New three-year plan to promise 'clear strategy' and improved distribution network
Lloyd's is to unveil an "ambitious" three-year strategic plan in 2006 in a bid to remain competitive in the face of fast-growing rival markets such as Bermuda.
Julian James, Lloyd's director of worldwide markets, told delegates at the Xchanging conference that the plan would "focus on delivering very real and tangible benefits to market participants".
He declined to give specific details but offered a "flavour" that included:
"Mutuality at an affordable price. A capital setting process and a performance management framework which is tailored for each franchisee. An improved distribution network with lower acquisition costs. More efficient business processes which are comparable with other platforms."
James said that Lloyd's needed a "clear strategy" to show how it would establish itself as the "platform of choice" for insurance buyers and sellers.
In recent weeks two major Lloyd's businesses, Amlin and Hiscox, have launched Bermuda-based operations.
Hiscox chief executive Bronek Masojada said: "While capital setting is entirely within the control of Lloyd's, improving distribution and process is more difficult and it is a more complicated web to untangle."
Masojada said recent moves to Bermuda meant that Lloyd's could no longer "rest on its laurels".
Earlier this month, Brit chief executive and Lloyd's Market Association chairman Dane Douetil argued that Lloyd's needed to focus on regulatory issues and reduce acquisition costs if it was to increase its growth rate.
He added that "processing business should not be a competitive advantage".