New offering will allow brokers to transfer unwanted business
Run-off specialist Randall & Quilter is launching a new initiative to take advantage of a glut of London market brokers wanting to sell up.
Insurance Times understands that a number of London market brokers are potentially up for sale, and that R&Q Insurance Services is working with up to six Lloyd's brokers on the service, called Broker Wrap.
Broker Wrap transfers unwanted or legacy business to R&Q for a fee, which could improve a broker’s sale prospects or leave it as a cleaned-up business following the completion of a sale. Brokers that want to remain independent, but which are struggling under the regulatory and administrative burdens of their legacy business, can also use the product.
R&Q will take responsibility for run-off procedures such as accounting, premium and claims transactions, archiving and regulatory reporting.
R&Q head of broker services Colin Johnson said Broker Wrap was aimed mainly at the long-tail business of Lloyd’s brokers and the reinsurance market.
He said the product could be rolled out to certain other UK brokers, particularly those with commercial-focused accounts.