After completing this course you will be able to:

Session 1:

• Outline the history and structure of the London Market and its importance in the global markets

• Distinguish between The Council of Lloyd’s, the Franchise Board, Member’s and Managing Agents, Names and Corporate members of Lloyd’s

• Explain the operation of a subscription market;

• Identify the purpose of the Franchise Board and the Council of Lloyd’s in the regulation and governance of Lloyd’s

• State the purpose of the Associations in the London Market including LMA, IUA, LIIBA and MRG

• Explain the purpose and aims of the process of business reform taking place in the London Market

• Summarise the FSA’s regulatory approach of the London Market

Session 2:

• Outline the importance of Insurable Interest

• State the process of placing business in the open market identifying the role of the Broker and Underwriter

• Explain the significance of Utmost Good Faith in the relationship between underwriter and broker

• Distinguish between physical and moral hazards and the relationship between them in the application of Utmost Good Faith

• Summarise the purpose of the Market Reform Contract and the importance of the headings on the ‘slip’

• Outline the operation of the General Underwriter’s Agreement (GUA)

• State what is meant by ‘lead’ and ‘follow’ underwriters and their particular responsibilities

Session 3:

• Describe the purpose and apply and process of signing down Précis what is meant by contract certainty

• Describe the concept of underwriting risk and the concept of reserving and the need to make provision for outstanding liabilities

• Explain when the underwriter is on risk

• Explain and apply the basic methods of premium calculation;

• Outline the security of the policy in Lloyd’s

• Distinguish between Binding Authorities, Line Slips and Consortium Agreements as other methods of conducting business in the London Market

Session 4:

• State the purpose of Cover Notes, Policies and Certificates in the London Market

• Outline the basic procedures for preparing a policy and the role of Exchanging Ins-sure Services in this

• Identify the role and responsibilities of the insured, brokers and underwriters in claims notification, investigation and settlement

• Summarise the importance of claims management to the Lloyd’s Market

• Explain the role and function of loss adjusters, marine surveyors and average adjusters, Exchanging Claims Services, CLASS and ECF in the processing of claims in the London Market

• Outline the operation of Proximate Cause, Indemnity, Benefit Policies, Subrogation and Contribution when investigating claims

Course Close