Insurance underwritten at Lloyd’s of London: history and current arrangements: recent reforms
In September 2002, an Extraordinary General Meeting of Lloyd’s considered and passed reform proposals designed to modernise the market. A key element in these reforms was the creation of a franchise structure between Lloyd’s and Managing Agents, which represents a more facilitative approach by the Corporation towards the market. A Franchise Board has now been created reporting to the Council of Lloyd’s, and the Corporation has set up a Franchise Performance Directorate. The reforms also include a strict vetting process for an individual to become a member of Lloyds and accounting changes that took effect from 1 January 2005.
Under the Financial Services and Markets Act 2000, the Financial Services Authority (FSA) assumed its full regulatory responsibilities for the oversight of Lloyd’s on 30 November 2001.