Future Processing Model project

The modernisation programme and other developments have delivered significant changes to the way the London market processes business. The purpose of this project is to revisit the core market operating model in the light of this and agree key future processes and central services that will ensure we continue to deliver the optimal customer experience. The aim is to design a model that will maximise the reduction of risk and costs and the increase of processing efficiencies in the market. This will ensure that London remains the market of choice for global insurance business.

The project will build on the Future of Central Services work that reported to LMG in October 2009. The intention is to agree the target vision for the entire risk lifecycle and a transition plan by the end of 2010.

During this year, the model design and transition planning will involve:

working closely with market firms, the Associations and Lloyd’s to design, review and agree a future processing model;

undertaking a cost benefit analysis to ensure that the future model provides real benefits;

determining where increased competition can be effectively introduced into the service model; and

agreeing a realistic mechanism for implementation and options for transition to the new model.

Why do we need to do this?

The current London market operating models have been in existence for many years. Advances in business approach and technology mean that some of the processes are not functioning as efficiently as they could. This is set against a backdrop of increasing competition from overseas markets. Additionally the market is looking for the ability to exercise a choice in service provision. To date, modernisation projects have focused on making improvements to the existing market processes. This project aims to redesign the optimal process without being constrained by how things are currently done.

Ultimate Vision

The services offered centrally are only those that reduce cost and improve market efficiency; are ‘must haves’ as a result of tax or regulatory requirements or are services which reduce risk.

Whilst ensuring that Lloyds or regulators continue to receive the information that they require, the market has more choice around how to operate. Remaining central services are more efficient, reducing the costs of transacting business.

Process inefficiencies have been removed and Londonisms no longer impede business coming here. Brokers and customers have the ability to interact with carriers irrespective of geographical location.

The experience of interacting with the London market is better than any other global market.

For further information please follow the links on the left hand side or contact the Project Manager, Simon Collins, on 020 7327 6683 or This e-mail address is being protected from spambots. You need JavaScript enabled to view it