Lloyd’s itself; the Lloyd’s Market Association (LMA), representing the market’s carriers; the London and International Insurance Brokers’ Association (LIIBA), to represent London market intermediaries; and the International Underwriting Association of London (IUA), representing the London companies market beyond Lloyd’s.
“Airmic offers support to the LMG five-point plan and the associated report. We firmly believe that collaboration is key to the continued future success of the UK insurance industry and the London market,” said Julia Graham, Airmic’s CEO.
Sean McGovern, CEO of UK and Lloyd’s at AXA XL and sponsor of LMG’s government relations work, commented on its new plan.
“Right now, the UK government is looking at how financial services should evolve in a post-Brexit world, and the London market wants to seize the moment while there is a willingness to support positive change that can benefit the insurance industry,” said McGovern.
“The LMG has taken part in various government consultations on the future regulatory framework and Solvency II. This document will form the backbone of a comprehensive campaign by the LMG, working with ministers, parliamentarians and the regulators to reinforce the importance of the insurance market and to ask for what it needs to continue to grow globally,” he added.