The Single Claims Agreement Party Model has been launched in an effort to improve client service and streamline claims agreement across the London market.
The model will enable quick and efficient authorisation of claims by allowing policy leaders to agree non-complex payments up to £250,000 on behalf of following carriers.
Participation in a single agreement arrangement will be optional and considered by brokers and carriers at point of placement.
The Single Claims Agreement Party Model, borne from a collaboration between the London & International Insurance Brokers’ Association (LIIBA), Lloyd’s Market Association (LMA), International Underwriting Association (IUA) and Lloyd’s, will “enhance London’s claims service for (re)insureds”, according to a statement announcing the launch.
“It represents a significant step in making the London market more competitive and enhancing its position at the centre of the international insurance industry through the implementation of efficient working practices.”
The associations CEOs’ came out in force to underline the importance of the Single Claims Agreement Party Model.
LIIBA CEO Christopher Croft said the Single Claims Agreement Party Model will “expedite the handling, agreement and payment of small- to medium-sized losses under London subscription market placements to the benefit of clients”.
IUA CEO David Matcham said: “The introduction of an option to provide for a single claims agreement, at the time of placing promises to make the processing of claims in London faster, cheaper and more effective.”
David Gittings, CEO at LMA, added: “The single agreement model will make the settlement of claims in the London market more efficient and will offer an improvement in service and customer experience. The delivery of a market-wide agreement will become a reality thanks to the collaborative efforts of the LMA, IUA, LIIBA and Lloyd’s.”
Lloyd’s CEO Inga Beale concluded: “In a competitive global sector, customers want and expect the London market to be easier to do business with. By ensuring that the most critical part of our business offer, the resolution of claims, can be done in a more straightforward manner, this will mean London can continue to remain an attractive proposition.”
The Single Claims Agreement Party Model follows LMA’s efforts to modernise the Lloyd’s marketplace’s claims management process with the Claims Expert Management Hub.