The (re)insurance market has received approval from the High Court for its Part VII strategy for notifying policyholders about the proposed transfer of European business from London to the continent
Lloyd’s of London has confirmed its Part VII strategy for telling customers that it is transferring the Lloyd’s market’s existing European business that will be affected by the loss of passporting rights from Lloyd’s members to Lloyd’s Insurance Company S.A. has been approved by the High Court.
Lloyd’s, in conjunction with market participants, will notify customers of the Part VII transfer starting from the middle of June. Customers will receive a letter outlining the details of the transfer and providing links to a dedicated Part VII Lloyd’s website Lloyds.com/brexittransfer (going live on 15 June) where they will find:
- an explanation of the proposed transfer;
- the Scheme document (and a summary of it);
- the Independent Expert’s report (and a summary of it) on the impact of the Part VII on policyholders;
- the formal Legal Notice of the proposed transfer, which will be published in UK and EEA newspapers;
- a set of Frequently Asked Questions; and
- details of how policyholders can contact Lloyd’s.
Sonja Rottiers, Lloyd’s Brussels chief executive, said: “This is another key step in ensuring that, despite Brexit, Lloyd’s customers across the EEA can continue to benefit from the financial security of the Lloyd’s market and their existing policies can continue to be serviced by Lloyd’s Insurance Company S.A., including the payment of valid insurance claims.”
In addition to the main English site announcing the transfer, there will also be dedicated webpages in German, Spanish, French, Italian and Dutch, containing translations of all these key documents, and customers will be able to ask questions or raise any objections they may have until the date of the sanctions hearing, currently scheduled for 1 October 2020.