The Lloyd’s market will miss its year-end targets for two electronic reform milestones, according to a report released this week.
Lloyd’s also unveiled a price-monitoring tool and online coverholder system, in its three-year business plan also published this week.
In its 2007 year-end progress report, Lloyd’s estimated that electronic claims files (ECF) usage stood at 59% and accounting and settlement repository (A&S) usage 49% at the end of November.
The report went on to concede that the year-end target of 100% usage of ECF will not be met and that the roll-out of A&S to brokers will be extended to 1 April 2008 – after which all premiums must be submitted electronically.
Meanwhile, the price-monitoring tool will use syndicate transactional data to monitor market performance, in what is believed to be an effort by Lloyd’s to oversee cycle management.
In a podcast interview at the end of November, franchise performance director Rolf Tolle said: “It’s fair to say that there are some syndicates in the market that make a very good effort to manage the cycle robustly, while others are more feeble in their attempts.”
He continued: “We will follow up through 2008 and we will encourage those agents who may not be so committed as others to proper cycle management to get up to speed with their efforts.”
The coverholder system, named Oracle, has been developed in conjunction with the Lloyd’s Market Association (LMA) and London Market Insurance Brokers’ Committee (LMBC) and will be rolled out in the first quarter of 2008.
Lloyd’s said Oracle would enable the processes of new coverholder approvals, post-approval changes in permission, notifications of changes in circumstance and the annual collection of compliance information to be handled online.
The three-year plan also said Lloyd’s was planning to continue expanding its platforms in China, Japan and Asia, while also making new forays into India, Brazil, the Middle East and Poland.