What is electronic placing? Face to Face Complex Face to Face, Telephone, Electronic Moderate Electronic Simple Negotiation Data Exchange Resource: Introduction and Getting Started Guide
Electronic Placing Steering Group - Vision The use of electronic processes, compliant with ACORD international data standards, for the submission of risk details, the agreement of terms, and contract formation for all risk placements and contract amendments in the London market, enabling the selective use of negotiation outside the electronic process where required by trading partners.
Electronic Placing Steering Group - Vision Accelerating the process and efficiency of placement regardless of geographical location, risk type and distribution route Improving the flow of information and quality of data between parties by entering information only once and at source and enabling the integration of data and documents into brokers and insurers systems Streamlining the placement process through the removal of paper and redundant steps Enabling Underwriters and Brokers to focus on complex negotiation Reducing costs, particularly where arising from London-specific processes, the creation and exchange of paper and redundant steps in the process Reducing operational risk Why?
Whos doing what? Trading Platforms 160 markets reported to be trading with Aon via Ri3K. January saw 1675 written lines and 889 endorsements processed. Resource: Electronic Placing Landscape Analysis Direct Messaging Lloyds Brokers 4 trading live 6 investigating and developing Insurance Companies 1 trading live 9 investigating and developing Managing Agents 6 trading live 24 investigating and developing General Much increased general level of interest over 2007
Current and Planned Activity Development Two-way message implementation* Evidence of cover Enhancement of the data message Value of data / compatibility with accounting and settlement processes Multi-section risks Market Engagement Brokers, Carriers and Suppliers Market wide class of business pilot Alignment with eMRCE work Vision, Objectives and Roadmap Roadmap – visibility of the steps along the way Knowing whether were getting there; metrics (* implementation of two-way messaging at present involves Aon, Benfield, Guy Carpenter, Millers, Brit, Catlin, Kiln and Liberty)
2010? Electronic Placing Accounting and Settlement Electronic Lifecycle of the Risk Claims adjustment and settlement Evidence of Cover Risk Renewal Contract Amendments
What Next? We need to think as one market Engage in-house Engage with trading parties Embrace endorsements pilot and future market initiatives Talk to us at the LMA Resources Information and documentation Implementation Group and Data Standards Group Support Resources: www.the-lma.com
Rob Gillies Head of Market Processes Lloyds Market Association 020 7327 8377 firstname.lastname@example.org Resources: www.the-lma.com