Wellington Underwriting has agreed to take over the management of pharmaceuticals giant SmithKline Beecham's captive syndicate at Lloyd's with immediate effect.

The captive syndicate will underwrite more than £16m of the parent company's insurance premiums across a wide range of classes of business in 2001. Wellington will manage the captive alongside its existing syndicate 2020.

SmithKline Beecham was one of the first to introduce captive syndicates to Lloyd's in 1998.