Establishing your business at Lloyd’s – Full Syndicate
We work with aspiring new entrants to find the route into Lloyd’s that best meets your needs. Depending on your circumstances and objectives, we offer a range of bespoke solutions including a traditional Full Syndicate, a Special Purpose Arrangement (SPA) or a Syndicate-in-a-Box offering a faster, more streamlined way for new entrants to access the market.
Full syndicate – who is it for?
- Existing insurers seeking additional distribution via the Lloyd’s platform
- Innovative start-up businesses offering different products and distribution
How do we support you?
Entry to Lloyd’s
- We’ll work with you to ensure your proposed business plan provides accretive value to Lloyd’s and meets with their entry requirements.
- We’ll sponsor your application and support you through the due diligence and decision stages.
- We’ll then support you in “making it happen”; guiding you through the implementation of your plan before securing final approval for you to start underwriting.
Why work with Asta?
- You’ll need a managing agent to operate at Lloyd’s. Asta is the leading third party managing agent, having helped establish over twenty new syndicates over the last two decades.
- You’ll have your business launched and trading at Lloyd’s as quickly as possible. Typically within 6-9 months for a full syndicate*
- You’ll have the exact support and services your business needs and only pay for what you use.
- You’ll benefit from economies of scale. Giving you access to a depth and breadth of expertise and experience that would be difficult to resource on your own.
- You’ll have our support at every stage of your lifecycle. Adapting it to your needs as your business changes and grows.
- You’ll benefit from our independence. Asta doesn’t have its own syndicate or any capital at risk which means our sole focus is on meeting the needs of our clients who do.
*In certain circumstances it may be possible to establish a Special Purpose Arrangement. This has similar requirements to a Full Syndicate but is not market-facing and operates under a quota share reinsurance of another “host” Lloyd’s syndicate, making the application process more streamlined.
What are the options for underwriting in the Lloyd’s market?
Requirement| Requirements | Syndicate-in-a-Box | Full Syndicate | SPA |
|---|---|---|---|
| Transparent set of qualifying criteria - Profitable |
|||
| - Expense ratio | < 35% by year three | c.40 | |
| - Accretive or innovative | |||
| - Box space permitted | |||
| - Developing business: GWP<£100m in year 1 | |||
| - Limited peak perils• exposure | |||
| - Short tail (unless historical track record of tong tall) | |||
| Entry process Fees |
£100k | £200k | £75k |
| Time | 3 months | 5-12 months | 3-6 months |
| Efficient rules of participation | |||
| Capital setting: | |||
| - New entrant capital uplift | |||
| - Market average loss ratios mandated | |||
| - Annualised premium | |||
| - Hypothecated reserves | |||
| - Internal model required | After graduation | Not for two years | |
| - Enhanced Central Fund contributions | Deferred until 4-6 years | ||
| Oversight: | |||
| - Flexible line size dispensations | |||
| - Optimised reporting | |||
| - Streamlined business plan submission | |||
| Annual review lifecycle Timebound |
|||
| Fast fall assessment with run-off plans |
• Peak perils are currently: US/Caribbean Wind, US/ Canadian Earthquake, Japanese Earthquake, Japanese Typhoon, and European Wind).
To talk to us about establishing a Full Syndicate at Lloyd’s please contact:
Asta Capital Ltd
5th Floor Camomile Court,
23 Camomile Street,
London, EC3A 7LL
T: +44(0)20 7743 0900
F: +44(0)20 7743 0901
info@asta-uk.com