Introduction to Lloyd's: basic concepts and terms: members’ agents and MAPAs
Every individual Name must have a members’ agent. The role of the members’ agent is to place the Name on syndicates, and to advise on matters affecting the Name. Members’ agencies are usually companies. The number of members’ agents has declined steeply as the number of Names has fallen. They charge Names fees for theirs ervices, including the establishment of Namecos.
In placing their Names on syndicates, members’ agents should be concerned to find aspread of risk suited to the individual circumstances and objectives of the Name in question.
Large company members of Lloyd’s are not required to have members’ agents. They may appoint a Lloyd’s adviser instead.
Members’ agents appoint trustees (in practice, the corporation of Lloyd’s itself) for a member’s Funds at Lloyd’s (LLM1200).
Members’ Agent Pooling Arrangements (MAPAs)
MAPAs were introduced in 1994. They are not members of Lloyd’s. They are operated by members’ agents and are a purely administrative arrangement that allow members to spread their risk even further by underwriting on a pooled basis with other members on a large number of syndicates. The share of business a member has on any one syndicate under these arrangements will be very small. All types of member can participate in MAPAs although in practice large company members do not.