Q4 2018 data significantly exceed targets
The Board of PPL today released the market wide data for risks placed electronically during the last quarter of 2018. One hundred percent of syndicates at Lloyd’s reported under the mandate, and figures for almost all IUA companies signed up to PPL have also been analysed. The target for this quarter was to have placed 30% of in scope risks through electronic placement.
As part of the mandate, for the time Lloyd’s will pay partial rebates on annual subscriptions for 2018 in the first quarter of 2019. These will be received by 63 Lloyd’s syndicates. In addition, additional fees will be paid by 7 syndicates. The total net amount paid in rebates was £12 million.
Louise Day, Director of Operations at the IUA, commented: “The latest figures again show that progress towards PPL adoption is at least as rapid across the London company sector as it is amongst Lloyd’s managing agents. 43% of our reporting members placed half of all eligible risks on PPL in the quarter. This is significant because there is no mandate for companies and so their enthusiasm for the platform demonstrates a clear belief that it will add value to their business operations.”
Shirine Khoury-Haq, Lloyd’s Chief Operating Officer, added: “The fact that both volumes and adoption have risen significantly is great news for the market as a whole. I am pleased to see that Lloyd’s has again significantly exceeded its quarterly targets and that firms are being rewarded for their success with rebates on their subscriptions that represent meaningful sums of money. All of this is hard proof that, as a market, we are committed to making London as easier place to do business with simpler and more efficient processes, reinforcing our position as a global hub for re/insurance.”
Syndicates accepted 39% of in scope risks.
76% of syndicates met or exceeded the target.
7% did not reach the target and 17% reported that they had no in scope risks during the period.
International Underwriting Association
IUA companies signed up to PPL accepted an average of 41% of in scope risks
53% of IUA companies measured met or exceeded the target.
Lloyd’s syndicate adoption table - full list available at the London Market Group website.
The top five syndicates are:
Bronek Masojada, Chair of the PPL Board said: “This is another very strong set of numbers, demonstrating that all parts of the market have really committed time and energy to electronic placement. The fact that the market bound 37,537 risks on PPL by the end of 2018 is hard evidence that the challenge of digitalisation is being taken very seriously and I would like to thank all involved for their efforts.
“2019 will see PPL investing resources in continually improving the functionality of the platform and helping market practitioners to get the best from it. The aim is to make the ongoing process of adoption as seamless as possible for brokers and underwriters.”
Christopher Croft, CEO of LIIBA, said: “Broker adoption is critical to the carriers being able to hit their targets and we are delighted that there are now 46 broking firms live on the platform, and that this number is growing significantly month on month. As a community, we are keen to be as transparent as possible on our performance in e-placement. Before Christmas, PPL published broker by broker data on adoption rates. This has been supplemented by individual announcements by some of our members. However, the way in which each broker calculates its overall pool of relevant risks makes league tables based on percentage take up challenging. Nevertheless, we do continue to seek ways in which we can progress reporting.”
PPL is a core component of the London Market Target Operating Model.