A description of a type of insurance or reinsurance business based on the risks being covered. The Lloyd's market underwrites eight main classes of insurance and reinsurance business: reinsurance, property, casualty, marine, energy, motor, aviation and life. Each of these main classes consist of a number of sub-classes. In accordance with PRA rules, all business written in the life class is written by separate life syndicates and the premium is held in separate premium trust funds.
At Lloyd’s, brokers act as the agent of the insured or reinsured to arrange insurance or reinsurance with Lloyd’s syndicates. Brokers may be registered Lloyd’s Brokers who are able to enter into terms of business agreements with any Lloyd’s managing agent. Non-Lloyd’s brokers may also enter into terms of business agreements subject to the managing agent assessing that the broker meets certain minimum standards. Only brokers registered as Lloyd’s Brokers may refer to themselves as a Lloyd’s Broker. Many broking firms are also approved by Lloyd’s to act as a coverholder (See Coverholder).
A company or partnership authorised by a managing agent to enter into a contract or contracts of insurance to be underwritten by the members of a syndicate managed by it, in accordance with the terms of a binding authority.
A broker that provides the broking support for business in run off. At Lloyd’s, Lloyd’s brokers that undertake to limit their business to acting as a run off broker are given a dispensation from a number of requirements that otherwise apply to Lloyd’s brokers.