“This is an important milestone in building Lloyd’s future, which will transform the insurance market from a largely paper-based, analog set of processes to a data-centric, automated and cost-effective process,” Lloyd’s said in its statement. “This is the first time in over 20 years that the technological infrastructure that underpins the London market will be completely transformed.”
According to Lloyd’s, the agreement is based on three key changes: a core data set (CDR) with common data standards for policies, premiums and claims, which translates digital processing; automating processes supporting placement, policy creation, claims management and accounting; and an agreement that market processing costs in the new “digital world” will be reduced by at least 40% compared to current services.
“In the challenging hybrid work environment imposed on businesses by COVID-19, the early efforts of the Lloyd’s and London market to modernize operations have been clearly demonstrated by the ability to work almost seamlessly digitally and remotely to ensure that customers’ insurance needs are met and their claims are paid,” said John Neal, Chief Executive Officer of Lloyd’s. “With commitments from DXC, Lloyd’s and the broader London market, we now have the ability to move to a single platform solution that will provide automated processing and settlement for the market, a significant reduction in operational costs and a much faster, better service.” “
Sheila Cameron, CEO of LMA added: “This is a significant step in the digitization of the Lloyd’s and London market. We look forward to working with our Managing Agent members, DXC, Lloyd’s and the broader London market as we build a faster and more cost-effective, data-driven future for the market and its customers.”