A new company claims it will unify and improve back-office services supporting the London Insurance Market.

The joint venture between Lloyd's, the International Underwriting Association (IUA) and Xchanging, is called Ins-sure Services and was launched on May 1.

With an estimated £20bn annual turnover of premiums and claims settlements, Ins-sure will start trading as one of the largest insurance service companies in the world.

Xchanging will hold 50% of the company, and Lloyd's and the IUA will each own 25%.

The processing and settlement operations of Lloyd's Policy Signing Office (LPSO) and the IUA's London Processing Centre (LPC) will be joined in the new organisation, in a move designed to improve efficiency and reduce costs in the London Market.

There are also plans to launch an Ins-sure e-business venture.

Tony Medniuk, deputy chairman of the IUA and chairman of LPC, said: “This is about much more than just improving and harmonising the existing functions of the LPC and lPSO, though that alone will bring our members substantial benefits.

“It will also provide our market with a means to make full use of internet technology over the next few years.”

Lloyd's chief executive Nick Prettejohn said: “This new venture will play a key role in securing London's competitive future.”